Is excessive compensation from an insurance company considered unlawful (haram), or should the excess amount be deducted and returned to the company?

The reference for estimating compensation for car accidents is the experts, such as workshop owners. There is no objection to benefiting from the full compensation if they estimate the damages and the diminished value of the car after the accident, even if the compensation exceeds the cost of repairing the car.

However, if their error and exaggeration in the estimation are proven, the excess must be returned to the insurance company, because the ruling of a judge or an estimator does not make permissible the property of others. Indeed, whoever takes something from his brother's right unjustly, it is as if he has taken a piece of fire.