Basically the title says it all. I had an old car in NH that I thought was too rusted to repair. My brother wanted it, so he towed it to MA for a friend, a local mechanic, to work on it. He put $3k into the car, but didn’t transfer the title into his name. Meanwhile, I let the registration expire and canceled the insurance.
Two months go by, and I get a call—the mechanic parked it on the street, and someone hit and likely totaled the car. Now, I also got a warning for having an unregistered car on the street, and apparently I have to file a claim with the other driver’s insurance.
I want to help my brother get back some of what he put into this, but I have other cars with their own insurance policies. If I file this claim to help him, could my own rates go up? Anything I’m not thinking about?
You don’t need to file the claim with your insurance. Just deal directly with the other driver’s insurance—they’re the ones who should pay. Don’t involve your own insurance, especially since it wasn’t covered at the time. You’d only do that if they didn’t have insurance, and you still needed it fixed.
You’re not filing a claim on your insurance since you don’t have coverage on this car. You’re filing a claim with the person who hit it. As for your rates, it’s considered not at fault, but maybe someone from NH can chime in on if your rates could be affected.
You don’t have a claim with your insurer since the car wasn’t insured. You’d file with the other driver’s insurance and hope they accept liability with no coverage issues. And don’t expect to get dollar-for-dollar back on the $3k—if you get anything, it likely won’t cover that fully.
Honestly, this is one of those situations where you could just say you sold the car months ago, it’s not yours, and let your brother handle it. It’s tough for him, but this shouldn’t really involve you anymore. He’ll need to figure it out.
The main issue is you tried helping your brother by giving him the car, but he never transferred the title, never insured it, or registered it. Now you’re involved again because he didn’t pay the bill, and the mechanic left it on the street. You could just go get the title transferred to him or scrap the car since it’s technically still yours. Maybe time for your brother to start handling things himself.
Rin said: @Niall
I feel seen, thank you for saying that.
You’re right, but maybe just submit the claim to the other driver’s insurance since you’re still the legal owner. Get the receipt for the $3k repairs, too.
You need to check the state laws about the consequences of having an uninsured vehicle. In many places, not having insurance or proof of insurance could result in a driver’s license suspension, especially if the other person’s insurance reports the accident. When giving away or selling a car, it’s crucial to ensure the new owner completes all paperwork before you cancel your insurance.
Since you’re still the legal owner, you’d be the one to pursue damages. As for if this will affect your insurance, no one can say for sure. But whenever you apply for insurance, they’ll check your name, and this might come up.
Was this mechanic a certified one or just a friend working from his garage? If it was a legit shop, there could be an avenue to explore there, especially since the car was in their care.
And remember, the value of the car probably won’t reflect what your brother put into it. Cars lose value quickly, and recent repairs don’t necessarily boost its worth.
@Bevin
This was exactly what I needed to know and addresses my concerns, thank you.
I don’t know much about the mechanic or what’s left to do on the car. I’d love to just scrap it and move on, but that might upset my brother. Maybe it’s the best choice, though?
@Rin
Why would your brother be upset? You helped him by giving him the car, but he didn’t handle the paperwork, which left you with a fine. Also, the mechanic who parked it on the street should take some responsibility here. You might even consider asking him to return some of the money if he didn’t deliver a fixed-up car as promised.
And by the way, never sell a car again without going with the buyer to the DMV to handle the transfer together.
@Rin
Here’s how it might go…the other driver’s insurance will either offer a check for repairs or decide that the car is totaled and just pay out the car’s value. They’d then try to sell the car at auction. If you want to keep it, they might offer you a settlement minus what they think it’s worth.
If the car is still on the street, file the claim with the other driver’s insurance right away, especially if you’re getting warnings about it being unregistered. Maybe ask the mechanic if he can move it inside while you’re sorting things out.
@Bevin
That’s really helpful, thank you! To be fair to the mechanic, he did move it into the garage after the accident, so it’s not sitting out there anymore. Appreciate the info.