Legal Insurance Scamming

[veeman]

My wife got hit in the back of her car a few months ago.  Very low speed.  The police officer cited the teenage girl who had insurance through her Dad and I got the police report.  Lame I had to pay $9 for the police report online.  I go through their insurance company (State Farm) to set up an estimate at one of their approved auto body  shops near where I live.  I know by law I can take it anywhere but from past experience it's easier and smoother to use one of their approved shops.  Plus it's State Farm and not some shady insurance carrier.  The damage is a dent in the trailer hitch cover of the bumper.  I figure just replace the trailer hitch cover. 

The auto body shop owner looks at the damage and I tell him what happened. 

"So you're going through their insurance"

"Yes"

I can see him literally salivating.  He tells me their going to remove the entire bumper, do this, do that, clean this, make sure all the sensors are still working, etc.  $1500.  He tells me to call their insurance company (State Farm) to get myself a rental for 3 days.  He gives me the number for Enterprise and Hertz which are nearby and tells me to tell State Farm I'll get my rental from one of these.

So I call their insurance company and they authorize the vehicle (I chose Enterprise).  I query I should get a luxury rental SUV because that's the car I have (I've gone through this a few times so I know you have to pester them about it).  The insurance agent eventually says if Enterprise has one available they'll authorize it.  She says they might not have one available.  So I call Enterprise and the agent starts laughing about whether they have luxury SUVs available and says he'll call up State Farm and get me an Infiniti QX80 (the big ass one).  So I get my rental and the bill to be given to State Farm is $1000.

So basically a 5 minute replacement of a trailer hitch cover which costs $120 is going to cost $2500.

[RomanChariot]

The minivan I used to own got hit in the rear once. I went through everything needed to get the repairs done and get a rental. I dropped off the van for repair in the morning and picked up the rental which luckily was right across the street from the street from the repair shop. That same afternoon they called me and told me the van was done. It turns out they had brought in the bumper cover and painted it before I even dropped of the van. If I would have known it would be that fast I wouldn't have bothered with the hassle of a rental.

[Speed_Racer]

If they're charging that ridiculous amount to somebody, make sure they use OEM replacement parts and not aftermarket.
I'm not sure about the laws on disclosing aftermarket for OEM substitutions in insurance repairs, but I've heard it's a problem - you get the lower quality part, they pocket the difference.

[AutobahnSHO]

  

[MrH]

I'm surprised you have to deal with her insurance?

The couple of times I've been hit, I just tell my insurance company, they handle everything with the at-fault party's insurance company.  I have a really high quality body shop in town that's a pre-approved place through USAA, so I don't even need to send a quote and get approval and everything.  Just go drop it off.

[veeman]

I'm surprised you have to deal with her insurance?

The couple of times I've been hit, I just tell my insurance company, they handle everything with the at-fault party's insurance company.  I have a really high quality body shop in town that's a pre-approved place through USAA, so I don't even need to send a quote and get approval and everything.  Just go drop it off.

That's interesting.  I've had State Farm Insurance for years and the two times someone has hit my wife while she was driving, I've called them and they have said to call the other insurance company with all the information from the police report (the police report had the other person's insurance information).  One time I got hit while driving a rental and I also went through the other person's insurance company.  The one time someone hit me and ran off and I didn't get their plates, I obviously went through my own insurance. 

About 15 years ago I had Geico insurance and my Mazda 6 was totaled when a contractor's van hit me from behind on the highway. That was awkward because both he and I were sitting next to one another in the tow truck and he was swearing that all the glass doors in his van were shattered.  Anyways in that case, my insurance did handle it.     

[MX793]

I'm surprised you have to deal with her insurance?

The couple of times I've been hit, I just tell my insurance company, they handle everything with the at-fault party's insurance company.  I have a really high quality body shop in town that's a pre-approved place through USAA, so I don't even need to send a quote and get approval and everything.  Just go drop it off.

Depends on whether you are in a no-fault state or not.  Connecticut is not.

[r0tor]

I would refrain from talking to my insurance company if I was not at fault... I have known people who did and their insurance company made a note on their file about the accident and later down the road led to rate hikes and loss of "discounts"

[MX793]

I would refrain from talking to my insurance company if I was not at fault... I have known people who did and their insurance company made a note on their file about the accident and later down the road led to rate hikes and loss of "discounts"

If you live in a no-fault state, you have to go through your insurance company.

[RomanChariot]

If you live in a no-fault state, you have to go through your insurance company.

Utah is a no-fault state and I have always gone directly to the other person's insurance. I can go through my insurance but then I will get charge a deductible which I will get back if and when my insurance company gets everything settled with the other insurance company. Also, half of my cars are liability coverage only so my insurance company has no reason to fight for me as they don't have any obligation to pay.

[MrH]

Depends on whether you are in a no-fault state or not.  Connecticut is not.

Ohio isn't either.

USAA just has good customer service and they deal with the BS for you.

[JWC]

Ohio isn't either.

USAA just has good customer service and they deal with the BS for you.

USAA is really good. After my accident in 1998, last one, I called and let them know what had happened. About an hour later, I got a call from USAA asking about how I was doing...and telling me to go to a doctor. When I told the guy at USAA I didn't feel that was necessary, he said I either had to give him my word I'd go, or he'd be forced to drive from Newport News and take me. I relented.

Had a concussion.