Car Accident with No Insurance

LINTP0151 on 18/09/2022 - 14:25
Last edited 18/09/2022 - 14:27

Ozbargainers I’m seeking some advice.

An uninsured driver fell asleep at the wheel and crashed into my wife’s car that was parked curb side causing a fair bit of damage, the car he initially hit is a write off, my wife’s car probably has $5-10k worth of damage. Police attended the scene and have police report. The driver only has ctp insurance, and regretfully so does my wife. She let her comprehensive insurance lapse in August while overseas, the car has been parked at the airport and we got back on Thursday this week, the accident happened on Friday on our street, big mistake I know.

I don’t even know where to start with this, my preferred crash repairer wants to collect the car on Monday for an assessment of damage to provide a quote to repair. The driver that crashed into the car says he’s a panel beater and wants to repair the car himself which I’m not at all keen on. The car is only 1 year old, I’m not prepared to let someone fix it on the cheap. He says he doesn’t have the money to pay someone else to repair it.

What are my options here? Sue him for damages at small claims court? I’m in a position to be able to pay to have the car repaired myself then chase him for money owed, is this a bad idea? How do insurance companies usually chase at fault uninsured drivers for costs?

Any advice is greatly appreciated

Automotive Car Insurance Insurance

Comments

    • INTP0151 on 18/09/2022 - 14:32
      +13

      Wife’s insurance expired. She only has CTP

      • boomramada on 18/09/2022 - 14:37
        +4

        Look like you can ask for damages, if they don't pay, you will need to take it to court?

        • Murkymerv on 18/09/2022 - 15:00
          +2

          A lot more expense , you forgot to add !

  • holdenmg on 18/09/2022 - 14:43
    +12

    Get a Quote.
    See a Solicitor.
    Maybe the uninsured driver that fell asleep at the wheel can borrow the money against his Crash Repair Business?

    • INTP0151 on 18/09/2022 - 14:47

      Getting the car collected tomorrow and I’ll get a few quotes. I will call a solicitor too. The at fault driver would have been pursued regardless of wether it was more or an insurance company, but if I suspect the costs would be a lot higher with an insurance company once you include their fees and the cost of providing me with a hire car. It’s not his crash repair business, he’s an employee

      • JimmyF on 18/09/2022 - 15:23
        +28

        Basically without insurance, you have to do all the leg work and pay all the bills upfront that the insurance would have handled for you.

        The chances of seeing the money are slim as they drag these things out for as long as they can, and then go onto a payment plan that'll take a decade to repay and then stop paying after a few months, making you start all over again.

        The lesson here, is never let your insurance lapse.

        PS also don't let them fix your car themselves.

        • BewareOfThe Dog on 18/09/2022 - 18:53
          +13

          I had a similar incident @ 25 years ago. A Young Motor cyclist lost control coming down the hill top a roundabout, and clipped my bumper damaging the paint. Admittedly, I was more concerned that he hurt himself. He worked in a panel beater shop, and said he would get it fixed. I can't recall if there was much of a dent, but I lost some paint on the Rear Passenger Bumper. I was not overly concerned, but old mate had issues with his boss doing this at his workshop, so he ended up coming around with a tin of white paint and brush, which yes was dodgy, but we had a beer in between coats, but saved me catching a taxi from the workshop to work, and back.

        • Tleyx on 19/09/2022 - 20:56

          If they have any assets they cant drag it out

        • lunchbox99 on 20/09/2022 - 10:47

          I agree. I suspect this is an example of an expensive life lesson for OP.

        • Serapis on 20/09/2022 - 21:08
          +1

          Apply for a garnishee order from small claims rather than payment plan. Can seek to recover from amounts paid to them by their employer or direct from the bank.

        • helpme on 21/09/2022 - 13:12
          +1

          The lesson here, is never let your insurance lapse

          Isn't the lesson to also get comprehensive? I've got third party but now concerned this will happen to me.

