Sue our own insurance company?

[doitmyself]

About two years ago my wife was hit head on by someone that crossed the center line. For the past 18 months she has had about 4 foot surgeries and almost died from abdominal complications (emergency surgery, lost count of hospital visits).

The other driver was taken away in handcuffs, but we didn't find out why at the time. We hired a lawyer, but things kind of stalled waiting for my wife to get "fixed" (not accomplished yet).

The lawyer recently came back and said that neither the driver or the car owner had insurance. Michigan has no fault insurance.

Now the lawyer is implying that a lawsuit would go against our own insurance company. This sucks! We like, and have a long and excellent relationship with our insurance company associate.

Seems like we are screwed. FYI, I'm not the type to sue for trivial stuff. Even with insurance, our expenses have increased, my wife had to quit her job, and her medical conditions have ended any kind of normalcy for us....I know, others have it even worse, so don't flame me too bad.

Any comments about the insurance/lawsuit thing? Let the "no fault" process screw our own insurance company?

 

[John_K]

Wouldn't you still sue the guilty party regardless of no-fault insurance? I think that is how it works.

John

 

[doitmyself]

I'm guessing that the guilty parties (driver AND car owner) have no resources. There are legal penalties for driving/lending a non insured car that could involve jail time and minor penalties, but there has been no discussion about this.

 

[J_Sap]

If the driverof the other car was arrested and in jail his assets might be worth nothing. If the other cars owner is not the driver and has some assets it might be worth going after them.'

But still you already have a lawyer OP, that's the smart thing to do. You pay a lawyer for his legal advise and it makes sense to me. If your wife is out of work, had four surgeries, and had complications from surgery then the only way to cover those cost is to go after the insurance company.

My sympathy goes out to your family and I hope your wife gets better.

 

[ddrumman2004]

Sue your insurance company for what? Medical expenses? Or his salary?

If your insurance company is paying for all the medical expenses, then I don't see a problem at the moment. If your wife can't work then maybe sue for disability?

Not knowing how well off the responsible party is, I can't say whether to bring suit against him or not.

Just guessing....it sounds like the lawyer is looking to make some money.

 

[btanchors]

I am definitely not an attorney, and obviously, I don't know all the specifics, but...

The owner and the driver have no insurance. It sounds like they have no assets of significance, so, your attorney is trying to go where the money is. (This makes sense because if they did have significant assets, they would have had insurance).

My wife and I went through a very major malpractice suit a few years ago. Believe me, I understand where you are coming from, and that you probably find suing anyone very distasteful. We were in the same boat, and had an excellent relationship with the doctor involved that we sued.

Having said that, like my wife did after the surgeon botched her surgery, your wife has serious, life altering issues to contend with. You aren't going to be able to recover any compensation of significance with a verbal agreement and a handshake. Your situation sounds very serious, and is NOTHING like the lawsuits you hear about - i.e., spilling a cup of hot coffee and suing McDonald's for millions.

One item of advice - given her injuries, you DON'T want this settled quickly until you are certain any lingering problems or health concerns are readily apparent. This will likely take several years to go through the process. I wish you luck. We can discuss more details if you wish to PM me, I will be happy to respond.

 

[Boomer]

I think that this is where your wife's disability insurance at her place of employment, if she had any, would kick in. Under no-fault here in PA, your car insurance company is responsible for your medical.

 

[bepperb]

Yes, we went through this, it is very common. If people find it odd you would sue your insurance company in this scenario, they don't know what they are talking about. Your lawyer isn't fishing for money, he's acting on your behalf to make sure you are given the compensation you bought insurance for in the first place, and obviously your insurance company will have someone on their side protecting their interests as well.

I find it odd you would pay an insurance company hundreds, maybe thousands of dollars a year and then worry about their feelings when it's their turn to pay you.

In the end, your insurance company will sue the guilty party, at least they did in our case.

 

[doitmyself]

Thank you everyone for the input. btanchors, your comments "you probably find suing anyone very distasteful" and "your wife has serious, life altering issues to contend with." are spot on....we now have a handicapped parking sticker, the least of our problems.

bepperb, I find your comments interesting also. I guess my naitevity (sp) of these matters makes me mad that the offending party may get off at the cost of responsible people (our taxes/insurance covers these things....what's new???).

