Car Accident: Should I pay compensation or leave it to the insurance company

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asked on Sep 3, 2009 at 16:11
edited on Mar 30, 2016 at 02:53
I accidentally knocked into a motorcycle two days ago. We went to the workshop to get an estimated costs for repairing his motorcycle and the costs were way too high for me to pay (it was an expensive motorcycle). The motorcyclist and I then agreed that we reported the accident to the police and claimed from the insurance company. We did report but later the motorcyclist called up and asked for compensation lower than the estimated costs but still high.

Should I pay for this compensation? Since we have reported to the police should not we leave it to the insurance company. He claimed that he would lose his no claim bonus (NCB) but as far as I know, he would not lose his NCB because he was not the party at fault. Also he wanted his compensation for the time and energy he spent to get to the workshop and being absent from work.

According to the insurance company, they would cover the costs of repairing the motorcycle and other uninsured losses like compensation for actual repair time, loss of excess..provided he file in his claim against my insurance company. Now he is trying to obtain legal action to claim for his compensation. Can someone advise me what to do?
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3 Answers

answered on Dec 5, 2009 at 23:31
edited Mar 30, 2016 at 02:54
Since you have reported/notified your insurer, a claim file will be opened up to six years waiting for the other party to file their claim against you. Just forward any correspondence, lawyer letter to your insurance company with reference to your documentation etc.

They are two sections in your motor policy that describe the third party damage in Section II on property limit of up to 2 million and unlimited bodily injury.

Motor Insurance is a claim made basis type of policy which means you have to inform the insurer of an event of accident occurred whether a claim was filed or not by yourself within a time frame say 14 days if I am not mistaken.

Kindly refer to your policy document as much of the terms and conditions are spelt clearly in the so called uniform standards policy wording from PIAM (General Insurance Association Malaysia) approved by Bank Negara Malaysia (the Director General supervising the Insurance Industry of Malaysia.

If you still insist to pay the motorcyclist, ask him to signed a hold harmless agree that time signing, he/she is in sound mind, agree to accept the payment and forbid to take any legal action, file a third party claim to your insurer etc. A lawyer is the best person to draft this kind of letter cause I am not one.

Bear in mind that by paying them and admitting liability will waive your right for the insurer to defend your case if
some unnoticeable related injury crops up later resulting a bigger lawsuit to you which may be hard to handle.

I am not the best insurance agent nor a lawyer in town but my advice are sincere and useful if you are a responsible person.

Insurance is not an option, it is a responsibility and legal binding contract to assist in a reasonable within the mean of it's ability and capabilities to pay.
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answered on May 14, 2013 at 23:03
Drunk driver accidents attorneys make sure those victims of drunk driving seek and ultimately acquire a different type of justice. They are doing so by serving to clients take advantage of the chance to be created whole with regards to their losses.

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answered on Feb 3, 2022 at 04:05
La modernidad nos avasalla y nos abraza, hoy en día los teléfonos móviles ocupan un lugar importantísimo en nuestras vidas, se han vuelto un miembro más de la familia, somos una sociedad hiperconectada. Desafortunadamente tomar el celular es ahora tan inconsciente que lo hacemos mientras manejamos, eso es inaceptable, porque puede ser fatal y podría no haber regresó, cosas como: “No va a pasar nada por un vistazo rápido”. “Una mano para hablar y la otra para conducir”
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