I would show up at court anyways but I would bet that the case gets cancelled.
As for requesting for dismissal with prejudice, you can try but more likely than not, if this is the first time the case has been filed, the judge will rule without prejudice. Now if you can prove that you have already been sued more than once for the same debt and they keep dismissing close to trial, you can try for a dismissal with prejudice. If you cannot prove that, don't bother.
Sometimes they will file again but most of the time, they move on to better prospects which are cheaper to deal with.
This post leaves quite a bit to be desired in information so we will need more information to understand what is going on.
You are claiming that you were in an accident that was your fault. You have insurance and the damage to the other vehicle is $4800. Is this correct?
If the above is correct, you are then claiming that you had liability insurance through Dairyland Insurance. Is your insurance company trying to collect the damages from you that they are paying to the other driver? Or is this a case of you did not have enough liability insurance and the $4800 is the excess amount of your limits?
We really cannot help you unless we have the full story and situation.
I'm afraid they will sue me again- For california it says 4 years.
I'm unsure exactly how to know if i'm safe from another lawsuit- and if so Is there something I can do about the dismissal without prejudice.