Two weeks ago, I let my friend borrowed my car because he needed to take a couple of his hoochi mamas to another club when I was already too intoxicated to drive. To make the story short, he got into an accident and broke both of my wheels and set off the side and the passenger airbags. From what I was told, a woman ran a red light and he tried to swerve and hit the median.

Anyway, I filed against his insurance (Geico) and they agreed to pay for it. However, when the adjuster came out and got the quote from my dealership, they refused to pay my dealer's labor rates. The car required no body work, just mechanical because he didn't anybody and there weren't any damaged to the car, but they said that a lot of the work is classified under 'body' and therefore only pay for the body hourly rate (which is $36 vs $100 for mechanical.) Their justification is that they can have it done at some body shops for a lot cheaper than at a dealership and therefore refused to pay for the rate given by Acura. At this point, I have no choice; I would have to shell out $1200 out of my own pocket if I wanted to get it done at the dealership or have my car shipped to <i>little mexico</i> at some random shops that they recommend to get my car fixed.

I talked to one of the service man at the dealership and they said these kinda things happened very often, esp. with Geico. State Farms/Farmers/All State would be ok and there wouldn't be one question asked. I can try to sue them but it won't get anywhere and will only take more time to get my car fixed. I am very infuriated about the situation but have no other choices. Does anyone have similar situations? I would like to know so I'll know how to proceed with this claim.

 

I left Geico because they didnt take care of a hit and run on me when they had the police report which included the guys information. (All his information, I got his plates and there were witnesses)

It doesnt surprise me that they are cheap. Do you know an insurance lawyer you could ask if you have a case? That's what I would do instead of having some mom and pop joint fix it for $36 an hour.

 

You are entitled to take the car anywhere you want to get it fixed and they should pay for it.

Suggestion: If you have a full coverage, file a claim under your insurance, pay the deductible. Then your insurance will letigate against Geico and pay you your ded. back. That is often done.

Good luck, Mark.

 

when i was hit by someone their insurance company gave me a sheet of paper showing me the average labor rate in the area. the shop where i wanted to have the work done was 5 dollars above that average rate...i left it up to the insurance company to negotiate.

where can you still find 36/hr labor rate?

 

They are tripping. Lawyer time!

 

From my friends' experiences with Geico, I have come to the conclusion that they are horrible. Those commericals promise the lowest rates, but you basically get what you pay for with them.

 

Reason i have Geico is because of the low rate. They charge me only half of every other company. but I have "investigated" some of their repair shop. Some of the dirtiest, unprofessional shop i ever saw. i have full coverage, I just know that if anything happen to my car and they give me the run around :thief:, i'm calling 1-800-sue-2-win

 

Had same/similar problem with State Farm a while ago when I wrecked our Lexus GS400....spun out into a curb. Same thing...didnt want to pay Lexus labor rates (lexus had no body shop, they send it out to their sister ford dealer across the street for body). At any rate...they also refused to pay the Lexus labor rate and stated that it was beyond the normal. I ended up going to a local body shop around the corner. They were arguing over this....Lexus estimate for repairs was like $7500 .... (broken axle, major undercarriage but no body other than the skirts replaced)...State Farm estimate was less than $2500? Ok....so I took it to their body shop (where I had inside connections to make sure it got fixed right with new parts) and the bill was like $7800? So....this can happen even with State Farm too! They were happy as a lark....but would have been better off if they just let me go to the Lexus dealer like I wanted? Insurance Co's often make NO sence at all! Problem was in my case.....newbie doing initial state farm estimates from state farm...doesnt understand discretionary power that they have and are usually afraid to use it. They looked to stupid when this claim was over...they even paid for my rental car outside of my coverage because it was obvious when it was all said and done that I was right...I should have just went to Lexus and they should have paid for it. If I didnt have family in the biz....I think they would have never figured that out either....but he pressed the issue after it was over to bring the point to somebodys attention because the car sat in the Lexus lot for two weeks while they argued about it...costing me rental car money....and when it was all said and done....they would have been better off to let me go where I wanted to.

Bottom line....insurance companies will NEVER pay more than the prevailing labor rate at the time, which the fact is...I think they believe they have the right to set in many cases? They were quoting labor rates from the Ford dealer across the street....I kept saying...hey....if I wanted a Ford...I would have bought one! They paid either way.....more the way they wanted to go....which means everybody in this class got charged more because the actuaries (sp?) probably changed....but I guess thats why insurance is one of the highest profit biz in our country! They dont ever lose! They just charge everybody more in that class? TOTAL RIP!

 

Progressive and Allstate are really good about servicing their customers. They take care of business and you get what you pay for. I recently changed to Liberty Mutual and its a lot cheaper. I hope it doesnt cause me any headaches later.

