Insurance companies have a main goal, like every other business, of making money. They cannot do this if they pay out the full amount every time a person is injured. Instead, they’re always going to offer an amount lower than the case is worth in the hope the person accepts it. To avoid being taken advantage of like this, a person should never accept a settlement before speaking with an attorney.
Why Insurance Companies Offer a Low Amount
Insurance companies know most people are in a hurry to receive money to pay their accident-related expenses and to ensure they have the money to cover their regular bills while they recover. They also know that most people do not understand how much their case is really worth and, when they’re offered what seems to be a large settlement, will likely go ahead and take it. Insurers use this to ensure they pay out the lowest amount possible and avoid paying out the full amount the person might be entitled to. This can lead to a person receiving thousands of dollars less than they should for their injuries.
What an Attorney Can Do About This
When a person hires an attorney, the attorney will look through the entire case to determine how much compensation the person should actually receive. They’ll need to look through the costs of the medical bills, property damage, lost wages, future medical care that will be required, and even the reason for the accident. All of this can add up to quite a bit. Once they know how much the case is worth, they can help the person compare this to the settlement offer from the insurance company. If the person decides to work with the attorney, the attorney will then start to negotiate with the insurance company for a much larger settlement.
If you’ve been injured because of negligence or a direct action of another person or company, you might have a case for compensation. Before you accept any settlement offer from the at-fault person’s insurance company, make sure you speak with a personal injury attorney. They’ll help ensure you’re going to receive the full amount of compensation you’re entitled to.