Car insurance threat of legal action

er_indoors

My daughter had a prang in her car Dec 2003 her fault the other car had a little damage so they went through the insurance company. Heard nothing more.

Today a letter arrived from Tesco claims dept recoveries.
Saying Despite corresponding with your insurance company regarding reimbursement of the cost of our claim, we have not received payment.

We have now informed your insurers that if payment is not received within 14 days we will commence legal proceedings.
As we are holding you responsible for this accident, these proceedings will be issued to you at the above address. Such proceedings will also include a claim for costs and ststutory interest.

Can they do this? surely if you are covered by insurance they can not claim from you if the company fails to pay. Or can they more than a little unfair.

I would appreciate your comments, also any legal advice on the matter.
My daughter is a single and can not afford to pay this. She has since changed her car and her insurance company.

ccygirl

Don't worry just forward the letter to her insurance company- they will deal with it.

iceicebaby

She needs to forward the letter to the insurance comapny she was with at the time.

Did she have legal expenses cover?

mattymoo

The insurers have 6 years from date of accident to recover their money. The driver only has 3 years if they are claiming injuries.

Your daughters insurers have possibly lost the file or are arguing over who is at fault. The other side have decided to issue procedings to bring matters to a head.

A court summons will name you as the defendant. Simply forward it to her Dec 2003 motor insurers and they will appoint solicitors to protect your daughters position and enter a holding defence while the matter is resolved.

You need to act quickly if a summons is received. You also need to chase her insurers to make sure they enter the defence and do not allow the other side to obtain judgement by default against her. This happens if they fail to act within the stated timeframe. This would show up on credit searches.