 

Not to mention....you are not dealing with your own insurance company to start with. I would bad vibe your buddy to no end man! I might suggest dealing through your own company as it is more in their interest to get your car back to condition....your buddies insurance co does not give one crap about your car. Heck....I am even suprised they talked to you about it. Fact is...at least in Indiana....if I loan my car out....it is MY responsibility to make sure the car is insured...not his...nor would I expect to deal with HIS insurance co if there was a subsequent problem...unless of course....it was him who hit me IN HIS CAR and I didnt want to turn it in for some reason to my company....? Frankly....I am confused why his company would even mess with it? I am sure there is some grey area I am not understanding here though.....? Not an insurance agent or anything....(lol)

 

And how do you think that little lizard dude is paying for those sportscars and vacations anyway! I HATE THAT GUY! SOMEBODY STEP ON HIM ALREADY!

 

A lot of times, the first guy you get on the phone with gieco is the "no" man. Ask to speak with a supervisor and you will quickly get your problems taken care of.

I guess its a money saving tactic, but they put a "dummy" on the phone and try to lowball you/ get out of paying and if you go for it, they save money. If you catch them and call them out on it, they will quickly plead ignorance (on the "dummy's" behalf) and then pay the claim.

What they are trying to do should be illegal, but I don't think it is as long as they pay in the end.

 

Sometimes the dealers bobyshop is the last place you want working on your car. In my pervious experience with German cars, I found I was better off finding a nice shop that deals with mainly foreign cars. In my case I found a shop that was loaded with German cars (probably nothing less than 100K when I walked in). I was more than happy to let them fix my car, and they did a great job. State Farm paid them directly on two occasions, and never had a problem.

 

can you please elaborate on how progressive is so good and all about service?
I do not know about all-state, but please elaborate how progressive provided you with good customer service.
I had progressive, was involved in an accident with a driver who was intoxicated and totalled my car and injured me, my little sister and my gf.
I will tell you all that progressive agents sound nice, till your in a big accident like mine.
it took a while for me to recieve a check for my car because after towing your vehicle they take it to one of their junk yards and have it appraised. while most insurance companies usually give you a estimate at what ever shop your car was towed to. but progressive they tow your car to their lot and give you an estimate.
The guy who works at their junk yard gave me an estimate for atleast 9,000 for my car.
you know what i got from progressive 6,000 and i had to wait for that stupid check.
not only do they take a while for you recieve your check, they give you the run arounds with medical expenses.
i tell you this, I will never have progressive as an insurance ever again. just my
with all this ALL insurance agencys are messed up. so dont let good customer service sell you. you dont know how they will treat you till SH** hits the fan.
for now I say go with the cheapest insurance you can find.

 

I can tell you I'm still dealing with AllState with the wreck I had in my 04TL last october. They offered me 7K for P&S and total doctor/lawyer fees. There's still $3600 outstanding doctors fees, the lawyer will take his 1/3, that doesn't leave me squat and they totally dicked me around with the money and stuff trying to get the car fixed. Their "reassuring" commercials are just BS like everyone else's commercials.

I have USAA which unfortunately you can't join unless you are military or your military parents can give it to one generation. Talk about a company that has never treated me wrong. Pay for things quickly and even coughed up all the money to fix my car when I got hit by a Checker cab that had no insurance, not even liability. I don't know how they are to deal with as the "other" person in the wreck, but dang they've taken care of me thru the years. Of course they're not the cheapest, I pay $1000/yr on my 1998 accord, but they do give money back each year if they haven't paid out a lot of claims, one year I got almost $500 back of my premiums. This year with the hurricanes I doubt they'll pay back much.

If you can get 'em, they are great. AllState however, *blech*

 

You can deal with your own carrier even if it's not your fault. It's called subrogation. You tender the claim to your own carrier and they process it and pay it, then they go after the person who hit you (well, usually that person's insurance company). The "subrogation" aspect refers to the idea that if your carrier pays your claim, and you then sue the person who hit you, your carrier has a claim on the money you recover up to the amount they paid you. This makes sense because your carrier isn't responsible for the claim. When I got rear-ended in August 2004 I called State Farm and I was paid within a week, except for my deductible. The girl who hit me had insurance from the Hartford, so State Farm then demanded that they reimburse the damages (plus my deductible and towing costs), which they did.

In 1999 when I got rear-ended the woman who hit me had GEICO. That time I went through GEICO instead of State Farm and didn't really have any problems. I had to take the car to a GEICO inspector, who did an estimate and cut me a check; I then took the car to a body shop I trusted and brought a copy of GEICO's estimate. They came in with a few things being over the estimate and they negotiated directly with GEICO. Ultimately I didn't pay anything, which was just as well because I would have sued the woman who hit me and that's a nuisance.

