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Insurance opportunist

Hi,new member today so hello to all. I am at my wits end to understand why my Ins. co. are about to pay out for whiplash to other party .Briefly I touch his rear bumper at about 1mph in a crowded car park. My fault-no question. on examination two parallel paint scratches of 4mm were there,.I emphasis only cosmetic paint damage. He progressed this to his insurer and obtained an engineers report which now shows extensive damage around number plate and rear number plate light housinsg-FALSE. Stupidly I didn't take any pics since I was distracted by the other drivers response-shouting ,waving of arms then his wife joined in...
He has obviously got a claims co. involved and now I believe his wife is in on the injury claim action too even though she was out of the car.
My ins co. seem keen to just pay up and close the case but I have a bad taste in the mouth about the whole thing.Any advice on what to do next?

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