we live in a semi detached house with a shared driveway (4 spots). On Christmas Eve, my brother was going to drop some family back to their place and was reversing our van out of the drive way when we bumped into our neighbor's (renters) boyfriend's car which was parked horizontally on their side behind their other cars on the other side of the sidewalk. There has never been a car parked that way and it was dark so my brother didn't see the horizontally parked car and accidentally hit the front of the wall parked car with our bumper.
On Christmas we talked to the neighbor and the next day the neighbor said we don't need to bring in insurance so our premiums don't get affected. They said the next day that they got a quote of $700 so much dad literally just handed the cash without question. When I asked him why he just took that value at face with no question, he got overwhelmed and pissed 🤷♀️🤷♀️
Was it really such a bad idea to go to insurance?? Would our premiums go up after significantly after such a small accident?? And my dad should not have just taken that value of $700 without even questioning, unless this cost is expectable for this kind of damage in Toronto 😔 Any thoughts on action to take in this situation or was paying $700 fair? I just feel bad cause my brother is broke af. I don't have much experience in this situation so wanted to double check.
Main Legal Issues:
Liability for the accident.
Insurance implications and potential premium increase.
Fairness of the $700 payment for damages.
Questions Answered:
Going to insurance after an accident can result in increased premiums, especially if the accident is deemed to be at fault. The impact on premiums can vary depending on the insurance company and the specifics of the accident. In this case, since the damage seems minor and the neighbor initially suggested not involving insurance, it might have been a reasonable decision to handle the matter privately.
The 700paymentfordamagesshouldbeassessedbasedontheextentofthedamagecausedbytheaccident.Withoutadetailedbreakdownoftherepaircosts,it′schallengingtodetermineiftheamountisfair.It′sadvisabletorequestanitemizedinvoiceorquotetounderstandthebasisofthe700paymentfordamagesshouldbeassessedbasedontheextentofthedamagecausedbytheaccident.Withoutadetailedbreakdownoftherepaircosts,it′schallengingtodetermineiftheamountisfair.It′sadvisabletorequestanitemizedinvoiceorquotetounderstandthebasisofthe700 payment.
If your brother is financially struggling, it's essential to consider his situation when determining the best course of action. If the $700 payment is a significant burden, exploring other options or negotiating a payment plan with the neighbor might be worth considering.
Potential Strategies:
Request a Detailed Invoice: Ask the neighbor for a detailed breakdown of the repair costs to ensure that the $700 payment is reasonable and justified.
Discuss Payment Options: If the $700 payment is a financial strain, consider discussing payment options with the neighbor, such as a payment plan, to alleviate the immediate burden.
Consider Future Insurance Implications: If the damage is minor and the $700 payment is deemed fair, it might be best to avoid involving insurance to prevent potential premium increases.
Things to Discuss with a Lawyer:
Liability Assessment: A lawyer can help assess the liability in the accident and provide guidance on the best course of action.
Insurance Implications: Discussing the potential impact on insurance premiums with a lawyer can help make an informed decision on whether to involve insurance.
Negotiation Strategies: If there are concerns about the fairness of the $700 payment, a lawyer can provide advice on negotiation strategies and legal options.
Always consult with a lawyer.
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