I have found out that our insurance premium DOES include $100,000 coverage for non-insured drivers and maybe Michigan has an un-insured accident fund (still studying this).

Thanks everyone else for the kind comments.

 

[CivicFan]

Originally Posted By: John_K
Wouldn't you still sue the guilty party regardless of no-fault insurance? I think that is how it works.

John


As a rule of thumb, you sue all the possible parties. The ones with deeper pockets get a lot more attention. The ones who do not have money may not justify the fixed costs so you don't sue them.

 

[Kuato]

I used to do auto liability for a major company. No fault usually means that each person's insurance pays for their own damages in an accident - blame is not assigned to either driver.

No need to sue your insurance company, if they're paying for everything; but if they're balking, stalling or simply not paying for what they're supposed to pay for, then even the threat of a "bad faith" lawsuit will help.

Agree 100% with applying for disability and the state uninsured fund.

 

[Garak]

Originally Posted By: doitmyself
Any comments about the insurance/lawsuit thing? Let the "no fault" process screw our own insurance company?


What a terrible situation. You have my sympathies.

In any case, I don't know the law in your state. We have no fault insurance (and also the tort kind) in Saskatchewan. No fault insurance, at least here, only protects those that actually have it. An uninsured driver is not protected from lawsuits.

As others mentioned, suing one's insurance company is not all that uncommon. If they're paying what's needed, of course a suit isn't needed. Insurance companies don't always pay what they should.

Also, as others pointed out, if insurance companies are sued and a judgment rendered against them, they certainly are free to go after other parties and usually do so.

 

[hate2work]

Very sorry for your situation, you have my sympathy.

What exactly are you having to sue your own insurance company for? Medical expenses, compensation because of her injuries, vehicle damage, long term care and rehab?

If you're questioning what the attorney is telling you it's perfectly fine to consult with a different one for a second opinion. I did that years ago and in my situation it saved me thousands of dollars.

 

[VNTS]

did you at least get their name, adress and SS#??

I would still take them to small claims court, win a jusdgement and then attach anything you can to them to trash their credit and prevent them from ever qualifying for a mortgage.



Originally Posted By: doitmyself
I'm guessing that the guilty parties (driver AND car owner) have no resources. There are legal penalties for driving/lending a non insured car that could involve jail time and minor penalties, but there has been no discussion about this.

 

[doitmyself]

Originally Posted By: hate2work
What exactly are you having to sue your own insurance company for? Medical expenses, compensation because of her injuries, vehicle damage, long term care and rehab?


As stated above by someone, I guess the lawyer, aka-"the process" will seek the pocket that has the money?

Your question is tough for me to answer because we are somewhat "anti litigation" minded. We were advised to seek legal help to protect ourselves should we get overwhelmed by all this. Insurance has covered most of the medical bills so far, but my 34 year career is on the line due to massive "restructuring" at our institution (Michigan is hurting bad).

We live a very modest life and are grateful for what we have. The loss of her part-time salary hurts. To answer your question, it's probably to cover the effects of her injuries....where do I start?: personal things regarding her condition I don't want to mention here, expenses incurred (time/money) with many dozens of visits to doctors/specialists/hospitals, etc.., loss of ability to be employed.

Frugal that we are, we just want some help, not become millionaires. We don't want to milk the system. I would trade almost anything for this to not have happened. I am grateful for what we do have and am concerned for the many others who have worse things in life.

Sorry for the whining. I'm torn between "toughing it out" and seeking help. For more soap opera, read my Caravan transmission woes saga!

Peace, everyone. Good night.

 

[Mr Nice]

Quote:
Now the lawyer is implying that a lawsuit would go against our own insurance company. This sucks! We like, and have a long and excellent relationship with our insurance company associate.

If you are entitled for a settlement, then don't feel bad if you have to go after your insurance company to take care of your family. You gotta do what you gotta do.

 

[Cutehumor]

yeah, if the person who hit your wife drove a $500 beater and made mininum wage at mcD's. you have to sue your own car insurance company under the uninsured/underinsured bodily injury limits and property damage limits. my uninsured limits are 300k per accident.

Just don't expect your car insurance not to raise your rates like one poster in another thread mentioned (I know the accident wasn't your wife's fault). they may drop you when slapped with a lawsuit.