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.

I suppose they always contact the person who has been accused of causing the damage to confirm that they actually did. Some people will lie. In that case I supposed a damaged car owner has a choice of sucking it up themselves or claiming on their own insurance.

You need Class 1 business insurance for that, not commuting insurance.

If you carry anything in your car related to the business, other than your personal work laptop, etc. - so products, equipment, anything like that, you need more than Class 1 business insurance.

It doesn't matter how many times a year you do it, either. If it's once, you still need it.

This is very important so I'd get it sorted asap!

Thank you. I haven't got anything planned for a few months but I'll sort it before then.

It does, doesn't it?

To protect him, I’ve submitted my claim but not involved my colleague.

Tell your insurance the whole story and let him deal with his insurance. Tell HR it is in the hands of insurance and it is none of their business.

I can't understand why they think it is anything to do with them or why they are even getting involved.

Yes, as people have replied above, it could be open to abuse but your insurer will always contact you and check what you know first before doing anything else.

They may actually choose to believe the other driver over what you say, though, as obviously dishonesty works both ways and people aren't always truthful about behaving caused damage to someone else's property!

OP if you told your insurer that you hit another vehicle. Then you can contact them again with proof and tell them which vehicle it was. They will contact his insurers and will sort it out.

It's not your concern as to what policy he has, nor what value he thinks it is. That will depend on what he submitted to his insurer.

You don't have to pay him anything directly if he feels your insurance isn't enough.

You don't have to pay him anything if he doesn't want to go through insurance.

I hope you didn't lie to your insurer. I hope he isn't trying to blackmail you into paying him personally. Both of those might be fraud.

If you are in the UK this doesn’t make sense. There is no extra insurance for commuting to work but that is beside the point, you hit his parked vehicle so you and your insurance company are liable. The insurance he had on his vehicle doesn’t come in to it at all. If you hit any stationary object, whether it is a vehicle, a brick wall or person YOU are liable; whether the object is insured or not makes absolutely no difference.

My insurance has extra for commuting to work.

It's social and domestic as a basic then I pay more to add commuting on.

Read the thread, there is! Not on all policies, but on some you have to choose to add commuting

Have you lied about what you drive into op if so it's insurance fraud and will affect avert insurance in the future , car home, life etc. Best to own uo now to mitigate the consequences.

Im definitely no expert in motor insurance but I take a keen interest in it as I've had quite a few expensive/fast cars including modified/restored ones and have avoided company cars where possible (for tax reasons) so do a lot of business miles in my own cars.

It always surprises me how little a lot of people know about motor insurance and the legalities/clauses/procedures, etc. Not because everyone should be a car nerd, but because it's a very serious (or very expensive!) matter if you get this stuff wrong.

As an example, if you have a car and sell it while you have a couple of months insurance remaining and aren't transferring your insurance policy to another car, you should ALWAYS cancel the existing policy and not just let it run on even if you get £0 back.

If you do that and the new owner hasn't taken out a policy (which would take precedence over yours you left running) any claim would be paid out against YOUR still running policy and at best leave you with a claim against you, but at worst the insurer could come after your to recover their loss if they have to pay a claim they wouldn't have covered normally. If anyone doesn't believe that, read up on it. It's how the MIB works.

Also HR have said the business can loan you money to pay for his car???? Is that legal? Are they authorised and licensed to give financial loans??

I think they are actually dipping into acting illegally tbh.

Email HR and your colleague, telling them that you accept the accident was your fault and apologising. Then tell them you will go through your insurance for everything, as you need to be honest with them about the vehicle you damaged in order to claim. Point out that your insurance company will then deal directly with colleagues insurance company, and for you to lie about what you hit in your car would be illegal anyway. If colleague chooses not to notify his insurance company (is that illegal?) then thats up to him, but it does mean he will need to pay as your insurance wont deal with him directly. Give them the name of your insurers if they want to follow up with them.

IF you told your colleague you'd pay if they had the work done privately, and theyve gone ahead and had work done on that basis then really youre in a tricky position if you dont now pay them back. Your colleague is going to hr because you said youd pay them £2k (or whatever) and now youre refusing to.

No. Which is why they ask you to tick a box on your renewal form to declare if you are using the car for commuting to work or for domestic/ pleasure or both.

I also got asked in one recent insurance quote whether I drove at peak hours , which was a new one for me!

It's an option on my insurance. I know this as I have just dug out my insurance certificate for my appraisal (I drive as part of my job).

I didn’t know that last point Sofia, so thankyou.

Accidents happen. Insurance is there for a reason.
Also not sure what it’s got to do with the HR department. Id tell them to get stuffed (nicely :)

Social domestic and pleasure does not always include commuting, its often misunderstood , you need social, domestic pleasure and commuting otherwise you are not always covered for an accident on the way to work. I think it depends on insurance.
https://www.budgetinsurance.com/knowledge-base/cover/what-are-the-different-types-of-class-you-provide-for/
I wouldn't be paying him anything and I would have just gone through the insurance.

No it doesn’t, you have to opt for commuting.

My headlights and front grille on my husband’s car was modified when he bought it and he didn’t think to tell the insurance because he had never had a modified vehicle before. The whole front of the vehicle was stolen and the insurance repaired the vehicle but replaced the front grille and lights with what the vehicle would have had at manufacture, so not like for like which he understood. Your colleague not insuring his vehicle properly is not your responsibility, go through the insurance, don’t pay privately. If you hit his parked car then whether they have commuting or not is irrelevant but if he was driving I still don’t think it matters because firstly you were at fault and secondly it was in a private car park.

Now, our HR department has gotten involved

It is absolutely nothing to do with HR. Dont accept their offer.

If he wants his car fixed he can go through your insurance. Its not your fault he didn't have any, therefore its not your problem. If he or HR keep insisting , then say you will inform the police (for fraud) as well as the insurers.

You are insured as a driver for precisely this reason. It’s unfortunate you hit his car, but it is his choice not to claim on insurance.

if he hasn't told his insurer about the accident - whether it's involved or not - he has invalidated his policy.