          • JimmyF on 21/09/2022 - 20:14

            @helpme:

            Isn't the lesson to also get comprehensive? I've got third party but now concerned this will happen to me.

            Well the OP did say she had let her comprehensive insurance lapse….. so it was implied.

            3rd party insurance only looks after the people you hit/damage, aka the 3rd parties. Not you. So if you have a decent car or want hassle free dealings then yes full comp all the way!

  • Drakesy on 18/09/2022 - 14:45
    +4

    Sounds like you'll have to send a letter of demand for the price of the car/repair. (chase them up for it before sending the letter of demand).
    It's a civil matter in this case.

  • pegaxs on 18/09/2022 - 14:50
    +61

    Dont let him fix it… He will take a year to do it, if at all (his boss isnt going to let him fix it on work time)… and it will be the cheapest repair you have ever seen and will not warranty any work they do to it. And you dont want to be taking it back to the guy that smashed it up if anything does go wrong (and trust me, it will.)

    Get your own quote for the repairs from your preferred repairer, give the other party the quote and a letter of demand asking for payment. If he stalls or refuses, just lawyer up.

    • INTP0151 on 18/09/2022 - 14:53
      +5

      This is exactly my thinking too. It’s not his repair shop, he’ll be trying to fix it after hours or during his lunch break, no chance.

    • kaleidoscope on 20/09/2022 - 09:04

      100%.

    • lunchbox99 on 20/09/2022 - 10:48
      +1

      Also OP might end up with worse headaches if they damage the car, or it's damaged while in their possession.

  • EightImmortals on 18/09/2022 - 14:51
    +23

    You left your 1 year old uninsured car at the airport?

    • INTP0151 on 18/09/2022 - 14:57

      It was insured when we left it there. It’s a pretty safe place to leave a car

      • AngoraFish on 18/09/2022 - 15:47
        +18

        Insurance companies would beg to differ.

        People's cars are broken into, petrol siphoned and vehicles backed into all the time. Cars run flat and other parts fail due to the car not being driven for an extended period, causing all sorts of mechanical issues. Supervision is non-existent, random strangers are walking past your car with heavy bags constantly. Damage, if it does occur, may not be picked up for weeks meaning that the culprits are long gone and surveillance footage may have been deleted in the meantime, if it ever existed at all.

        A little out of date now, but nothing much has changed (your airport will be exactly the same)
        https://www.heraldsun.com.au/leader/north/melbourne-airport-…

        • JimmyF on 18/09/2022 - 17:50

          A little out of date now, but nothing much has changed (your airport will be exactly the same)

          LOL so 136 cars stolen a year…. Considering the 10k+ cars parked at the airport on any given day I would take those odds.

          • AngoraFish on 18/09/2022 - 20:47
            +2

            @JimmyF: You can probably skip insurance entirely then, since that rate is comparable with Melbourne's most risky suburbs, most of which would have significantly more than 10k cars parked there on any given day.

            • JimmyF on 18/09/2022 - 21:16
              -3

              @AngoraFish: You make it out like it's 50/50 if your car will be there when you get back, but under 3 cars a week are stolen, out of the 10k+ parked there every single day, up to 20k when its full, so the odds are not too bad. Never skip insurance, only stupid people do that.

              • ripprind on 20/09/2022 - 16:55
                -3

                @JimmyF: What do you mean "skip insurance "?
                He has CTP. You shouldn't need more if you are not at fault.

                • kerfuffle on 20/09/2022 - 17:53
                  +2

                  @ripprind: You are aware that CTP doesn't cover property damage, right?

                • JimmyF on 20/09/2022 - 20:39
                  +2

                  @ripprind:

                  He has CTP. You shouldn't need more if you are not at fault.

                  Tell me again how CTP covers you when your car is stolen? Which is what we are talking about.

