Hmm, a car hire company being pushy over accident damage, there's a surprise! :-/
As a bit of a cinic, I would guess there's a good chance that Hertz have probably invented a substantially inflated repair bill, which in reality is probably considerably less than what they're demanding you pay them. Perhaps they see you as being more likely to cough up the money and go away than a major company like Amex, who I would imagine would demand proof of costs and so on.
Common sense would suggest that you have it all on your side, assuming that your analysis of the hire contract is correct. The accident was not your fault, and whether the other guy wants to tell them that or not is completely beside the point. What help is something official from his insurers, which will remove any doubt. Either way, if your Amex insurance is willing to pay and is actively trying to communicate with Hertz but getting nowehere, then I can't see Hertz having much luck chasing you. The money has been placed on the table in front of them, they have chosen not to take it, so frankly sod them!
I'd write them a letter outlining the issues, make it very clear that you will not be paying them and advise them again to go through your Amex policy if they want the cash. Make it clear that if they don't. you will have no further correspondance with them and will see them in court.
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