Admitting liability deep into the claim

dnet

Hi,

My friend was involved in an incident where he touched another car and took some paint off. There was no damage to his car

He didn't stop and the only witness was the driver of the other car

So far he's denied all knowledge and the claim was closed due to lack of evidence

The other driver has now issued court papers claiming for cost of repairs and solicitor's fee

His insurer is backing him and will represent him at court as well as cover any judgement against him

He asked me what might happen if at this stage he admitted liability?

He was insured fully comp with protected no claims

Would his insurers still cover him?

Would he incur some other penalty for leaving it this long?

Btw i know how stupid he is. I am just trying to help

forgotmyname

He was lucky the other driver didnt report him for failing to stop. 6 points for that.

Is he really going to tell his insurance that he lied about the incident?

dnet

He says he is getting tired of it and maybe he'll get a claim against him but it will be over

But yes, he's worried if he admits it now there will be more punishment than just an at-fault claim and higher premiums

Aretnap

Is he willing to go to court and commit perjury by denying all knowledge? Perjury is an offence which carries a prison sentence - not in a "prison is theoretically possible but a fine/slap on the wrist is more likely" sort of way, but in a "prison is very likely, complete with showers with Bubba" sort of way. That's the reality of what he could face if he continues with the lie - some things are a lot worse than higher insurance premiums for a few years.

dnet

Yeh i think that's the problem

He just wants to know what the insurance company will / might do

I've heard of people admitting liability when threatened with court, so what happens to them with their insurance? If they've lead them along for so long do they just pay up or punish them in some way for wasting their time?

Quentin

It's not for your friend to admit liability unless he intends paying with his own money. ( I.e. you breach the conditions of your policy if you take it on yourself to admit liability).

He needs to come clean with his insurer, let them deal with the claim and cross any bridges over misleading his insurer if they arise.

dnet

Would his insurance still protect him now that the claim is coming from the individual and not their insurance company?

Might they just say 'well it's your problem - you sort it out'?

Quentin

Court cases are always taken out against the driver/ owner not the insurer. The claimant is the other driver, not his Insurer But the insurer will deal with the claim.

He needs to pass the correspondence over to his insurer to deal with along with his side of the story, let them deal with the claim and deal with any consequences if he previously has mislead his insurer.