I’m I responsible for an unpaid balance

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Jeffrey Johnson is a legal writer with a focus on personal injury. He has worked on personal injury and sovereign immunity litigation in addition to experience in family, estate, and criminal law. He earned a J.D. from the University of Baltimore and has worked in legal offices and non-profits in Maryland, Texas, and North Carolina. He has also earned an MFA in screenwriting from Chapman Univer...

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UPDATED: Jul 17, 2012

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Insurance Question from Phenix City, AL

Asked on 07/17/2012

I’m I responsible for an unpaid balance I was in the process of buying a vehicle, I was involved in an accident. I gave the vehicle back to the dealership with the damages, the other vehicle was at fault, the claim was given to the dealership and they said they would take it from there. The dealership fixed the vehicle and the insurance paid a certain amount and said that I owed a balance and that I had three business days to pay the remaining balance, can they do that.

Answer given on July 26, 2012

If you were involved in an auto accident that was not your fault, then the insurance company for the responsible party should pay for all damages to the car you were driving. Since the car was from a car dealership, there could have been a contract that you signed that holds you responsible for damages to the vehicle. See if you had such a contract. However, the dealership still should have gone to the other insurance company for the cost of the repairs. If they were unable to collect the full amount, and you had a contract, then you could be held responsible for the damages, but find out why the other insurance company did not pay for the damages.If you are responsible, check with your insurance company to see if they will pay for the damages that the dealership is seeking. You may have coverage under your insurance policy, even though the accident was not your fault.

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