I'm inclined to regard the council / highways department as the culprit: this isn't the first accident on this corner, but they do nothing to make it safer.

The driver of the blue car did not hit our car: that was the white car, which also lost control, and also hit the driver of the blue car - he got off with stitches to his face, and it could have been a lot worse, but he was certainly threatening to sue the other driver.

I think the insurance will be fine about paying up, if what it comes down to is cash payment: we are still hoping that they will instead manage the process of repairs...