Do I have to wait for the insured of the at fault insurance company to pay their deductible before the insurance company pays me for my damages?
Free Insurance Quote Comparison
Secured with SHA-256 Encryption
UPDATED: Aug 30, 2011
It’s all about you. We want to help you make the right legal decisions.
We strive to help you make confident insurance and legal decisions. Finding trusted and reliable insurance quotes and legal advice should be easy. This doesn’t influence our content. Our opinions are our own.
Editorial Guidelines: We are a free online resource for anyone interested in learning more about legal topics and insurance. Our goal is to be an objective, third-party resource for everything legal and insurance related. We update our site regularly, and all content is reviewed by experts.
Insurance Question from Glen Burnie, MD
Asked on 08/30/2011
Do I have to wait for the insured of the at fault insurance company to pay their deductible before the insurance company pays me for my damages? The insurance company and I have agreed to a settlment amount, but the inurance company refuses to pay me until their insured pays them the policy deductible.
Answer given on September 03, 2011
I am presuming this is an automobile loss. If the insurance company for the other party has accepted responsibility, then your claim should not be affected by the other person’s deductible. The policy deductible applies to the other person’s damages to their car. It does not affect any property damage or injuries. I would suggest that you contact the other insurance company again and have them explain their position. If they do not change their mind, ask to speak to a supervisor, because it sounds like the adjuster in this claim does not understand how deductibles work.There are some business liability policies that have a deductible, although it is rare. If this is a business policy (not auto) then this could be the case. However, the insurance company should simply pay you the settlement, less the deductible of the insured. You would then need to get that payment from the insured. Hopefully this will be simple, but if not, you may have to take them to court to get that settlement
IMPORTANT NOTICE: These answers are for general information purposes only and are provided by the person answering and FreeAdvice.com AS IS. It has not necessarily been reviewed by the management staff of FreeAdvice.com nor is it binding any insurance agent, broker, or other insurance professional or any attorney or insurance company. Insurance laws, regulations and practices vary from state to state and insurance policies and practices differ from company to company, by type of policy, by state and locality and by type of insurance. Tiny variations in the facts, policy language or a detail not set forth in a question often can change the outcome or a professional's conclusion. Although FreeAdvice.com has confirmed that the answer(s) was/were provided for the account of an experienced insurance professional, that professional may not be licensed in the state referred to in the question, and may not be experienced or up to date in the subject area. Unlike the answers provided here, upon which you should NOT rely, for personal advice you can rely upon we suggest you consult a licensed insurance professional in your area or retain a licensed attorney listed on AttorneyPages.com to represent you.