I think that finding a good, reputable body shop that's worked with the different insurance carriers is a very important part of the process. But one thing that everyone has told me is that you get what you pay for with GEICO—the downside of their advertised low premiums is that they drop you quickly if you cost them money.

 

Uh...I think thats about what I was telling him....just in way less words! Deal with his own company....yes. Geico was his buddies company (the driver who borrowed the car)....if I read his post right? Now to the concept of subrogation....yes...I know what you are saying there totally....although in all my years of driving and all the accidents that somehow I got involved in that did not end up ultimately being my fault....I can tell you from experience...unless you are talking a HUGE claim...I dont think most companies mess with it beyond that. I have NEVER had State Farm actually "go after" the guilty party and receive any part of my deductible or anything whatsoever back from them...no matter whos fault it is. I think in most cases it either isnt worth their time?.....Always been a mystery to me there?

I figured he was trying to go through his buddies (the driver) company as he had a deductible he was trying to get away from having to pay (dont blame him there...). From which I kind of figure...hey....go to your own company and get your car fixed up....and then lean on your buddy for the deductible! Surely your buddy who borrowed the car doesnt think he isnt going to have to pay anything? (at least I wouldnt leave my friend hanging like that...thats for sure) Heck...his buddy may be trying to be his buddy by getting his company to cover it? Not sure....just figure, if problems...revert back to your company!

 

I guess the problem with everyone here complaining about the insurance companies is that you guys let teh insurance handle everything. That is a big NO NO. Get a lawyer and they will do everything for you. Thats how I have handled every case and maybe thats why I dont have any complaints with Allstate and Progressive (when I had my accidents). Insurance companies will try and screw you so they can save money any way they can. But when the lawyer is involved, they know better since they know the ins and outs. We dotn since its not our job.

 

Sure, but I figured that it might be worth expanding on the point for the benefit of folks who are less familiar with the process. I've known several people who haven't realized that they can deal directly with their own carriers even if the accident wasn't their fault, so I'm sure there are other people who don't know that. Wasn't trying to correct you or anything, just trying to give more details for folks.

 

Hehehe....I make certain that they know that I practice law and do insurance coverage work....funny how none of them try to pull a fast one when I work that in there somewhere

 

Couldn't agree with you more. I switched from Geico to USAA in early 80's. Superior service at reasonable, but not rock bottom, rates. Used to be officers only but now open to enlisted as well. Highly recommended for anyone with military service.

 

It's interesting how some people PREFER to go to a dealer bodyshop instead of a "mom and pop" bodyshop. I much prefer the latter. I want a body shop that has been in business a long time, has a great reputation, where people bring their expensive cars, etc. The dealerships have high overhead, and need to make their repair shops a profit center to compensate for the new car department that is basically break-even in profit at best. The higher cost of repairs there doesn't necesarily reflect in the quality of work. The bodyshop at a dealership is just one aspect of their business, not their whole livelihood like at a "mom and pop" shop. People will always come to the dealership for repairs, because they think that's where they should go, but the mom and pop shop survives on quality and reputation. (Other places, like Maaco, which could be mom an pop running a franchise, survive on being "cheap.") Many of the good shops cost MORE than the dealerships, though, because they have good people and pay them well, plus their reputation is so good, and the line of cars waiting for repair so long, that they can get away with it.

Insurance companies, in general, don't want you to go to these places because it costs them money, and the premiums we pay aren't set up for that. Personally, I'd be willing to pay a premium on top of my premium to be allowed to go where I want for repair.

Where I live, State Farm looks at the damage, gives you a check, and gives you a list of shops that guarantee to fix the car within that estimate. (The shops may be able to negotiate with State Farm for more money if they find hidden damage). Unfortunately, none of these shops are places I want to take my cars, unless I plan to sell right afterwards.

 

I dumped GEICO for Progressive over 7 years ago, and never looked back. Saved a ton by switching, plus, they actually lowered my rate for a 3year? no accident discount... Went through a hit and run with them on my old CL, and they were great.

I highly recommend Progressive.

 

i'm comfused. how did u get ur buddies company to pay for ur car that he was driving, his company is insuring his car, not what he drives. ur insurance company is supposed to cover him becouse he was driving the car they insured(ur car)?? right help me out on this

 

I am insured with State Farm, and my insurance covers me in another car.

 

Policies vary by company as to their coverage for operation of "non-owned" vehicles, such as the situation described here. It is one of the major contractual differences between policies. For instance, my company provides primary coverage and waives my deductible if I'm operating a rental car. Let's me waive all those expensive "extra coverages" the rental car companies push at you.

However, for any other car I operate (that I do not own), unless my own car is out of service, my policy is excess over the policy which actually lists the vehicle involved. This is the usual practice for most companies, but you have to read the policy to be sure.