Question regarding car ins. and accident

[Eric 951]

I'll try and be brief here--back in April, I was backing out of my driveway while my across-the-street neighbor was doing the same--we were both looking at traffic and ended up backing into one another smack in the middle of the road, as our driveways are directly across from each other. I didn't see him and he didn't see me--complete accident. Besides being a neighbor, he is also a friend of mine--we both surveyed the damage, shrugged our shoulders and agreed that we would each take care of our own damages. My land cruiser suffered a broken taillight, bumper end cap, and some minor dents around the taillight housing--no big deal, car has other dents and scratches, etc.--replaced the light myself, and touched up the paint to prevent rust and called it a day--no claim filed.
His Dakota suffered a dented tailgate, torn tonneou cover, and dent in the rear cab corner where the tonneou was pushed into it. about 2,500/damage, which he turned in as a claim with his insurer.
Now, his insurer--Erie--is coming after me for half the damages and somehow tracked down my carrier who notified me of the claim yesterday.
I spoke to my neighbor and he told me he explained that we backed into each other--and have every reason to believe him.

What is my exposure here? Can Erie force a claim against State Farm on my policy?
I called my carrier and explained I didn't file any claim--which they "noted in the file."

Neighbor is angry at his carrier for the situation, and indicated he should have said he just backed into a tree, but I can't fault him for being honest as to what actually happened and have no ill will towards him.

This occurred in PA if that matters.

[stomachmonkey]

Insurance companies look for any reason to distribute responsibility.

I once got tagged by a woman who lost control on ice, crossed three lanes of traffic and hit me while I was parked.

Her insurer assigned 10% of the blame to me because I a) did not honk my horn and b) did not try to get out of the way.

[Joe Bob]

When you "take care" of your own damages you DO NOT turn it over to an insurance company. You open up your wallet and pay cash. Your buddy is a dumbass.

[chocolatelab]

Originally Posted by Joe Bob

When you "take care" of your own damages you DO NOT turn it over to an insurance company. You open up your wallet and pay cash. Your buddy is a dumbass.

yep, bummer really because now he zero control. I wonder what would happen if you turned a claim on your side now.

[FastCarFan]

This is slightly off-topic, but years ago I was the 3rd car in line at a traffic light. The light changed to green & we started moving, then the car in front of me stopped for some reason, so I stopped. I was hit in the rear by a 16-year-old kid. There was no damage to my car, but his car - actually his father's car - had minor damage: broken fog-light & cracked grill. I felt bad for the kid so I didn't call the police or my insurance company. I figured he had to deal with his father....

But then the next day I woke up & my neck was very sore. You always hear about people faking neck injuries, but it was real. I was very worried that I would incur medical costs & I didn't have any info about the other driver - no name, no police report, etc. Thankfully the neck pain only lasted a day or 2, but I learned a lesson - always file a police report.

My 2 cents.

[ossiblue]

The answers have been given. Handling it yourself means you keep the insurance companies out of it--period. He had significant damage costs so he claimed it and the insurance company did what they all do, they try to split the liability between the parties/carriers.

If your neighbor was a bit more savvy, and still "honest," he could have simply said, "I backed into my neighbors Landcruiser." Period, no elaboration about you backing out also. Don't ask, don't tell. That's water under the bridge, however. Now, it will be between the two insurance carriers and you may be notified that you were considered to be X% at fault and your policy covered you. Your rates may or may not increase.

[Steve Carlton]

Originally Posted by Eric 951

Besides being a neighbor, he is also a friend of mine--we both surveyed the damage, shrugged our shoulders and agreed that we would each take care of our own damages.

He broke the sacred covenant of the friend and his word. He must now be punished.

Do you have an insurance agent or do you deal directly with the company? I can see this going badly, with higher rates coming your way. As mentioned above, maybe you should open a claim for your car, especially if your rates are going up for this.

[JAR0023]

Yep, at 50/50 you can be liable for 50% of your neighbor's damages. Has to do with PA negligence statutes. Quick search if it can be trusted shows PA as a 51% state. Anyone with 51% or more negligence can't recoup from the other party. Up to 50/50 can. At this point your Ins Co knows, so you might as well make them pay for your damages. Your rates are already dinged. They will of course seek reimbursement of 50% from your neighbors policy. Doubtful your neighbor knowingly had his Ins Co come after you. He probably had no idea and just filed a claim. Once done the other carrier will get your info from him and start subrogation. It's their money and they are entitled to get back half of it. -J

[dad911]

Your buddy screwed you. Tell him to fix it if he wants to remain friends.

[Steve Carlton]

Tell him his rates won't go up if his Dodge happened to get keyed.

[Tobra]

You have to report it to your insurance. You will pay half his damages, he will pay half of yours, in theory

Originally Posted by stomachmonkey

I once got tagged by a woman who lost control on ice, crossed three lanes of traffic and hit me while I was parked.

Her insurer assigned 10% of the blame to me because I a) did not honk my horn and b) did not try to get out of the way.

Surely you did not let this slide.

[Porsche-O-Phile]

Yep. A slippery slope.

[Steve Carlton]

[stomachmonkey]

Originally Posted by Tobra

You have to report it to your insurance. You will pay half his damages, he will pay half of yours, in theory

Surely you did not let this slide.

Hell no.

[Joe Bob]

No such thing as "friends" when an insurance company gets involved. There IS A REASON why they are the richest companies in the world.

[wdfifteen]

Originally Posted by Steve Carlton

That's a great photograph.

[johnsjmc]

Have your friend insist that you were stopped in the roadway when he hit you. He should be able to amend any statement if he gave one already .

[Scuba Steve]

Originally Posted by Steve Carlton

Nice picture, but why move that knight when the other one already has the king in check?!

[MBAtarga]

Good catch Steve - whomever took the picture doesn't play chess!

[Steve Carlton]

LOL. Makes the analogy even better!