Do auto insurance companies pull your driving record if you file a claim?

Here's my dilemma:  I was driving someone else's car and got in an
accident that was my fault.  The owner of the car and I are both
covered by the same company.  However, the car's owner has a DWI that
has not yet been noticed by the company and therefore his premiums
have not gone up.

I tried to file the claim under my insurance to get both cars
repaired, but the insurance company says insurance goes with the car
by law and there's nothing they can do but file it under the car
owner's policy.

So, can I file the claim under the car owner's policy without fear of
his premium shooting through the roof?  Will they pull his driving
record?

And is the company just playing hardball, or can they really not let
my insurance kick in because it's illegal?