Three Ways Insurance Companies Try to Trick People Filing Claims
Brian O Sutter
Insurance Laws
The insurance company of the other driver involved in an auto accident typically contacts you following the accident. At first, they may act like they are on your side and care about the results of any claims being filed. However, the insurance company is just another entity looking to make money and profit rather than pay out costly insurance claims. So, keep this in mind when discussing the case with the insurance company.
Here are three ways insurance companies try to trick people filing claims and what you can do to avoid being the victim in their game.
Low Settlement Offers
Offer lower settlement offers is one of the biggest things an insurance company will do, hoping that the other party doesn't notice that the offer is low and doesn't contest it. When they offer a lowball settlement, they have calculated the amount lower than what the claimant will need or deserve following an accident.
The offer is typically not enough to cover damages, injuries, and any ongoing medical treatment that may result from the accident. So, while it is tempting to settle early and get your money, this should be avoided because you may be eligible for more compensation than what they are offering.
Once you sign a settlement agreement, the claim is closed, and it is almost impossible to revisit the claim later on in hopes of more compensation. Offering a low settlement is a rush tactic used by many insurance companies.
Recorded Statements
When speaking to the insurance company, they often tell you that you need to make a recorded statement following the accident. Did you know that this is something you actually don't have to do? You do not owe the other insurance company a recorded statement. This is a tactic used to get the claimant to say something that may be incriminating or hurt their case.
They will start by sounding very professional as not to have the claimant hang up the phone. Once they get your recorded statement, they will do what they can to misconstrue what had been said to increase your liability following the accident and lower your compensation.
Delaying the Process
Another way insurance companies try to trick claimants when filing claims is by delaying the process. When you file a claim following an auto accident, you have to abide by deadlines and statutes of limitations. An insurance company typically has a set amount of time in which to acknowledge the claim, accept or deny the claim, receive proof of liability, and pay a settlement.
Many insurance companies use up every second of their deadline to discourage the claimant before they take action, which can delay the claimant when it comes to receiving the compensation they are entitled to.
The insurance company may choose to drag their feet as much and as long as possible. This can result in the claimant feeling discouraged and unsure about the validity of their claim. This can then result in the claimant accepting a lower settlement offer.
So, what can you do? Don't hesitate to hire an auto accident attorney who is familiar with the tricks the insurance company may play. They can navigate you through the process and be the middleman between you and the other driver's insurance company.
An experienced attorney can monitor your claim from beginning to end to ensure it continues to progress and all deadlines are adhered to, so you don't end up settling for a low offer out of fear.