Mother In Law Crashed Her Car With My Infant Daughter On Suspended License

I need some advice because my Mother in law recently had her license suspended here in California and isn't supposed to be driving, she had her license suspended due to reckless driving and not paying any of her tickets. She recently got into a small accident in the Walmart parking lot where we live and T-boned somebody's car, she apparently had my infant daughter with her in the car and knew her son and I didn't want her driving with our daughter, we dropped her off for a few hours for her to babysit and she did not tell us she was planning to drive with her. I'm really upset about this because she basically told the other lady she would pay to get her car fixed out of pocket and then just started ignoring her and isn't planning on taking any responsibility, the other women had reported it to her Insurance already so I'm hoping they actually end up finding out the truth. I'm also really upset because she neglected to tell me she got into an accident with my daughter until the next day and even though my daughter is fine, never had her checked out. Legally what could happen to her? Will the other woman's insurance company find out she has a suspended license? She got a picture of her registration. Could I legally file a police report for child endangerment if I wanted to? Should I be reporting any of this? She told us she isn't going to stop driving and right now she has no plans to get her license reinstated.