Hey so I’m a 20yr old male from NYC kind of embarrassed and ashamed about this but around December I got into a at fault accident with my BMW 3 car accident. (My car was totaled)
I had 10k PD max and 3 cars my insurance needed to pay for
It’s been quiet and I’ve seen on the progressive (my company) it says that 2/3 companies have accepted the payout progressive gave them
But one of the companies sent me a subrogation letter today saying they want $14k
Ever since the accident I’ve lost it all I do not have a job do not own a home live w my parents I cannot afford the 14k or the 1k down payment what should I do I’m pretty shook about this and pretty lost
W/ no help either just me
Posted by Used-Fishing-9833
5 Comments
Yes. You are cooked. You will receive claims for payment from all 3 insurers. Since you don’t have enough insurance or any money they will sue you. Once the court enters judgement they will look for assets and income. Your assets can be seized and wages garnished. It’s going to be a rough time for you.
You’re not exactly barbecue chicken…
A few things:
That subrogation letter is the other driver’s insurance company trying to collect the gap between what Progressive paid them (your $10k PD limit split across the three cars) and what they actually spent fixing their insured’s car. It’s a demand, not a judgment. Nothing is owed in a legally enforceable way until they either get you to agree in writing or take you to court and win.
The “$1k down payment” thing they’re offering is them fishing to see if you’ll start paying. The second you send a dollar or sign something acknowledging the debt, you’ve basically confirmed you owe it and restarted any clock that might work in your favor. Don’t send anything, don’t sign anything, and don’t get on a recorded call admitting the number is correct.
What actually matters for you right now is one concept: **collectibility**. Subrogation departments are businesses. They chase what’s collectible and write off what isn’t. A 20 yr old with no job, no house, no assets, living with parents is — bluntly — not collectible. They know this. If you (or better, someone on your behalf) send them a short written “hardship letter” explaining you have no income, no assets, no property, and cannot pay, a lot of these files get settled for pennies on the dollar or closed out entirely. $14k demands settling for $1,500–$3,000 is common. Sometimes less.
Do NOT call them emotional and try to explain yourself on the phone. Everything in writing. Keep it short, factual, unemotional: no job, no assets, living with parents, unable to pay the demand, requesting they review for hardship settlement or closure.
Also in New York the statute of limitations on this type of claim is 3 years. If they don’t sue within that window, it’s done. They know that too, which is part of why early hardship letters work, they’d rather get something small now than chase nothing for three years.
Check if your Progressive policy had anything beyond the $10k PD. Some policies have umbrella coverage, or PD stacking, or the adjuster missed something. Worth a call to Progressive just to confirm the $10k was actually the ceiling for what they owed on your behalf.
You’re not in as deep as it feels right now. Put all your shit in writing, claim hardship, and let the math work for you.
you live in NYC so you can live without a car. Even if the court orders you to pay the judgement, you can do this in installments. Things happen sometimes; just go out there and get a job. Learn from this experience; drive safer of course and get higher limits when you are able to get a car in the future. But don’t give up on life because of this.
I assume you got paid for your car (collision, seperate from PD). Did you have equity in it?
From the outside looking in, you were driving a BMW. Someone saw that and decided you have money coming from somewhere to afford that and they’re choosing to pursue you directly for compensation instead of settling for a share of your limits.
Now its time to grow up and do the responsible thing and get a job to start paying off your debts. NYC has a vast public transportation system to use. Remember this lesson for the future and be grateful you’re not being pursued for a bodily injury damages as well.