Consider the following: you’ve been in an accident, and now you have what seems like a hopeless situation; a lowball offer from your insurance company in settlement of your claim.
Negotiating with insurance companies is never easy, and especially so when trying to settle your personal injury claim for a fair claim value.
These negotiation skills will come in handy, as you’ll need to recover compensation that is sufficient for coverage of your costs and damages. Here, this guide outlines the best steps to take from start to finish so that you know how to negotiate with insurance adjusters and recover with confidence.
Article Summary
Understanding Car Insurance Companies Negotiations
If you don’t understand the process you may be at the mercy of insurance companies. After an automobile accident, you’ll have to negotiate with your insurance company to settle your claim.
Here’s what you need to know, as suggested by the Phoenix accident lawyers at PSR: These are the basic terms you need to know.
- Adjuster: The insurance claims adjuster assesses the damage and determines the settlement offer.
- Settlement Offer: The amount the insurance company proposes to pay for your claim.
- Deductible: What you have to pay out of pocket before your insurance kicks in.
- Fair Market Value: The amount your vehicle or property was worth at the time of the accident, based on the age, mileage, usage, and market trends of the particular vehicle or type of property.
Knowing what these terms meant would empower you to better dealing with insurance adjusters in negotiations or ask for what you were owed.
Preparing for Negotiation
If you have been injured in a car crash, as you start to negotiate with your insurance company, there are some things you can do to put yourself in a stronger position. Here’s what to prepare:
Get All the Paperwork: Gather your medical bills, repair estimates, photos of your vehicle damage, and your official police report if applicable. This paperwork shows your claim to be legitimate, as well as the scope of your damages.
Research Fair Value: Research the market value of your vehicle and look up the negative trade-in value or salvage value for your vehicle. Sundram also recommends that you research the costs of your injuries. Being aware of these numbers helps you understand what is a fair settlement.
Get to Know Your Policy: Read over your car insurance policy to become familiar with the limits on your coverage, the amount of your deductible, and any important clauses that could affect how much you are entitled to receive.
Having a good understanding of your policy is important, as it will help you present your case and stand up for your rights during discussions with the insurance company.
When you do your homework, you put yourself in the strongest possible position to put forth your strongest possible case and to strongly advocate for the best possible resolution of your claim.
Negotiation Strategies
When dealing with insurance adjusters, you will be better armed if you understand that they are trained to settle claims for the least amount necessary. Keeping that in mind, here is a step-by-step approach to negotiating with an adjuster.
Talk To The Adjuster: Contact your insurance adjuster within days of the accident to let him know that you intend to negotiate his claim. Then follow up with him to discuss the details.
Make your Point: Tell the judge what happened, what injuries you suffered and what you lost because of the accident. Support your position with evidence such as medical records, repair estimates, and photographs.
Use evidence: document your damages with an itemised list of medical bills, receipts for auto repairs, and all other out-of-pocket expenses.
Be Respectful And Demonstrate Discipline: The tone should always be professional and assertive in a negotiation, and you must stick to the facts. Don’t get emotional; it won’t help your cause much, if at all.
Arrange An Early Settlement: Make a base settlement offer reflecting an amount that could easily withstand a vote of the jury if the case went to trial (what you actually think the case is worth). If your negligence case is weak, consider a lower range of base settlement offers.
Take Care of Your Injury: Do not sleep on a hard surface for more than two weeks after suffering a neck or back injury. Instead, use a pillow, wait at least a month to get an MRI, and then find a neurosurgeon you trust. Let Others Help:
Do not attempt to fight with the insurance company yourself. Hiring the right attorney will improve the chances of receiving a fair settlement and obtaining medical treatment. Walk Away: An insurance company will never pay more than you are willing to settle for. If their offer is unacceptable, do not hesitate to say no.
If you do all these things, then go into negotiations with your insurance company, you can at least feel like you’re getting the best offer that you can pull out of them.
When to Seek Legal Help
Although most negotiations with an insurance company can be resolved without a lawyer’s involvement, you sometimes have no choice but to seek counsel.
Denial of a claim: If you have an objection to the insurer’s outright denial of your claim, then by all means seek the aid of the law.
Low Settlement Offer: If you are presented with an offer that will not cover your damages or expenses, a lawyer can negotiate on your behalf to help you get a good settlement.
- When an accident results in an injury:
- If the injury is minor, do-it-yourself through a form.
- For a serious injury, consult a lawyer.
- For an injury that is a particularly complex legal issue (for example, where liability is disputed, or there are multiple parties), consult a lawyer.
- If the injury has occurred due to injuries suffered in the workplace, consult a lawyer.
Legal representation can be valuable in helping you through this process, safeguarding your rights and helping you to maximise the value of your car accident claim.
Reaching A Fair Settlement
Negotiating with the insurance company in the wake of a car accident can be a difficult process but, with the right preparation and tactics, you can improve your odds of securing a favorable settlement. Here’s what to do.
- Preparation: Thoroughly gather and organize all necessary documentation to support your claim.
- Knowledge: Understand the terms and processes involved in insurance negotiations.
- Assertiveness: Approach negotiations with professionalism and confidence, backed by evidence of your damages.
- Legal Advice: If the negotiating process is not working or if your claim is complicated, legal help is advised.
Remember, communication, persistence and education are key to getting a settlement that provides a reasonable reimbursement to you for your loss. If you stay on track with these guidelines and ask for support when you need it, you’ll find your way through the process and win a settlement for your car accident.
