Answer:

The insurance company has a right to settle the claim without your approval.

Often, they would rather get the case settled than face a lengthy dispute and possible court case. Generally, however, the limits on your policy would be the maximum amount they would offer to pay. In fact, those limits can be a powerful argument to the other side in favor of settling.

If they are expecting you to pay something beyond the limits of your policy, you would certainly have a right to accept or reject the settlement.