Legal Question in Personal Injury in California
''Insurance company refuses to pay for my loss''
I had a 1969 VW Bus,completly restored. Invested over $15,000. It was used for my beach style restaurant bar's safe ride shuttle. It also was a great way to advertize.(I say this just so you--name removed--t think ''what an ideot to spend that much on a VW Bus'')Anyway the bus was leagally parked on the side of the road. A drunk minor driving his fathers insured truck hit and totaled the bus. The teen also hit a light pole. Insurance co. made me wait over 9 months for then to contact Edison, so they can get cost of pole rewplacment. To make a long story short, my persentage of claim, settlment amount is $3400. I incurred costs way beyond just the investment of $15,000. With towing,storage,towing then impound I--name removed--t even have the bus anymore. I sent letters to the insurance co. and the insured requesting payment of $11,000. The insurance co. refuses saying insured has to little coverage, and insured says he hasn't the money that his insurance should cover it. Since the amount is over the small claims amount what should I do to recover loss? Thank for your time and if you ever have any Food & Beverage, Hospitality questions please feel free to contact me. (Industry consultant for several years)
4 Answers from Attorneys
Re: ''Insurance company refuses to pay for my loss''
An insurance company's liability is limited by its agreement to indemnify its insured. Usually they agree only to pay the reasonable cost of replacement. As a result, they are not going to pay you the kind of money that you invested in the bus. On the other hand, the one primarily laible is the kid that struck your bus, and he is going to be held to compensate you for your loss. Your only problem there, is his ability to pay the cost. You might check your state law, because some states, including California, make the owner statutorily liable up to $20,000 for injury or damage negligently caused by the driver of the vehicle. That might help you. There might be greater liability if the owner was guilty of negliegent entrustment.
Re: ''Insurance company refuses to pay for my loss''
Do not accept the statement of the adjuster or an attorney representing the "policy owner", insurance company as to the policy limits. There is a recent appellate case which said that it is okay to lie to you about the policy limit. Insist on a copy of the policy.
Also check with police department regarding charges filed against the minor. You should be able to get a order as a part of his probation that he pay for any uninsured losses.
Keep in mind that most insurance companies will not pay unless you sign a complete release of the insured and probably the dependent of the insured.
Re: ''Insurance company refuses to pay for my loss''
You are entilted to the reasonable value of the vehicle and consequential damages that are provable until they make a reasonable offer.
Joel Selik
www.4thelaw.com
Re: ''Insurance company refuses to pay for my loss''
You can file a lawsuit in the limited jurisdiction of the Superior Court for claims under $25,000. The parents of the minor would be liable for the damages pursuant to the California Vehicle Code and possibly under the Civil Code for criminal acts of their son. You can recover the value of a customized car, so you should be able to get the fair market value of the car as customized.
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