Uninsured Accident - Please Help

loskie

your "friend" is up the creek with no paddle.

pinkshoes

JohnFredrick wrote: »

Hi

Yes as pinkshoes said its being pursued by the hire car company to claim for damages.

They also want to claim for losses to the business, Already its looking around 35-40k

I thought MID compensate for claims against uninsured drivers?

His a little lost does not know what action to take as he has no money, his considering bankcruptcy.

Any way to get out of this mess message in

Thank you guys

The insurance company need to mitigate their losses, so they will claim as much as they can against the uninsured driver.

Does this friend have any assets at all? Bankruptcy might be his only option.

AdrianC

JohnFredrick wrote: »

A friend of mine was involved in an accident last year where he collided into another vehicle, he thought he was insured but turned out to be fake insurance bought from social media

Your friend is a gullible fool. Sorry to be blunt, but...

The car he hit into was a hire car and his friend was driving it, so to settle the heat he paid the excess off for that car, and the hire company will be claiming from their insurance.

I'm sorry - let me correct that earlier comment. Your friend is a VERY gullible fool

Anyway, months later a court letter has arrived from the hire car’s insurance trying to claim full costs for the damage on the car he hit into

Which he undoubtedly owes. If he doesn't pay, he's going to court for the debt - and if he still refuses to pay, he will get a CCJ - and possibly bankrupted if he cannot pay.

but he paid the excess at the time for the hire driver

...who wouldn't have had to pay any excess anyway, since he wasn't at fault. So to top it all off, he's giving random piles of cash away. Can I have some, please?

where does he stand?

At the bus stop, if he can't afford to buy proper insurance. And that's always assuming he doesn't lose his licence after getting prosecuted for driving without insurance.

AdrianC

He won't be able to take bankruptcy unless he really can't pay. The trustee in bankruptcy would simply pay out of his assets... Of course, he might be stupid enough to try lying to them...

facade

Still_Dave wrote: »

Bankruptcy rather than taking responsibility for his actions?

He knew full well he wasn’t insured, didn’t he?

Watchdog or Rogue traders or Ripoff Britain or whatever Big Dom is working on now did half a programme on fake insurance brokers.


You buy your insurance online, (just like we do) they send you a nice certificate, registered with MIB and FSA and underwritten by RBS or similar. (just like ours are)



Saves you quite a bit on the likes of Admiral too.


Pity they are fakes......:(




Obviously you would check the company registration, and follow up on the certificate somehow to check its authenticity, (you can just keep checking the MID) most people wouldn't. Actually, they aren't all fakes, some are kosher, but were bought on the knock, and the middle man only makes the first payment, but has put you down at a fake address with his email, so you never get a cancellation notice.


The key warning sign is that it is cheap, which is great when everyone is advised to shop around and go with the cheapest quote, and quotes do differ by hundreds of pounds in some cases.

SHAFT

MovingForwards wrote: »

Proceedings have to be issued against your friend as D1 and the MIB as D2, if the MIB were not named as D2 they would not be obliged to settle the claim.

So potentially what will happen is D2 (MIB) will settle the claim and then seek recovery of the money from your friend.

A hire company will have a huge amount of losses as that's a rental car, having that car out of commission means they have lost the amount of money they would have earnt had your friend not damaged it.

Again, I will say your friend would have received correspondence from the solicitors prior to litigation and ignored them.

Thinking about this again, I'm not sure the MIB will step in if the car had comprehensive insurance.

MovingForwards

Loss of earnings will not be covered by fully comp insurance.

The hire company may have a £10k excess for their policy, therefore the insurance company wouldn't pay for the repairs. Or it may be £500 for the excess and the repairs were part paid by the insurance company and part paid by the hire company.

However, there can only be one shot at litigation so all the losses would be included in the claim. Therefore the MIB settle the uninsured losses and then go after the uninsured driver, the insurance company would go after the uninsured driver for the money they pay out.

Either way, the uninsured driver is up the creek without a paddle.

MovingForwards

Without OP, or his friend, swallowing their pride and giving details of who the claimant is eg insurance company or hire company or the vehicle owner (it's possible the hire company didn't own the vehicle and had a lease etc over it),

details of what's being claimed eg vehicle repairs, loss of use, postage/telephone charges etc.

All I can do is give a response based on the limited information and try to cover all scenarios.

Aretnap

AdrianC wrote: »

He won't be able to take bankruptcy unless he really can't pay. The trustee in bankruptcy would simply pay out of his assets... Of course, he might be stupid enough to try lying to them...

People who buy insurance from some bloke off Facebook tend not to be the sort of people who have large amounts of savings or property wealth, so it's quite possible that he has no assets to speak of, especially if he's just crashed his car and isn't insured...

JohnFredrick

He didnt realise the insurance was fake until the accident and when police came to the scene
Yes he got 6 points and a fine from police
He hasn’t got any assets and he hasn’t got a heavy income hence the idea of bankcruptcy