                  • ripprind on 22/09/2022 - 12:17
                    -1

                    @JimmyF: didn't notice this thread was not about the OP but stolen cars. my mistake

                    • JimmyF on 23/09/2022 - 09:22
                      +1

                      @ripprind: CTP won't cover the OP either… So not really sure what your point is.

                      • ripprind on 23/09/2022 - 09:57
                        -2

                        @JimmyF: I meant, legally you only have to have CTP to be on the road. From there, if the other party doesn't pay then you go to court. So its much more hassle but I wouldn't call it stupid.

                        • JimmyF on 23/09/2022 - 19:15

                          @ripprind: legally in your state you have to have CTP…. not every state is the same.

    • nocure on 18/09/2022 - 14:59
      -2

      Then after returning it home, left it parked in the street…

      • INTP0151 on 18/09/2022 - 15:11
        +14

        The same street we’ve parked our cars on for years with insurance without an issue, 1 night without insurance and bang. Believe me whatever hindsight comment you can come up with I’ve already thought of it and probably said it to my wife. Also worth adding that I didn’t know it wasn’t insured until she told me after the incident or I would have done it myself

        • brendanm on 18/09/2022 - 16:18
          +20

          Is it actually 1 night without insurance? If so, and you've been with them a while, may be worth calling the insurer and having a chat with them.

        • Gotchas on 18/09/2022 - 21:51
          +16

          You’re covered for weeks after non payment

        • TilacVIP on 19/09/2022 - 08:39

          Looks like you're sh!te out of luck, and one costly lesson learnt.

          • ChatCPT on 20/09/2022 - 14:09
            -1

            @TilacVIP: I think you can just say payment was delayed and still get covered!

        • david6509 on 21/09/2022 - 16:27
          -1

          i think with insurance companies most give you 14-21days to pay the renewal? what date was the insurance renewel and when did the accident happen? Might squeeze in, pay to check with the insurance company

  • mskeggs on 18/09/2022 - 14:53
    +6

    Realistically, what chance do you have to get any money?
    If he has smashed at least two cars, and his own, the damages are likely to be worth declaring bankruptcy.
    You are correct that pursuing in court is the right process, but they won't get blood from a stone.

    • INTP0151 on 18/09/2022 - 14:54
      +2

      His car was older than he is. And the other car he hit is a fairly old Subaru. I have considered he could declare bankruptcy

      • Tleyx on 19/09/2022 - 20:57

        If he has assets then you can have the sherriff sell those to pay a judgement

        • FullPrice on 20/09/2022 - 02:14
          +1

          How to know if has assets or not?

          What if they say they have no assets but actually have lots?

          • Tleyx on 20/09/2022 - 08:07
            +2

            @FullPrice: The sheriff will attend their house and find out. Very few people have nothing, you will likely at least be better off than giving up.

            Even tv and playstation is worth something, he has a job so is likely to own some things

            • FullPrice on 20/09/2022 - 10:34

              @Tleyx: Makes sense.

              What about if the sheriff rocks up and there is no ps5/not many physical possessions but $$$ in the bank?

              Can the sheriff check bank accounts?

              • BewareOfThe Dog on 20/09/2022 - 12:28

                @FullPrice: Or it belongs to old mate's Flatmate/brother etc?

                • Tleyx on 21/09/2022 - 13:35

                  @BewareOfThe Dog: The sheriff still takes it and they have to prove it to get it back

                  Court can check bank accounts and garnish

                  Working people are unlikely to have nothing

                  • Typical16-bitEnjoyer on 21/09/2022 - 17:02
                    -1

                    @Tleyx: For those playing at home, Tleyx is mostly incorrect about how Sheriffs operate.

                    • Tleyx on 22/09/2022 - 13:42

                      @Typical16-bitEnjoyer: https://financialrights.org.au/factsheets/the-sheriff-and-se…

                      You do have to prove you own it as the flatmate.

