Here are some of the tactics the insurance adjustor will use to wear down injured claimants so they will accept much less money than what the claim is worth.
Using Delay Tactics
The adjustor is a master of using delay tactics to wear people down. He knows that many people (80-90%, according to some insurance company estimates) will grow tired of the delaying tactics and simply throw up their hands and say, "Enough!" These people will accept the low-ball offer just to be done with the entire unpleasant process.
Requesting Unnecessary Information
It's true that the insurance company will need records, receipts, bills, reports, and other documentation to support the claim, but sometimes the request for documentation is unnecessary. For example, asking for medical records from ten years before the accident or tax returns from the same period typically is unnecessary and is only being requested to delay resolution of the claim. Insurance adjustors know that repeated requests for unnecessary documentation can easily frustrate people and wear them down so they're more likely to accept low settlement offers.
Disputing The Medical Treatment
Despite the absence of any medical training, the adjustor may question the need for treatment or certain procedures or worse; second-guess your own doctor. Many times it does not matter to the adjustor that your treatment has been recommended by a reputable, licensed physician.
Disputing The Medical Charges
Sometimes the adjustor will only agree to "accept" 70, 80, or 90% of your past medical charges. Again, such an assertion is made without having any medical background to support such a position. By nickel-and-diming the consumer, the well-trained adjustor knows that most people will not hire a lawyer to challenge the refusal to pay a small portion of the medical bills.
Telling You Not To Hire An Attorney
Other times the insurance company will tell you that hiring an attorney is unnecessary. Sometimes the adjustor will try to prevent you from retaining an attorney by falsely stating that any settlement money you receive will go entirely to the attorney. Still, other times the adjustor may threaten to "deny" the claim if you hire a lawyer. If a claims representative tries to steer you away from retaining an attorney, this should be your first clue that using an attorney may actually produce a much higher recovery for you-even after deducting the attorney's fee.
Misrepresenting Insurance Policy Benefits
Sometimes the adjustor will misrepresent the amount of insurance coverage that is available to you. Worse, the adjustor won't tell you that the insurance coverage or certain types of benefits even exist. This tactic may be used to entice you into accepting a smaller settlement than what would otherwise be warranted.
Acting As Your Friend
There are times when the claims adjustor will "befriend" you and make it appear that he is watching out for your interests when in fact that is not the case. Sometimes the adjustor will give you advice about the type or frequency of your medical treatment, and then decide later on not to pay for the treatment because it is "excessive."
Making False Promises
There are times when the adjustor will make promises to you that she knows can't be met. The adjustor's primary loyalty is to her employer (the insurance company) and to her insured (the negligent party).
Any adjustor who makes promises "for your benefit" inherently creates a conflict of interest. Oftentimes the adjustor already knows that a conflict is created by promising to protect your interests, but she knows this is one way to get you to lower your guard and agree to terms that your attorney would never allow.
These are just a few of the tactics that the insurance industry will use to accomplish its goal of getting people to accept smaller settlements. You need to be aware that you are dealing with professional negotiators who strive to fulfill the insurance company's primary objective: to settle claims for much less than they are worth. Lower settlements mean bigger company profits. If you begin to feel overwhelmed, you should not hesitate to consult with an attorney,