Did your wife ask for his details ? Did he offer to pay ? There is some responsibilty on behalf of your wife here even though she didn't cause the accident .
If I ran into a car and damaged it I would think it's only fair that I pay for the damage . I don't like it when all cyclists ( or drivers ) are labelled the same because of the behaviour of some .
I'm not sure he is breaking the law by passing cars on the inside ( depending on the circumstances ) . Obviously he is in this case if your missus was indicating that she was turning ?
Maybe number plates would help but that theory doesn't work all the time for cars either .
Cars frequently get damaged in the supermarket carpark by other cars that then leave without paying . What's the difference ?