Congratulations on winning your case in small claims court.
You did not tell us about the nature of the lawsuit. Was this pertaining to a car accident? Or was this pertaining to something else?
You say the insurance company “denied” the claim. Why? Did they deny the claim because they believe their insured was not at fault? Or did they deny the claim because the incident was “not covered” under that type of insurance policy?
You mentioned the lady had “business” insurance. But if this pertained to an auto accident, then her business insurance would probably not apply. Auto accidents would be covered by her auto liability insurance company. There would be no coverage for auto accidents under her general liability policy or BOP policy.
You say you have a judgment against the person that you sued. It is that person who needs to pay you. If they do not voluntarily pay you, then you will need to force payment. Usually this involves getting a Writ of Execution, and getting a Sheriff involved, etc. But you would need to first identify where to locate her non-exempt assets, like her bank account, for example.
If the lady has insurance that affords coverage, then perhaps her insurance would pay the judgment? However, the lady would have been required to promptly report the lawsuit to her insurance company (assuming they had coverage), and then her insurance company would defend the lawsuit, and pay any judgment. Thus, if the foregoing is all true, then the insurance company would already know about the judgment, and probably pay the claim.
If the insurance company did not know about the lawsuit because their insured failed to notify them, then they would probably deny coverage. All claims and lawsuits must be reported right away, and when that doesn’t happen, then the insurance company can say their position has been prejudiced and deny coverage.
More than likely, the involved insurance company does not afford coverage in this matter. If the lady reported this to her business insurance rather than her auto insurance, then perhaps there is another insurance company affording coverage for auto? Again, you did not tell us the nature of the dispute, so we do not know if this involved an auto accident or not.
I suggest you contact the defendant, and ask her when you can expect payment.
Better be careful . If you buy the house, even though it is in your name, if her payment goes toward the mortgage she is helping pay off equity. So, buy the house yourself, in your name only and charge your girl friend rent. Make sure that the girl's name never appears on any mortgage payment receipt from the lender.You should get expert opinion from a real estate attorney.