Insurance company policies re: accident damage repair. Mercury Insurance

My car got hit. The fault was 100% the other driver's. The body shop has removed the front bumper, fender and some miscellaneous items, and their current assessment of damage is at 20k. This body shop also happens to be a shop that Mercury recommends, which happened by coincidence. I just received a call minutes ago from Mercury that they're now not authorizing the repairs because the current estimate is at 20k, and their insured has a limit of 25K. Julia, the girl at Mercury, informed me that because there's not much more room to reach the 25K mark, should they find more damage that MIGHT exceed their insured's limit, they're simply stopping the work now and suggested that I run this through my insurance company, at which point my insurance company would bill them, but cover any overages. Apparently they can do this, since they just did. She also claimed that other incidentals like car rentals have to be figured into the total costs. I never even hit them up for a rental or anything else. Is this a standard industry practice to halt work before completion due to a POSSIBLE overage exceeding their insured's limits? I really don't want this to fall on my insurance. Shouldn't they at least start the repair process and run it until it hits the 25k mark (their insured's limit) before they stop paying I'm in Florida on vacation right now. I'm planning on heading to the shop to see the disassembled car and speak with the folks at the shop on Monday after I return, just to see if this is standard operating procedure for all insurance companies, or just Mercury. Anyone with knowledge or experience in this area? I am ****ing furious right now.

This seems to be the "insurance adjusters game". They're protecting the interests of their company and it doesn't matter what "limits" they have. Their client damaged a very expensive car and they should repair it back to new or replace it with a suitable Porsche exactly like yours, nothing less. And, your insurance company should NOT have to pay the overages IMHO. The accident wasn't YOUR fault. You may have to get a lawyer involved. I can't tell you how many times an insurance company wanted to weasel out of paying. Once we threatened to get a lawyer, they locked step and paid what was fair. Hope all works out for you. Keep us in touch!

Sorry to hear this. My wife works for a law firm that handles claims so I get all the nitty gritty. Consult with an attorney that handles auto insurance claims. It will make a difference. Just my 2 cents....

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I can't speak for Florida's insurance laws in particular, but their behavior is horse****. You were hit, you were not at fault, your insurance has nothing to do with it. I would call back and calmly explain that. If they resist, either get a lawyer, contact the Florida insurance ombudsman, or both. Also, I don't know what your 996 is worth, but I wonder if it's going to be close to a write-off? Unless it's a Turbo I can't imagine market value is much more than $25k, and then you're going to have diminished resale once your car is fixed. Sorry to hear about the accident, but glad you're ok.

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It's a Turbo and the car is in SoCal... Mercury allowing their insured to carry only 25k of insurance is idiotic when the average price of a new car in the US is 34k .

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this

Stupid but incredibly common. In CA, drivers must carry at least Bodily Injury Liability Coverage: $15,000 per person / $30,000 per accident minimum Property Damage Liability Coverage: $5,000 minimum. Uninsured Motorist Bodily Injury Coverage: $15,000 per person / $30,000 per accident minimum The insured appears to have MORE coverage than required by law - but like ANY law that is passed with non-COLA/inflation-adjusted dollar amounts, the limits wind up being STUPID. It's stupid sh*t like "i am legally required to buy car insurance" combined with "I am required to coverage that makes up for other people not having car insurance" that really pisses me off. If I have to do one or the other, fine - but don't tell me I have to pay for something MANDATORY - and then also make me pay more because people get away with not having the mandatory coverage. Of course, the math for mandating every Geo Metro driver carry enough coverage to cover fixing a Veyron they _might_ hit someday doesn't exactly work out either.

If the other policyholder does not have umbrella coverage or some other form of protection, your carrier may go after that person for the difference. Since you have uninsured coverage, those amounts may also be applied to make up the difference between your coverage limits and the limits of the person who hit you. At least the person who hit F6M _had_ insurance. I have this amazing ability to only get hit by people with no insurance - and they've always been old and/or female, so I don't even get to punch anyone.

I better review my policy for uninsured and underinsured limits. Sounds like OP's issue would fall in the underinsured provisions.

I really appreciate all of the advice, guys. Right after that post I went back out into the Florida sun, tilted a few back, and I'm not angry anymore. Vacations are nice like that. Now I'm merely frustrated, so that feels much better I'm going to speak with an attorney on Monday and learn what my options and rights in this situation are prior to anymore contact with Metcury. My guess is that regardless of what common sense in this situation might dictate, the law might land 180 degrees in the opposite direction.

Where are you staying in Florida? I'll offer up a free tarpon charter to you to help get your mind off of it.

What ever happened to just turning over the handling to your insurance company and let them deal with the other side? I thought that was one thing you paid your insurance company for. I could be totally wrong. F6M: Sorry you're having to deal with this on vacation. Let it go and enjoy...