                      Its going to cause the other driver hell to have their flatmate go through that. People who have a job and a way to pay arent going to take the choice to shit where they sleep

                      • Typical16-bitEnjoyer on 23/09/2022 - 16:44

                        @Tleyx: What state are you in?

                        If NSW or VIC Sheriffs come in and you say an item belongs to someone else, they cannot take it. You have a set, and very short, time period to prove ownership. Only after that can it be taken. Therefore you post was incorrect.

                        • Tleyx on 23/09/2022 - 17:27

                          @Typical16-bitEnjoyer: Slightly incorrect. If my flatmate said that i would have my stuff stolen by the sheriff snd i would have to prove it in a short time it would piss me off. So it will cause the other driver hell. And the op might get the stuff if the flatmate wasnt fast

                          Not something the other driver would like so even if you dont get your money making the other drivers life hell is worth it rather than just throwing your hands up and letting it go

                          I.dont know why so many people are saying let it go when you can legally make this guys life bad for basically a court fee or a little more than $100 . No lawyers

                          • Typical16-bitEnjoyer on 24/09/2022 - 07:04

                            @Tleyx: Sheriffs won't take anything the first visit. If you they say stuff belongs to someone else they'll slap a sticker on it the second visit. They generally still won't take it.

                            Court filing fee and sheriff's fee are both way over $100 respectively.

                            It's not as clear cut and easy as you make out. Especially if the other guy just simply ignores knocks on their front door.

                            • Tleyx on 24/09/2022 - 13:19

                              @Typical16-bitEnjoyer: It was an easy process when i did it and they took the fee out of their stuff so i dont know what the you are on about . But you do you

                              I.don't know why you want to.encourage people to walk away, that means more uninsured drivers if they keep getting away with it because of quitters

                              • Typical16-bitEnjoyer on 26/09/2022 - 18:52

                                @Tleyx: I'm not encouraging people to walk away at all, I'm simply stating the process is definitely not as simple as you portray. Maybe you got lucky in your particular situation.

                                • Tleyx on 26/09/2022 - 20:19

                                  @Typical16-bitEnjoyer: I think you are discouraging. Its not that hard and definitely worth a try rather than letting some (profanity) get away

  • kerfuffle on 18/09/2022 - 15:09
    +8

    He says he doesn’t have the money to pay someone else to repair it.

    He should have insurance if that's the case … Now he's in deep shit

    • INTP0151 on 18/09/2022 - 15:15
      +7

      Most posts and opinions I’ve come across are people telling uninsured drivers they are in deep shit and liable for costs, but now I’ve had a car damaged by one I’m facing the opinion that I’ll be lucky if I get anything from the driver

      • kerfuffle on 18/09/2022 - 15:17
        +8

        Yep, you and your wife are in deep shit too. Should have renewed the insurance while overseas.

        • INTP0151 on 18/09/2022 - 15:19
          +4

          Not really, worst that can happen for us is the bill. I won’t be facing bankruptcy by a long shot

          • kerfuffle on 18/09/2022 - 15:21

            @INTP0151: Yeah but now you have to deal with the bill and chase it up from someone who's uninsured (and was probably under the influence of something). You wouldn't be asking this question if you renewed your insurance …

            • INTP0151 on 18/09/2022 - 15:24
              +8

              @kerfuffle: The funny thing is I’m the one here asking the question and dealing with this and my insurance is up to date as always, while the wife is just going to wait until her car is fixed and say sorry thank you

              • kerfuffle on 18/09/2022 - 15:25
                +2

                @INTP0151: Could always just not fix the car and let your wife drive with a damaged car (assuming it's in a driveable state) ha

              • Dose Pipe Sutututu on 20/09/2022 - 13:56
                +2

                @INTP0151: This is why I just managed all this at home, the wifey will forget as well. However, if it's an Iconic/ASOS sale that's 382 days, 22 hours and 6 minutes into the future she will remember.

            • mbck on 18/09/2022 - 15:25

              @kerfuffle: I doubt the guy has money.

