Insurance question

[GT98]

Ok see if anyone can help me out here.....

Over the weekend I was out with friends. The one guy who drove to the bar we went too was drinking kinda heavly and I offered to drive his car back to my friends place. On the way back to my friends place I accidently rearended someone.

After everything was said and done, Me, the owner of the car and the guy I hit said that we would settle without going though our insurance companies and everyone would get a quote for damages done to the vechicles. The reason my friend wanted to do this was he accidently rear ended someone with his father's vechicle back a couple months ago and he didnt want to screw up his insurance any more then he had too, which is understandable since this is NJ we are talking about.

Well I got a call from my friend last night about his friends vechicle and its going to cost something like $4600 dollars to repair and I still dont have an estimate for the damage done to the car I hit with his friends vechicle. I'm currently in bad shape when it comes money, due to me being in the process of getting condo and all the closing fees etc I need to worry about. I understand this guys feelings why he doesnt want to go though his insurance, but $4600 is just way too much for me to bear right now, even with borring money from my Family. Also the cop told us that even though I was driving the vechicle, the vechicles insurance is the one to cover damages to it. NJ is also a no Fault insurance state, which I'm not sure how that will help or hinder me.

I want to help the guy out, but I also don't want to be the one left holding the bag because of some **** up he had a couple months ago. I know hes still at the mercy of the guy who I hit since theres nothing stopping him from filling a claim besides a verbal agreement. So anyone have any suggestions?

[Jammrock]

It's amazing that people would rather spend $2000 to fix something instead of paying their $500 deductible to have the insurance company pay for it. Man insurance companies have a becoming a big rip-off and a waste of cash.

Jammrock

[RibsteakRon]

I would suggest that you offer to pay the deductable and also offer to pay the increase in the premium for the following year, you will still come out of this with less cost then if you pay the whole deal. We pay so much for insurance premiums these day that it would be sensless to let the insurance company off of the hook on this one.

[GT98]

Originally posted by RibsteakRon
I would suggest that you offer to pay the deductable and also offer to pay the increase in the premium for the following year, you will still come out of this with less cost then if you pay the whole deal. We pay so much for insurance premiums these day that it would be sensless to let the insurance company off of the hook on this one.

Only problem with that is I can do that but I could also get screwed if his rates go out of this world or he gets his insurance dropped on him because of his age and two accidents into a couple months. I think hes currently paying $2400 a year on insurance. NJ is the worst state in the US for auto insurance costs.

I pay $2200 year on a $18K (when new, worth about 12 I guess now) on a 2002 SVT Focus. My friend has a brand new $35K Infinty G35 coupe that he pays an extra $400 a year on over me from the same insurance company!

[Jammrock]

Here's an idea. Leave NJ. Then your insurance rates wouldn't suck so bad

Jammrock

[RibsteakRon]

I don't think that his rates will go up more then $500 bucks a year as a result of the accident. Five hundred for the deductable another 500 for the premium increase is still better then the $4600 repair bill

[Brian Ellis]

Do a runner to Canada

[RibsteakRon]

Insightful response Brian, the intellect a little slow this morning?

[agallag]

Originally posted by Brian Ellis
Do a runner to Canada

Like I posted in another thread... that would not be wise.

http://www.autonet.ca/AutonetStories/Stories.cfm?StoryID=8908

They're talking about similar hikes for regular drivers.

[Brian Ellis]

OK, make it Mexico, Peru or Tristan da Cunha

[The PIT]

Looks like the brown and smelly stuff to me. At least you are covered by insurance so it looks like you're going to have to go that route.

[Gurm]

Go insurance.

NEVER EVER EVER settle, unless it's under the deductible.

Your friend will have to cope. They're not gonna cancel his insurance, and it's not gonna go up more than $500. So even if you paid the deductible AND the premium hike, you're out $1000 total.

Gurm_

[breezer]

Your are helping someone who was potentially a drunk driver, let him cover the costs, who knows what he does every other night out.

Breezer

[GT98]

Well heres an update....He called me last night and told me that he got two quotes for damages done to the vehicle and they where $4700 and 4600 bucks from two different places. He also went on to say that if he did claim it though his insurance that his insurance rates would be about 10K a year for coverage! Which might sound outrageous, but I have a 40 yr old friend from NY thats moving to NJ and he didn't have 3 consecutive years worth of auto insurance due to him putting his car into storage (lived in NYC) and got quoted 10K for 2 avg American cars from his insurer. I still don't know what the deal is with the guy that I hit as I need to call him and see if he got an estimate yet. Either way its pretty ugly.

[Gurm]

I don't buy it. I've lived in PA (close enough to NJ), and my brother lives in NJ.

He drives a "sports car" (BMW coupe), has a dozen tickets and two accidents to his name, not to mention other claims such as thefts and backing into stuff...

And his insurance is nowhere NEAR that.

Your friend is full of it. And if he's such a bad driver that his insurance is THAT bad, maybe he shouldn't be driving.

Gurm_