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Hey Man, again bummer about your car for sure. I work for one of the main insurance companies. Yes, this is standard. As soon as it is identified that their is a possible limits issue, that is when the customer is notified they need to go through their own insurance company. It is still not an "at fault accident" so it won't effect your premiums in any way. When repairs are complete, your insurance company would surrogate the at fault insurance company. If it goes above the $25k limits, then it goes under you underinsured policy coverage. If you do t have that, small claims court is what you need to do to collect the rest. I know it's s hassle, but feel free to PM me anytime and I can help you out if possible. Good luck man!

Thanks again, guys. And, HawkFan, thanks for the information regarding standard operating procedure from the insurer's perspective for this situation. I have six vehicles insured with comprehensive and limits that are higher than I should need (hopefully) for damage done to others. It's crazy to think how much I spend on insurance, yet know so little about what happens when you actually need them for something. And thank you, Kmagnuss, for the very generous offer. That sounds like a great time. I'm in Pompano at a beachfront place enjoying my last evening before heading back home tomorrow. If I didn't have to be back home, I'd stay at least another week. I have come to realize that I really like Florida. A LOT. Very friendly people, beautiful women and great weather. Key West is still a foggy blur in my memory banks. I'm going to have to come back here again.

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This. Over the years I've had six claims (not for the Porsche,) none my fault, and not once have I dealt with the other driver's ins co. Contacted my ins co and gave them the other driver's info and gave the body shop my ins info. My rates did not increase afterwards.

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So tell us what Company you insure with? That would be helpful because many of us have had less satisfactory experiences with Insurance company claims.

I can't speak for bb04c4s, but i have coworkers who swear by Chubb Insurance - claim they only speak to their insurer once and receive full service (rental car provided, billing, bodywork all handled by Chubb without question). I'm looking at making the switch.

First four were with Donegal Insurance over about 15 years, then I joined AAA and got our coverage through them.

Correct. Turn it over to your insurance company and let them do the work for you. Not likely an attorney is needed. I am a retired ins exec.

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I have a bit of experience in this area -- unfortunately -- but my experience is in CA. My new (4 week old) 2008 Cayman S was hit. The other driver's insurance company assumed responsibility. The other driver's insurance coverage was just $50K. The car listed for $62.6K but I bought it at a heck of a discount for $50.6K. As the estimated repair bill climbed to around $45K the car was declared a total loss. I don't recall the sequence of events but I know I gave the other insurance company some heck over the phone for not insisting the owner of the other car carry more insurance. The situation was the driver was not the owner, but the daughter of the owner. The daughter didn't have two cents to rub together but the owner of the car, her mother, had a house. My dad sold insurance (commerical insurance) and I learned from him no insurance broker/agent worth the title should ever let a client not have adequate coverage to protect his/her assets, in this case the car owner's house, which was worth way more than $50K. The other insurance company tried several times to get me to turn this over to my insurance company. This is illegal after the other company has assumed liability. I acted agreeable to the request and asked it be put into writing. It never was. I refused to turn this over to my insurance. My fear was with the fine print my insurance company would force upon the car a substandard repair. Frankly with the damage the car suffered I doubt it could have been repaired but I didn't want to find out. I wanted the car declared a total loss. My info was -- I had a very auto insurance knowledgeable buddy advising me -- I had more leverage with the claim against the other insurance company than if I turned this over to my insurance company. So I left the claim against the other insurance company. At some point I wrote a letter to the owner of the car and cc'd the insurance company laying out the situation: The owner of the car was underinsured and the insurance she had was insufficient to cover the cost of the car. Therefore if the insurance was not sufficient to make me whole I would have to file a suit or whatever -- I forget the wording now -- to get fully compensated for my loss. This woke up the insurance company. The result was I received a check for over $45K from the other driver's insurance company and as part of the settlement I retained ownership of the Cayman S, though with a salvage title. The car's salvage value was estimated to be around $17K. (As an aside, to "sanity check" this salvage value I contacted a company in the midwest that specializes in wrecked Porsches and after some discussion and a series of pictures of the car this company offered me the *same* amount for the car. And it would arrange to pick up the car.) With a back up plan I then approached somone I knew that managed a large auto auction facility and arranged to sell the car at an salvage car auction. This facility held these once a week. I sold the car at this salvage car auction for more than its $17K value. This money combined with the check I received made me whole and that was that. What does this mean for you? One is you should not turn this over to your insurance company until or unless you have to. You have more leverage with the other driver's insurance company. AS I mentioned above I had a buddy who was very knowledgeable about auto insurance and the law advising me, but you might want to speak to an attorney who is knowledgeable on this subject to learn what your rights are under the law. I'm not suggesting you hire an attorney only to consult with one. An hour's of his/her time is well worth the cost. Take notes. I'm no legal expert but I think you want to offer something like a carrot and the stick to steer the other insurance company to find a creative way to cover your loss or else face the stick. The "stick" in this case could be a lawsuit against the owner of the other car. The consultation of the attorney I mentioned above might indicate this is the way to go and how to go about it. Or maybe a better course of action might come up as you talk with the attorney. I can tell you this won't sort itself out in a few days and by a few phone coverstations. My usual way of knowing one of these situations is coming to an end is the thickness of the file I have. As the thickness gets to 1/2" and closes in on 1" the situation is getting very close to being resolved. This can take a month or more.

