Hmmm. You were not cited in that accident, right?

If there is any way to get a copy of the check used to pay the "target" the $1200, compose a polite letter that briefly explains much of wht you wxplained here.

Explain that you understood from him that by paying for his repairs, the amount he requested, the accident was minor enough to be ignored. You don't need to mention that he was double-paid, they will figure it out themselves.

If your driving rewcord since then is pristine, argue that you are now not only a better and more responsible driver, but you even have a super-safe car.

Good Luck,

Bob

:>)