Insurance claim help

Back in April, a lady and I backed into each other. I finally got the check from her insurance company. They are paying 50% of what their adjuster quoted the fix for ($2500). But my question is, what happens if you don’t get it fixed. We don’t really have the extra $1200 laying around to fix it. We are financing the car as well. If we did that, it would take everything we have in our savings. I don’t want to get in trouble for not fixing it, but that’s just a lot of money to come up with. What have you done if you where in this situation? I’m really worried about it tbh.

I’ll add, then the adjuster he came, he said they would make the check out to me and to Kia so “people can’t just use it on whatever they want”. So that’s why I’m worried. And it’s Not that, we just don’t have the extra to pay that