The Role of Insurance Companies in Personal Injury Cases

When personal injury strikes, insurance companies are legally obligated to act in good faith, adhere to policy terms, process your claim promptly, and provide compensation for your losses. Unfortunately, not all insurance companies live up to their promises.

To ensure you receive fair treatment, it’s critical that you: 

• Understand the legal responsibilities of insurance companies
• Are aware of the tactics insurance companies use to evade those responsibilities

Below, we've outlined the basic role of insurance companies in personal injury cases and some of the tactics they may use to avoid living up to their obligations.

Good Faith & Fair Dealings

What insurance companies should do: Be fair and act in good faith. That means they should not unjustly deny or delay valid claims.

Tactics they may use instead: Some insurers may use delay tactics, such as lengthy investigations or repeated document requests, to wear clients down or create frustration.

Provide Coverage

What insurance companies should do: Provide the coverage they guarantee in your policy—whether it be medical expenses, property damage, lost wages, and more.

Tactics they may use instead: Insurance companies may resort to ambiguous policy interpretations and loopholes to unfairly deny claims and reduce their financial liability.

Prompt Claim Processing

What insurance companies should do: Acknowledge receiving your claim, conduct a thorough investigation, and provide a decision within a reasonable time frame.

Tactics they may use instead: Instead of timely processing, some insurance companies drag out the claims process, causing additional stress and hardship for the client.

Investigate and Evaluate

What insurance companies should do: Conduct a comprehensive investigation and evaluation of the claim. This may involve collecting evidence, interviewing witnesses, reviewing medical records, and assessing liability to determine coverage.

Tactics they may use instead: Insurance companies often do not fully investigate personal injury cases to avoid rightful payoffs.

Fair Settlement Offers

What insurance companies should do: After determining that your claim is valid, insurance companies should make a fair settlement offer that covers medical expenses, property damage, lost wages, and more.

Tactics they may use instead: Rather than offering fair compensation, insurance companies may present lowball settlement offers that do not cover all of your losses.

Clear Communication

What insurance companies should do: Maintain open and transparent communication with you. They should explain the claims process, provide updates on the claim's status, and offer clear explanations if a claim is denied.

Tactics they may use instead: Inadequate communication or a lack of transparency may leave you in the dark about the status of your claim, causing confusion and frustration.

When Insurance Companies Fail, We Protect Your Rights

If your insurance company is not meeting these basic legal responsibilities, it’s critical that you contact our legal team. Our experienced personal injury specialists will advocate on your behalf, ensuring your rights are protected and your claim is handled appropriately.

To discuss your situation and plan your next steps, contact our office and schedule an initial consultation now!