WOW!! that is seriously fucked up.....normally i dont see legal proceedings necessary past a certain extent, but i would run this guy through the gauntlet to get anything and everything you can out of him. Your wife's injuries will more than likely outweigh the cost of the SUV, there is no way with an "at fault" police report that there should have even been a question as to who was the person that caused it....thats what those reports are for.

Not the exact situation, but a similar one happened to my parents, in which they were involved in an accident where the other persons insurance accepted fault, but paid NOTHING near what the costs of repair and medical bills. My mom was in the hospital for almost a month after the accident and her neck/spine haven’t been the same since. The ended up suing Statefarm, which almost bankrupt my parents. it was almost 9 months before it was ever even taken to the courts. They won, but the amount they received still never made up for the injuries and medical bills. Insurance companies are some of the worst scam artists in this country. Good luck man. Good to hear everyone is doing better and no one was killed.