You have little understanding of how insurance works

Check your auto policy, I urge you, and whoever is reading my post now.

You have a liability limit amount specified on your policy, which sometimes is called bodily injury coverage that covers both the property and the other damages such as hopsital bills and loss of wages to the other party, if you are found liable. If your limit is a meager 15K, as I suspect most of you have bought to save a buck or two, then the most the insurance company will pay for you is 15K.

In this case, that is far fewer than what other party is asking. Weather this is fair or not is another discussion topic. There is no such thing as bad faith in insurance company part. You get what you pay for.

Lesson to be learned? Should not be too hard to figure out.