February 27, 2024 | Insurance Disputes

We invest in insurance for peace of mind. Insurance is supposed to provide us with a safety net when faced with disaster. Insurance provides a financial safety net that can help us avoid financial ruin in the face of a disaster with significant economic implications. However, this isn’t always the case. Insurance companies, like any other business, will work to prevent losses. That means reducing or denying insurance claims. Below, we take a look at some of the egregious tactics insurance companies employ to avoid paying out high-stakes claims. We also take a look at how experienced attorneys can help.

Tactics Insurance Companies Use to Deny or Devalue High Stakes Claims

• Delaying the claims process

This is one of the most frustrating tactics that insurance companies employ to avoid paying out claims. They use any means necessary to stall the claim in the hope that the person making the claim will give up after a while or will accept a lower offer for compensation than they deserve. Some ways that insurance companies use to delay the claims process include endless requests for documentation, scheduling repeated assessments, delays in making decisions or even simply sitting on the application until important deadlines pass.

• Using confusing fine print in policies

Another tactic insurance companies use to get away with denying or reducing claims is by using confusing fine print. Insurance companies know that people rarely read the fine print on their policy contracts. The terms and conditions of the policy may be written in complex legal jargon that the average lay person will find difficult to understand. The fine print may include loopholes that the insurance company can use to maneuver. Their insurance company may cite obscure clauses in a way that defy common sense to deny a legitimate claim.

• Using red tape as an excuse to deny claims

The insurance claims process may involve a lot of red tape. Insurance companies are notorious for seizing technicalities to deny claims. For example, they may state that you failed to submit a document, did not disclose relevant information, failed to submit a document within a specific time frame or violated a minor provision in the policy contract. Insurance companies may use even the slightest mistake or omission to deny your claim.

• Lowballing settlement offers

Even when insurance companies acknowledge a claim, they often offer far less than is fair or necessary to cover the damages. They may undervalue property damage, dispute the extent of your injuries or downplay the impact or losses that the injuries or damages have had on your life. These lowball settlement offers can leave the claimant struggling to rebuild their lives.

How an Experienced Personal Injury Attorney Can Help

When faced with the formidable resources and legal teams of insurance companies, individuals seeking compensation for damages may feel overwhelmed and powerless. However, all is not lost. With the help of an experienced attorney, you can level the playing field and recover just compensation for your damages. Here are some ways that an experienced attorney can help you deal with the tactics that insurance companies use to deny or devalue claims.

• Claim evaluation

An experienced attorney can assess the validity of your claim. Through experience and their knowledge of the law, they can determine the value of your claim. They will help you determine whether the insurance company’s denial of the claim is justified or if the offer made is too low. They will review the terms of the insurance policy, the circumstances surrounding the claim and any correspondence with the insurance company to provide an objective evaluation.

• Navigating complex policies

Insurance policies are often filled with complex legal jargon. Attorneys with a good understanding of the law and extensive experience dealing with insurance companies have the expertise to interpret these policies accurately. This ensures that the person making the claim understands their rights and obligations.

• Building a strong claim

Insurance companies will use any means necessary to deny your claim. It is therefore important to have a strong case with compelling evidence to support it. Experienced personal injury attorneys can assist in gathering and presenting evidence to support the claim. This may include medical records, property damage assessments, witness statements and expert opinions. They will help strengthen your position and increase the likelihood of a successful outcome.

• Handling the documentation

Insurance companies can apply red tape to frustrate the claims process. They will use even the slightest mistakes or omissions in your application to deny your claim. Attorneys with experience and knowledge of insurance claims processes can help you avoid common mistakes and omissions by handling all documentation in the claims process. This will improve your chances of having a favorable outcome.

Are you having a hard time recovering the compensation that is rightly yours? Contact our law firm and let our experienced and knowledgeable attorneys fight for you.

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