I'm in the insurance field and actually dealing with a similar situation as yours myself with another car, not the Porsche. I'll tell you what you can expect and/or do. First, it is standard practice to go through your own company when there is a policy limit issue. You'll need to file a claim under your collision coverage. If you carry collision on your policy. If not, then you're on your own with the other guy's insurance and the $25,000 property damage limit. Assuming you do have collision coverage your insurance company will repair your car and you'll pay your collision deductible. If you have rental reimbursement on your own policy use that as well. You're paying for these coverage's, use them. Your insurance company will subrogate against the other party and his company. Your insurance co. can't increase your rates or do anything to you if you're less than 50% at fault. A few things to note. Unless there are injuries involved no attorney will deal with it, at least on a contingency basis. If you pay out of your own pocket then sure, they'll do anything for you. If the claim exceeds the $25,000 limit then you will not get your full deductible returned after subrogation. When your insurance co. only receives a percentage of their total payout then you receive the prorated share back on your deductible. Assuming you carry uninsured motorist deductible waiver on your policy. In this situation, it would have been better if he had no insurance then your full deductible is returned. This is how most policies read. Some will reimburse your full deductible no matter how much they get back in subrogation. Very few still do this though. You must sign a property damage release form from his insurance co. This releases and forever discharges the other party. You cannot take him to small claims court for any money you're out of pocket because he didn't carry enough insurance. For injuries it's a different story, you can go after his assets. If the damages are under the $25,000 limit and as you mentioned you did not ask for a rental car because it's not needed then you should ask for loss of use of your vehicle instead. Any diminished value asked for is a toss up, you may or may not get it. They will say you have all new parts now where you had old possibly rusted parts before or something like that. You can use any repair shop you like. There is a shop here in So Ca that is Porsche approved and certified. They specialize in Porsche, MB, Rolls Royce, BMW, Lambo's, etc and factory certified for them also. PM me and I'll let you know who they are. I've had my Porsche repaired there and they did excellent work.

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There are multiple shops/vendors in the area that do excellent work

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Yes, there are but only 2 shops in OC, 2 in all of the IE, about 6 or 7 in LA and Valley area and 3 in San Diego County that are Porsche Approved Collision Centers.

OP, whatever came of the situation. Updates?

It's still unfortunately in motion. The car is still sitting at the shop, Caliber Collision, in Costa Mesa, partially disassembled. And as of a couple of days ago, it still hasn't made it onto the frame jig to check for for damage. The insurance company (my insurance company, Geico) demanded aftermarket sheet metal, but when it arrived, the shop rejected it due to quality concerns, and now it's getting oem parts. However, the latest as of this week is that they'll only cover up to $1,000 in aftermarket parts, which doesn't come close to covering the cost of the 3 pieces of the gt2 aftermarket bumper. I'm also on the hook for any prep for the bumper, which means it's in my best interest to get the best quality unit that I can find. The body shop also told me that they won't guarantee the fitment or paint on the none-oem front bumper. I tried to find a good quality urethane unit, which to me sounds more durable for this application than fiberglass, but KBD and GT3Tek don't offer one (gt2), so it's back to fiberglass. I also tried to find a used oem gt2 front bumper, but no such luck. This one http://precision911.com/gt2-front-bu...tt-140-pd.html is the same bumper from the same manufacturer that was on the car when I bought it, so I'm leaning toward driving up to Torrance and buying the bumper and the gt2 aero rockers and having the shop paint and install them (the rockers) while they have the car. It's apparent that I'm already going to have to come out of pocket just to get the car back into the same shape prior to the wreck, so I might as well bite the bullet and get something done that I was contemplating doing sometime in the future anyway. That way it will at least feel like an improvement when I get it back... sort of. The collision occurred on the 22nd of July. I'm not holding my breath that I'll see it completed by Halloween. Needless to say, a very frustrating and disappointing experience.

And I'd like to thank everyone that offered sound, accurate advice regarding this situation. I was absolutely clueless about this process going into this.

Hey dude... this story really sucks when you think about all the time and trouble you've been through trying to get the car back to the quality level it was BEFORE the accident. Such a beautiful car. The upgrades (i.e. GT2 bumper, wheels, etc.) are very tasteful and added a nice level of gorgeous to your car. I hope that you get things settled soon. I would also encourage you to keep records of all the time and out of pocket expenses that this claim has caused you. Why? Because there is always a chance you might have to take the insurance companies to court to make things right. Just my opinion. I always encourage people to avoid legal issues at all costs, but sometimes things can't be worked out fairly. Hope you don't mind, but I'm posting a picture of your car here for those that haven't seen it before it was damaged.