Other company sent me a check without verbal/written agree

by slightlypuzzled » Tue Oct 05, 2010 12:47 am

I filed a claim with my insurance company, and the other party's insurance company. The other insurance company adjuster came to look at the damage, and 48hrs later I get the call from them that the vehicle is a total loss. A couple days later my insurance company adjuster comes to look at the car. No surprise that the preliminary is a total loss. While I am waiting to get in contact with my company's adjuster on the settlement amount, I find a check in the mail from the other insurance company. I did not agree to them to issue the check. I am just waiting to hear from my insurance. Can I send the check back?

Total Comments: 5

Posted: Tue Oct 05, 2010 01:01 am Post Subject:

I did not agree to them to issue the check.

Well, they should not have mailed a check without finding out about the title but... you called them to file a claim... did you then tell them that you did not want to file the claim or not to mail out payment

Can I send the check back?

Certainly but you probably want to call the adjuster and give him/her a heads up on why you are mailing the check back and obtain the correct address to send it.

Posted: Tue Oct 05, 2010 06:52 am Post Subject:

I guess we're missing out on something. There must have been something that prompted the other party's carrier to mail the check. Clarify it with the adjuster and keep us updated.

Posted: Tue Oct 05, 2010 07:19 am Post Subject:

There must have been something that prompted the other party's carrier to mail the check.

I filed a claim with my insurance company, and the other party's insurance company.



Usually when the other party contacts the at fault carrier and file a claim, it's because they want payment. I don't think I've ever asked a person, "did you report this because you want to be paid?"

Posted: Tue Oct 05, 2010 02:50 pm Post Subject:

I would definately keep the check. It is evidence of their admission that their insured was found to be at fault. Signing and depositing the check can be construed as offer and acceptance of their settlement. In many states they can not abandon the totaled vehicle to you without your agreeing to it. If it is part of their agreement with you (paperwork you have yet to obtain) the property and any storage, towing, etc. will have to be taken from sale of the salvage by you to satisfy those debts.

If you feel the amount was insufficient, keep the check, estop them from any stop payment of the funds and if you are unsuccessful in getting a fair actual cash value settlement from them, you can sue the tort feasor (negligent driver or insured) and get a judgement to which the at fault party would be liable. Sometimes a letter to the at fault party notifying them that you will be seeking the underpayment from them, could prompt their insurer into looking again at the acv and settlement, because if you sue the at fault party, the insurer will be required to provide a defense for them. It's much easier to renegotiate the claim if they were intentionally lowballing the offer.

Or, just see what your insurance company offers for the settlement and let them subrogate.

Posted: Tue Oct 05, 2010 07:12 pm Post Subject:

Mike has hit nail squarely on the head with his response. Could not have said it any better, even down to the "tort feasor"!!

A+++++

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