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Should I Take A Settlement From An Insurance Company

Should I Take A Settlement From An Insurance Company

The question here is a little ambiguous because the issue is not about never taking a settlement from an insurance company; the issue is about never taking the first settlement offer from an insurance company.

Why Shouldn't I?

Usually, the first offer provided by the insurance company is not sufficient enough. It is usually the lowest ballpark estimate the insurance company can provide that they think you will accept, not a number they have carefully constructed based on your individual situation. If you hang on and force them to carefully calculate the claim, you will most likely receive an offer that is more realistic and reasonable for your situation.

Insurance Companies Always Look to Save Money

Insurance companies are sneaky; they make money by not paying out claims, so it is in their best interest to look for any small loopholes that will reduce a claim or allow the company to deny the claim. Insurance Companies use various tactics to get out of having to pay out, including purposefully delaying claims in the hopes that policyholders will give up, or in the most extreme circumstances, die. Companies also use private investigators to surveil victims at their homes or jobs. When the insurance company cannot find a way to deny the claim, they then attempt to reduce the amount they have to pay out, which leads to the initial inadequate first offer.

Living in the "Now"

The initial offer the insurance company makes is usually calculated up to the current point in time. This means the first offer will not include amounts for future costs and losses incurred from the accident. This will leave you, the injured party, victimized yet again in the future because you will not be able to seek compensation for costs associated with the past accident.

It is important to seek qualified help to aid you in deciding whether to take the insurance company's initial offer or not. Consulting an experienced personal injury lawyer can help you decide what step to take next after the insurance company has made their first proposal.