              Even if the tribunal rules in favour of op (which they would), op will still have to apply for more action to actual get money. Then that's if the guy has money.

              Not to mention, if the guy is unhinged, they know op's residential address too.

              • kerfuffle on 18/09/2022 - 15:26

                @mbck:

                I doubt the guy has money.

                That's why I always make sure I have comprehensive insurance. I've been burnt before.

                • mbck on 18/09/2022 - 15:34
                  +3

                  @kerfuffle: 100%.

                  Car insurance is important. Great reminder for everyone to check. (Coverage and value wise)

                • McFly on 19/09/2022 - 15:50
                  +3

                  @kerfuffle:

                  I've been burnt before.

                  No problem - I assume you have comprehensive health insurance.

  • salmon123 on 18/09/2022 - 15:09
    +6

    What are my options here? Sue him for damages at small claims court?

    Make sure you only show him the most expensive quotes for the repairs, not the cheapest.

    Most likely you'll end up settling for 50c on the dollar or less.

    Check whether you can sell the debt to a collection company. I've never done this but it might be possible.

  • bobbified on 18/09/2022 - 15:44
    +18

    he let her comprehensive insurance lapse in August while overseas

    Some of the major insurance companies have a month's grace period after the expiry date for renewal. Give them a call, explain why you couldn't renew and see if they can do anything - they may let you "renew" now and still cover the incident.

    • parsimonious one on 18/09/2022 - 15:47
      +1

      Yeah, I thought this was a thing too…

      Can’t hurt to check with them

    • ihbh on 18/09/2022 - 16:23
      -1

      they may let you "renew" now and still cover the incident

      Insurers aren't charities.

      Grace period is for same terms, premiums.

      E.g.
      Are there consequences if my policy expires?

      If your policy has expired, you’ll be without cover, and any claims you make will likely be denied. If you get into an accident during this time, you’re also likely to be responsible for out-of-pocket costs if a third party makes a claim.

      • bobbified on 18/09/2022 - 16:35
        +4

        Are there consequences if my policy expires?

        You quoted the above question and answer from the AAMI website, but missed the question above.

        From the AAMI site (note that this is AAMI's Grace Period - the length of time may vary for other companies):

        Is there a grace period if my policy has expired?

        Things happen – we get it. If your policy has expired and it’s been no more than two weeks, we may be able to reinstate it.

        Go online to see if you can still renew your policy.

        You won’t be able to make any updates to your details if your policy has expired, however, you will be able to make changes online after the policy has been reinstated. If the changes decrease or increase your premium, you may be eligible for a refund or need to pay an added amount.

        If you’re experiencing financial hardship, AAMI is here to support you. We have dedicated services for situations like these, so don’t hesitate to reach out.

        • ihbh on 18/09/2022 - 16:39

          but missed the question above.

          You missed the important part about the claim likely o be denied.

          And their grace period is 2 weeks, so not relevant in this case

          • bobbified on 18/09/2022 - 16:48
            +5

            @ihbh:

            And their grace period is 2 weeks, so not relevant in this case

            Like I mentioned, two weeks is AAM's Grace Period. (There's no mention that OP was insured by AAMI).

            See Canstar's article:

            What happens if I don’t renew my car insurance?

            If you don’t renew your car insurance you may find yourself without any extra cover for your car. If you normally pay manually for your car insurance premium then your provider may offer you a grace period (typically up to 28 days according to Understand Insurance) where you are still covered if you don’t meet the renewal deadline.

            The reference to Understand Insurance is to this article by the Insurance Council of Australia, under the heading "Renewing your insurance policy", where it talks about a Grace Period (hover cursor over the term), up to 28 days.

            You can sit there and jump to conclusions all you like, but anyone in OP's situation would want to be exploring every possible option, including this one.

