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How Car Insurance Companies Try to Trick Policyholders

Many people have a complicated relationship when it comes to their insurance companies. Your insurer will do a lot to make it seem like they are on your side, but they are also there to make a profit. This situation can create something akin to a conflict of interest which becomes clear whenever you try to file a claim for an accident. Your insurance company is looking to keep the amount they spend on your claim low, even if that’s not the best thing for you. Here are some of the ways car insurance companies try to trick their policyholders.

Like with any contract, the devil is in the details when it concerns your automobile insurance. It’s not uncommon to find people with policies that look great at a glance but have significant holes in coverage that aren’t noticed until these issues are encountered first hand. Many policies have limitations and loopholes that they use to get out of paying large claims.

People are involved in an accident frequently need to go to a doctor for any medical issues related to the car accident. Even if your policy has this kind of medical coverage, there are some things to keep in mind. First, there is a deadline for when a medical claim for a car accident can be sent. Accidents victims who wait too long can find themselves unable to get their medical benefits. Also, your insurance company can decide which medical bills are necessary and appropriate which means they can refuse to pay for individual visits and tests. These denials are something that can be appealed, but it helps to have an experienced auto accident attorney in your corner to help you battle the insurance companies.

Another common tactic used by insurance companies is to low-ball an offer to policyholders for replacing a totaled car. When the insurance company decides that it would cost more to fix that car than it would to replace it, they offer the driver a lump sum payment. It is rare for an insurance company to give their policyholders a fair settlement for a totaled car without some prodding from an auto accident attorney. The insurance company will offer a few feeble explanations for why your car is worth less than it really is. And since most people don’t have the experience or resources to fight the insurance company, they accept the lower offer. Getting an immediate consultation after an accident can prevent you from taking a low-ball offer.

Accident victims also need to be wary of any statement they give the insurance company. These statements are a common tactic that insurance companies use when a driver doesn’t have an attorney. By asking leading questions, claim adjusters can get drivers to say things that suggest they were partially at fault for the crash or to downplay any injuries sustained. The claim adjusters for the insurance company are looking for anything you say that can be construed into an excuse for lowering or denying your claim.

Always remember that the insurance companies business model is based on taking in as much as they can in deductibles and pay out as little as possible on claims. No matter how nice your insurance agent may be, it doesn’t change the underlying fact that they care more about keeping their costs low than they do about your particular driving situation. Since your car insurance firm isn’t in your corner, you need someone who is. Getting an experienced automobile accident attorney like Steve Watrel, P.A. can give accident victims an advantage when negotiating with insurance companies.

If you have legal questions related to an accident or your car insurance, visit the Steve Watrel, P.A. website to schedule a free consultation about your case.