I have a prius 2007 model. the left rear tyre is inside fender but not touching fender or body. I don't know why it happened. I am also attaching the tyre photo.
yeah the body has shagged down from one side. I don't think it's the shock problem because otherwise the car would be full down on tyre. I heard something about wheel space don't know what that is.
Welcome to the site. I'd definitely want to get under it ASAP to see what's going on before driving it. If you jack it up using a floor jack underneath the rear, be very careful. If it is a broken spring, it might be loose and move around as you jack it up and remove the pressure from it. I assume that side has no bounce to it if you press down on the body? if not, suspect the spring or its mount. Be very careful.