          • TilacVIP on 19/09/2022 - 08:44

            @ihbh: Further more - quote "we may be able to reinstate it" - That to me says we "may" or "may not" be able to reinstate it, as oppose to "we will" reinstate it ????

            • OzzyOzbourne on 19/09/2022 - 12:51
              +1

              @TilacVIP: My guess is they won't reinstate it if you have a claim

              • bananabendera on 19/09/2022 - 15:49
                +2

                @OzzyOzbourne: Likely true, however it is in OPs favour that they're not at fault and it would at least be worth trying for ~$10k that they may never see otherwise!

    • maximum on 20/09/2022 - 19:47
      +1

      My Nrma policy was expired by 2 days when I had an accident. Paid the annual amount and was covered no worries. Worth a phone call - I really thought I had no chance. It was going to be a very expensive lesson.

      • BartholemewH on 22/09/2022 - 10:50

        NRMA are pretty good like that vs the gamut of vehicle insurers.

    • superuser on 20/09/2022 - 19:48

      This, how come mr blames mrs for the insurance expired.

  • Jimothy Wongingtons on 18/09/2022 - 16:23
    -2

    How did the driver not cop any fines/jail ?

    • JimmyF on 18/09/2022 - 17:49

      Who said they didn't?

  • Mechz on 18/09/2022 - 16:50
    +3

    Always. Be. Insured.

    If not…

    Always be cashed up.

    • BewareOfThe Dog on 18/09/2022 - 18:59

      Reality is, with rising costs of living, some people can't afford it. I'm fortunate that at the moment I can, that's why I'm working an extra 2 jobs, so I can afford to get to work for my 1st job.

      • kerfuffle on 18/09/2022 - 19:04
        +14

        There is a saying that goes if you can't afford insurance, you can't afford to drive.

        If OP's at fault driver had third party insurance at the bare minimum, then they wouldn't be in this situation today (unless the at fault driver was under the influence or something, negating insurance)

        • BewareOfThe Dog on 18/09/2022 - 19:10
          +3

          True, the worst thing is there will be more people struggling financially, and this will be a shortcut. I fee for OP, and this no doubt has put stress on their relationship.

        • [Deactivated] on 18/09/2022 - 23:09
          -2

          it doesn't matter if you can afford to, you don't get much choice in the matter, you have to do it, regardless of whether you can afford it or not.

          that saying is just nonsense, these days, most struggle to afford everything.

        • Zondor on 19/09/2022 - 15:21

          My Full comp on my mazda 2 is $20 a month. Crazy how people just keep buying all these cars they cant afford and then cry about the costs.

          • LightningMcQueen on 19/09/2022 - 21:48
            +2

            @Zondor: That's very cheap for a comprehensive, Would you mind telling which provider you are with?

            • Zondor on 20/09/2022 - 09:05

              @LightningMcQueen: Budget Direct - It's a 2011 and I'm 27yo male with no claim history. Probably only because the car is worth 7k now (Still stupid high for what it is)

              • CheapWrangler on 20/09/2022 - 17:26
                +6

                @Zondor: $20 a month sounds too good to be true. I just got a quote get my car insured through budget direct and it's coming up as about $35/m
                That is with a car that's older and cheaper than yours at market value, I'm 31yo with no accident history and I selected a ridiculous excess of $1750 and restricted the insurance to 30+ year old drivers.

      • Mechz on 18/09/2022 - 21:44
        +9

        If you can't afford insurance, you can't afford the car. No excuses.

        • Ozpit on 19/09/2022 - 09:30
          +1

          This. But you’d be surprised how many people who believe or say they can’t afford car insurance would be able to find the money for 3rd party insurance if it was compulsory when they renewed their car registration. I’ve yet to hear a convincing argument for why 3rd party insurance should not be compulsory for all registered vehicles. Of course, there will always be a**holes who will knowingly drive an unregistered vehicle. Not much we can do if they cause an accident because they almost certainly are the same kind of people who would find reasons/excuses for not paying for damages they caused.

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