Gee, to not be 'judging' y'all sound pretty judgemental to me.
The store offered to pay for the damage. Obviously they do not feel the estimates are high, or they would have contested it - they are just glad to settle a legitemate claim for $1200 - many people would try to milk it for more, and a LOT of the claims against stores are outright fraudulent.
She is not breaking the law, committing fraud or being a horrible person by filing her claim and doing what she wants with the money.
And I'm sure the kid didn't lose his job over it, if was a one-time accident.
I don't think taking $200 out of the money to treat oneself to an incubator is being selfish. If she chooses not to fix the car, the other poster is right in that the money compensates for a lower resale/trade value. She is not obligated to get the car fixed, return the money OR give it all away.
Jeau - do what you need to do with the bulk of the money - fix the car, buy presents for the kids, pay bills, give it to charity, heck burn it for firewood if you want. AND treat yourself to an incubator with the rest.
You do not know her situation - SHE and her family may be the one needing help this Christmas season....