Disclose Policy Limits?

[rom1221]

I am in California and i was involved in an accident which was deemed my fault. The other party hit the back side of my car while i was turning left at stopped traffic. Anyways, i didnt even dispute that it was my fault and figured my comprehensive insurance would cover it.

There was basically no damage to my car... a tiny 3 in scratch bu the wheel well (i drive and RX330) and the other car's front bumper (a Prius) dropped and the hood was distorted.

anyways i found out later that the lady asked my insurance co to total her can and then she would "go away". It was a ridiculous request considering the damage and my company refused. apparently she got her company to total it. not sure how.

but now she claims her mom's latest hip surgery should be covered by my insurance. its her second or third one and she had been to the doctors to complain about it b4 the accident. So my insurance company refused to pay for it but offered her something like 20K for her troubles.

But now they are asking me disclose my policy limits. what is this about and how could this affect me? Should i disclose them? I dont want to be sued and my limits are way higher that what my insurer is offerring. How come they have to ask my permission? Should i allow it? Please help...

I want the lady to get what she deserves, but i feel like she is milking it... but then again i am covered. How will i be affected if i do or dont sign the form?

help help help...

 

[ecmst12]

NO NO NO do not disclose your policy limits. Do not discuss ANYTHING with them. Direct them to speak with your insurance company only. If you are served with lawsuit papers, forward them to your insurance company too. Until a suit is filed, you are under NO obligation to disclose that information to them, and after, they have to go through the discovery process to get it. They are trying to gain an advantage over your insurance company, who is trying to protect YOUR interests by not disclosing the information.

 

[las365]

NO NO NO do not disclose your policy limits. Do not discuss ANYTHING with them. Direct them to speak with your insurance company only. If you are served with lawsuit papers, forward them to your insurance company too. Until a suit is filed, you are under NO obligation to disclose that information to them, and after, they have to go through the discovery process to get it. They are trying to gain an advantage over your insurance company, who is trying to protect YOUR interests by not disclosing the information.

My impression is that it is OP's insurance carrier that is asking OP's permission to disclose the policy limit.

I respectfully disagree with ecmst12's advice not to disclose the limit. In my opinion, refusing to disclose makes it more likely that OP will be sued, because the other party will have to sue to get the information. Having worked on both plaintiff and defense sides of auto accident personal injury cases as a legal assistant, it is my experience that it may actually move settlement negotiations along when the policy limit is known.

Regardless of what the policy limit is, the plainitff will have to show that she can prove that the auto accident was the proximate cause of her need for a third hip surgery and prove the related economic and non-economic damages in order to win a case, if it goes that far. The case is what it is no matter what the policy limit is.

OP was at fault in the accident (even though there could be some comparative negligence if CA provides for that) and has insurance for exactly this kind of situation. I don't see how delaying the disclosure of the policy limit helps him.

 

[justalayman]

first, I would suggest the only two reasons to ask for the limits are;

1. they are preparing a suit already and want to shoot for the limit of the insurance. This tends to push the injured party to allow a settlement since they will pay out nothing out of pocket.

2. they simply want to ask for as much as they can without causing the insured party to become defensive so they will allow a settlement.

There is no reason to release the info. It simply allows the other insurance company or the injured to look for a sweet spot.

I do not believe that the insurance limits are subject to discovery (although I could be wrong) as it has nothing to do with the case at hand. It is a contractual agreement between the insured and the insurance company and is irrelevent to the case.

I can tell you that the case I was personally involved in, that info was not disclosed to myself (as the injured party). I do not know if the info was actually requested though.

I personally believe it should not be disclosed. If the injured wants to sue, let them sue for what they believe to be a true accounting of the injuries and not merely a case of grabbing because somebody has a big pocket.

The injured, by OP's accounting, is obviously looking for more than they should ever recieve. I would fight this with all I could. Allowing your insurance company to be raped merely results in higher costs to everybody.

I would consult with my insurance company and let them convince me IF the info should be divulged. Then consider things at that point.

 

[ecmst12]

Well let me reconsider. WHO is asking you to disclose your policy limits?

 

[FlyingRon]

f
I do not believe that the insurance limits are subject to discovery (although I could be wrong)

Can't vouch for California, but they certainly are in Florida. As a matter of fact the statutes explicitly require disclosure.

 

[rom1221]

Well let me reconsider. WHO is asking you to disclose your policy limits?

im sure they are asking my insurance company, who is asking me if i want to thru a form they sent me.

from the sound of the phone message my insurance adjuster sent me they dont want me to allow it. Im confused... why would i ever allow it - under what conditions? Am i more likely to be sued if i dont reveal the limits?

if i do get served with a lawsuit, is my insurance company going to take care of it? or am i going to have to get a lawyer, etc...? thats the last thing i want.

 

[justalayman]

I would listen to your insurance company. They will provide an attorney to defend the case. If for some reason the jusgement is beyond your limits of insurance, your insurance company will only pay up to their limits of your policy.

Essentially, by defending you, they are defending themselves.

If your insuance company suggests not disclosing your policy limits, I would listen to them as they most assuredly have been through this before and would have a better direction that a typical layman.

FlyingRon; that is too bad. It really has nothing to do with anything and as I stated earlier, it is a contractual agreement between an insurance company and its client. I see no reason disclosure should ever be forced. I believe that improperly allows a plaintiff to shoot for a number regardless of why they how and how badly they have been injured.