My fault but should I pay for the damage?

[CountryGirl17]

I can admit that it was totally my fault that I drove accidentally into my employee’s VW Transporter in the car park at work. When I told him, I was devastated and he was obviously annoyed.

As I am insured with a social, domestic and commuter policy, I thought the process would be very straightforward, but it’s not. When my employee looked into his policy, he only had social and domestic insurance and then immediately changed his policy to include commuting after the incident. When he told me, my heart sunk as I had technically hit an uninsured driver as he was using his car to travel to work. Though, as it wasn’t his fault, my insurance would cover it. I told him that it wouldn’t be an issue, but he wasn’t confident or comfortable about that.

But, that wasn’t the only issue, as he advised me that he made some modifications to his vehicle, increasing its value and I am not 100% sure that he notified his insurer (that’s my suspicion). He did say to me that he was concerned that any repairs may not factor in the cost of the modifications or could effectively right off the vehicle. Another reason to not go through insurance. Again, my insurance should cover the cost of the damage.

The damage to my car is over £1,500, so I have to make a claim and I am okay pay the £250 excess. Though, my colleague has been really paranoid and doesn’t want to go through his insurance for the reasons that he wasn’t insured at the time and his car was modified. He doesn’t want to take any risks. As he doesn’t want to go through insurance, he has decided to get his car fixed by recommended bodyshop repairer. This repairer offered to do my car too, but they are not recommended by my insurer. This is his choice.

To protect him, I’ve submitted my claim but not involved my colleague. They haven’t questioned it and the claim is going through just fine, which is good. My colleague isn’t bothered that I not telling the complete truth to my insurance company. Now, our HR department has gotten involved because my employee is upset about paying for the damage that my insurance would have covered. I can understand his annoyance, but the complications are not my fault and it was his choice to not go via insurance. If we went through insurance then he wouldn’t need to pay anything! The company has offered to loan me the money to pay for his damage, but I would have to pay it back, which basically means they are encouraging me to pay for his damage. It’s a lot of money and this is a nightmare!!!

AIBU to not pay out as I am insured or should I pay out as he works for me and it’s not his fault? I don’t know what the right thing is? Thanks.

But it makes no sense at all and its certainly not typical. Its rather disingenuous of a company not to have it as standard when the vast majority of others do. I can only their customers are not made aware as outside of central London perhaps there is literally no point to such a policy.

I had something similar happen to me just before Xmas. Work colleague reversed into my unoccupied car in the work carpark and damaged the bumper. She offered to pay for it privately, but when I discussed this with my partner, I told her that I wanted to go through the insurance. You never know, what damage could be hiding underneath the bodywork and there would be no guarantee that I’d get the money from her. Plus, I knew I’d be without a car for about a week and needed a courtesy car.
She didn’t have commuting cover either, but she told her insurance company that she was dropping a Xmas gift off for a colleague. They never questioned it.

I don't think the OP is really interested in any advice, as they haven't bothered coming back since yesterday lunchtime.

You're not in the wrong but I'd get some independent advice (maybe CAB) as, depending how you worded it, you might end up nullifying your insurance if your seen as being untruthful.... There's also a possibility of stinging the VW owner so it would be prudent to ask an expert that hasn't got an interest in the case.

It is becoming more and more typical. As is not having cover to drive other cars on a fully comp policy. The companies my law firm work with all ask when you take out a new policy whether you need SDP or SDP plus commuting.

If he tried to make a claim on his insurance, his policy would be voided due to misrepresentation for not declared the modifications and not declaring that he uses the vehicle for work. So effectively, no claim would be paid.

Offer him choice of going through your insurance company or paying himself. Never lie to insurance companies. You could get blacklisted.

No - not necessarily. Many companies have changed in the last few years to policies called SDP (Social, Domestic and Pleasure) which specifically excludes travelling to work. Sneaky but check the policy covers Commuting (ironic as I drive 2 miles to work but this is what I have to have!)

No but they negate the insurance as a parent at school discovered

He doesn’t need to claim through his insurance, we recently have had two crashes… neither our fault, first time the lady was with rac, she rang her insurance told them it was her fault, they rang us arranged a courtesy car, collected our car repaired it and brought it back… absolutely brilliant service our insurance had nothing to do with it… then a hgv crashed into us on the motorway we asked him for his insurance, husband rang them advised wanted to claim, they rang him to confirm and he admitted fault again they paid for repair and courtesy car, we haven’t had any contact with our insurance on either claim all paid by the person so just have him ring your company will be easy as you are admitting fault

I think you’re both in the shit now.

Of course there are different bands/premiums for social/domestic versus commuting/commercial use.

If either you or he have lied, you’ll both have to pay for it or possibly be prosecuted for fraud. I would have a very honest chat with him and your employer tomorrow.

Don't pay a penny. Go through your insurance and you should tell them the whole story. Yes it was your fault- but that is why insurance exists!

Used to work in insurance. Typically modifications etc won't cause a non-payout. They will cause a reduction in payout to cover the additional premium that should have been paid to cover the mods. Sometimes this causes the cost to be negated. Other times they wouldn't have insured those mods and then they won't payout because insurance would not have been offered if they were honest.

For example, we have had claims where policy address is x but licence states y. Once confirmed this is not their actual address, Plan is to amend payout in line with any policy premium increase but that address is blacklisted.

How much damage did you cause?

Sorry but twaddle. He's not claiming on his insurance - the OP hit him. None of this has a bearing at all.

The number of people on this thread who don’t realise that if you don’t insure yourself for a specific purpose, I.E. commuting, and then use it for that purpose, you are NOT insured when you make that journey…

Also this thread is quite the eye opener if so many people had no idea commuting was an extra. Terrifying to think what else is done on the road.

HR shouldn't be involved.
Tell your colleague that you will be letting insurance Co deal with it. Why should you be out of pocket? That's what you pay insurance for. I have heard of business insurance. Technically, I am meant to if I use my car during the working day. However, he doesn't need to say he was at work. Generally, I companies won't ask where you are going etc. As for the modifications, that's his fault for not informing them, not yours.

You do need to let you insurance know that you've been in an accident, even if you weren't at fault. Hopefully you did that on both counts.

Eye opening that people can't grasp that commuting is neither social nor domestic driving...clue is in the name 🤦🏼‍♀️

You may not even need to go through his insurance company.

A couple of years ago someone crashed into my car. Their insurance company contacted me directly, and bent over backwards to help me, giving me a hire car, taking my car away for assessment, gave me a decent amount when it got written off. My insurer wasn’t involved at all.

I think insurers prefer to do it this way, because it avoids any over inflated costs the other insurance company may charge them.

OP, my DH is a motor consultant (advises on UK motor insurance for a big German company). You absolutely should not pay for the damage. Your insurance would cover it and they’ve committed fraud by not disclosing the modifications and commuting to their insurer. In suggesting you pay rather than go through your insurer, your HR department are making themselves complicit in that fraud.

I don't think he had any insurance .
A few years back a driver hit my car front behind.
It was a misty morning and the damage to my car was minimal.
The driver was so apologetic and mortified at what had happened.
We exchanged numbers and asked him if he was willing to settle this privately as the excess would have been more than the damage and ramped up both of our insurance policies.
He agreed and thanked me.
Got car fixed for £150 at a reputable garage and called him . He paid them in full within the hour.

And again, you do still need to tell your insurance company about the accident.

We did but we didn’t need to involve our company in the actual claim their insurance handled everything x

Does he know what he's doing?

If he does, presumably he knows the difference between non-disclosure and misrepresentation, before he starts throwing words like "fraud" around.