Info A Cautionary Tale: Insurance Adjusters and Personal Injury Cases

After an accident, the victim usually must deal with an insurance agency that sends an adjuster to interview the injured party and gather all the facts and details surrounding the incident to determine how much compensation must be provide to be sufficient and avoid litigation if possible.

However, these adjusters are not friends or on the side of the accident victim. They are attached to the case to ensure the most money allocated to the individual of the incident is just enough to avoid a lawsuit. However, some insurance companies do not concern themselves with a suit and only provide so much money no matter the circumstances. It is important to know what to look for and how to move forward to ensure sufficient funds are received in these situations.

The insurance company attached to the incident is usually the agency of the driver responsible for the accident. This means they have added incentive to ensure less money is provided to the victim. In many instances, there is only so much that may be allocated based on the policy. This means once that maximum amount has been determined as the payout amount, no further funds may be obtained by the victim. However, there may be additional factors involved in these cases. This is why hiring a lawyer for compensation claims is so important. These legal professionals understand how to work these cases and what to do to proceed.

The Motivation of the Insurance Adjuster

Investigating facts and gathering the details of the incident is the job of the insurance adjuster. He or she interviews the victim to understand the point of view of the person driving the vehicle that was hit. To ensure the payouts are as low as possible, these individuals determine an amount that is just enough to cover what is considered for the accident with all factors included. This ensures a higher profit for the insurance company and often the settlements are accepted because the victims are not aware that there are additional options available. Even with these lower offers given, they do have motivations to avoid litigation with civil lawsuits.

Because the judge or jury panel is what determines if additional monies should be provided, the insurance agency attempts to avoid these circumstances if at all possible. Additionally, legal fees and other financial obligations tend to become expensive for the insurance company. With persuasive details, the adjuster attempts to convince the victim to accept the lowest settlement offer possible. This could be as much as half of what may be obtained due to the factors of the case. However, there may be some negotiating that could be completed to ensure more monies are allocated to the settlement.

Calculations Adjusters Use to Decide an Offer

In most personal injury cases, the insurance adjuster uses several factors to determine how much should be offered. Of these, the medical and therapy bills associated with recovery play a major role. These may be the current and the future possible needs for the victim. Other criteria usually include the loss of income or wages through a lack of work due to recovery processes, pain and suffering, distress from the accident and additional treatments such as medication and physical therapy. Some of these are subjective to the specific incident while others are determined as a base with the particular factor. A pain multiplier is used to understand how much for the pain and suffering should be allocated. This tends to run from 1.5 to five on a scale the adjuster uses. However, other agencies may use some other type of calculating these.

Dealing with the Insurance Company with a Claim

Knowing how insurance companies work, there is the possibility of negotiating the settlement before one is accepted. This provides a means of upping the amount allocated to the victim. This is usually accomplished by ensuring the case backing the claim is strong with plenty of documentation for medical issues and photographic proof that the responsible party is the other driver or someone else involved in the claim. Ensuring there is plenty of recorded details and evidence to back the claim, the insurance company knows that a greater amount of compensation is needed to ensure avoiding a lawsuit.

One of the best manners of dealing with an insurance agency is to hire a lawyer. This legal professional knows the laws and how best to apply them. He or she then becomes the advocate of the victim and may negotiate a greater compensation settlement or seek litigation when no further funds are offered to ensure a sufficient resolution.