1st of all, glad your familie's ok as can be expected.
Secondly, I've been in that situation before. Expect the old bittys insurance company to put partial blame on your wife for following too closely to the car in front of her. Expect the same from the driver of the car she got pushed into.
Battling insurance companies is like being a piece of sheetrock trying to fend off a team of drywallers....eventually they find a way to screw ya.
Good luck and keep your attourney on speed dial.