Hello. I was involved in a four car accident recently. I was the third car to get hit from the rear and pushed into the car ahead of me (car #4). My vehicle sustained substantial damage to the rear, front and fender (not drive-able). I filed a claim with car #1's insurance company, the car that caused the accident. I also, filed a claim with car #2, the one that hit me.
Car #2s insurance company said they where not responsible because their client did not cause the accident. Car #1 admitted to fault and has deemed my vehicle a total loss but have said they are unable to make me a settlement offers because Car #4 has not filed a claim.
I reached out to Car #4 to explain the situation but it would appear that he is not going to do anything (idiot). They said unless all vehicles involved file a claim, they are not liable to make any settlement offers.
Is this correct? Can they do that? This does not feel right what-so-ever! Should I sue Car #1 and Car #2 in small claims court?
And no, I am not going through my insurance company for this one.
Looking for options and suggestions.
Thank you for your time and effort!
There are two answers: (1) Yes, they can do that - because they just did it. (2) No, they cannot legally do that. It's a violation of the Unfair Claim Settlement Practices Act to condition the settlement of a particular claim upon the settlement of a different claim.
Why do they do this? Because they get away with this or other illegal or unethical conduct all the time - until somebody (an attorney) stops them.
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