Why Do Insurance Companies Offer Low Settlements?

Losses in a Personal Injury Claim

If you have been injured in an accident due to the fault of another party, you may be entitled to compensation for your damages through a personal injury claim. Throughout your claim, you may find that the insurance company you are pursuing compensation from is offering you significantly less than your damages require. This is not uncommon. Over and over again, personal injury victims just like you are experiencing the same issue. This is why you need a personal injury lawyer like Mickey Fine to help you through the claims process. Below, we will go through some reasons why insurance companies offer so little for personal injury victims.

Insurance Companies are Concerned About Their Bottom Line

There is a common misunderstanding that insurance companies exist to reasonably settle claims for people who have suffered injuries, damages, and losses due to an accident. While it is true that insurance companies contribute to compensation, the amount that they contribute initially is almost never enough, and it is certainly not the main reason they are in business.

Much like any large corporation, insurance companies exist for one reason: to make money for their shareholders. Because they are beholden to these shareholders, the less money they pay you means the more money they can pay back to those who hold their stake.

In the end, the main goal of an insurance company is to decrease a settlement claim as much as possible to increase their profits. To do this, they will use tactics and careful strategies throughout a claim to offer you the lowest possible settlement in hopes that you will accept it.

Minor Cases are Vulnerable

If you are involved in an accident but only suffer “minor injuries” such as whiplash, you may be subject to receiving exceptionally low settlement offers because taking your case to trial won’t make economic sense for an attorney. This is usually the case in car accidents when the damage to a vehicle is minor, and whiplash is the injury that was sustained.

In this situation, the insurance company is well aware that attorney fees will likely exceed the money that the attorney would reasonably expect to make on the case. Because of this, the attorney and the claimant lose a lot of the leverage that they could have for a more serious injury case.

Revealing Too Much Information About Your Accident and Injuries

If you have been in an accident due to the negligence of another party, you will likely be contacted by a representative of that party’s insurance company. One main mistake that we see people make during this process is disclosing too much information about their accident and injuries with the opposing insurance company.

We highly recommend that you not speak to anyone about the specifics around your accident or injuries until you have first consulted with Mickey Fine about your legal options. More often than not, claimants will answer the questions asked of them by opposing insurance companies before the full extent of their damages is known. When this occurs, your claim can be damaged, and your compensation may be reduced as a result.

If you have been injured in an accident, do yourself a favor and schedule a free case evaluation with personal injury lawyer Mickey Fine. Mickey will be able to meet with you and discuss your legal options.

Handling Your Personal Injury Case Without a Lawyer

Attempting to handle your personal injury case without a lawyer is never a good idea. A common assumption people have is that they will be treated fairly even though they do not have a lawyer. This almost never the case. Insurance companies will often discourage you from hiring a lawyer for your personal injury claim because they know that you are not versed in the legal process and your rights.

Without a lawyer fighting for your rights every step of the way in your case, you will not have the leverage needed to recover fair compensation. Don’t make this mistake. Contact Mickey Fine right away so he can protect you against unfair insurance offers.

Speak With A Personal Injury Lawyer in Bakersfield Today

Mickey Fine is an experienced personal injury lawyer in Bakersfield that knows how to deal with insurance companies. He will be there every step of the way to ensure that your rights are protected. Mickey Fine is here for you in your time of need. Contact us today to see if you have a case.