Many drivers are able to rely on their good faith and won’t expect to have to sue their insurance company to recover damages for an accident. Most drivers want their car fixed and their medical bills paid.
Michigan Auto Law’s auto insurance lawyers deal daily with car insurance companies that abuse their customers and cut off their benefits without notice or explanation. Insurance companies may also place people “under investigation”, which is used to stop payment of medical bills or wage loss. Their insurance adjusters are threatening, intimidating, and sometimes lying to people.
These are some of the common strategies used by auto insurance companies to minimize or avoid paying customers. These suggestions will help you to protect yourself and avoid problems with your auto insurer.
1. Your policy’s fine print contains many restrictions and limitations.
It is difficult to understand and read the fine print in auto insurance policies. Many people are unaware of the important filing requirements in their auto insurance policies, which can lead to them losing out on valuable benefits. Auto accident lawyers have seen this happen far too often. Many auto policies require that you notify your insurer within 30 days of a hit-and-run accident. Many contracts include separate conditions regarding coverage for uninsured or underinsured motorists. These require prompt notice. Insurance carriers have the ability to change their policy filing requirements at anytime. If victims of car accidents fail to respond to notification requirements promptly, they may lose their coverage.
How can you protect yourself?
After any accident, notify your insurance company immediately. You should have your entire auto insurance policy. This includes any notifications of coverage changes from one year to the next. You may also receive pamphlets and notes with your renewal statement, which can reflect any policy changes. Policies usually include exclusions and conditions as well as insuring agreements, declarations, conditions, and insuring agreements.
You should also check your insurance policies to see if there are any benefits that may be covered by your health or disability insurance. Also, review any additional coverage such as uninsured or underinsured motorist coverage. Understanding insurance policies is a great way to ensure that your health care provider bills you correctly if you are receiving ongoing medical treatment for injuries sustained in a car accident.
Do not hesitate to ask a lawyer specializing in auto accidents for advice or guidance if you have any questions about your auto insurance policy.
2. Agents of insurance don’t always suggest the best coverage.
Following a car accident, there can be numerous issues and challenges navigating health insurance plans, managed care plans, retirement plans such as ERISA, and coordinated/uncoordinated policies. Insurance agents might not mention important coverage options or applicable discounts because of payout losses, lower premiums, or reduced commissions.
People often choose to have more insurance coverage in order to avoid being personally responsible for any car accidents. Some people pay only the minimum premium to renew their license plates each year and let their auto insurance lapse. Without an uninsured/underinsured motorist policy, a driver or family members severely injured by an uninsured motorist will have no source of legal recovery for their injuries other than filing a lawsuit against the uninsured driver for his or her personal assets. The majority of people don’t have enough personal net worth to pay for someone who has been seriously injured.
How can you protect yourself?
An experienced lawyer can help you determine which insurance coverage is required and what will be the cost of medical bills if you are hurt in an auto accident.
Uncoordinated coverage, or primary coverage, is safer if you have ERISA insurance. In the event of an accident, an insured person may not be able to recover any pain or suffering from their ERISA and/or coordinated insurance.
Check your insurance policy for uninsured/underinsured motorist coverage of at least $100,000 per person and $300,000 per accident. Contact your insurance company to request this coverage – it is inexpensive and highly recommended to protect yourself and your family.
Your auto insurance premiums can be lowered by raising your deductible to $500 or more. You might consider dropping collision and/or comprehensive coverage for older cars. If the value of your car is less than 10x the premium, you can eliminate these coverages, unless you still owe money on the car. For low mileage discounts, contact your insurer if you have a reduction in the miles you drive each year.
3. Accident Settlement Offers Are Always Too Low
Imagine that you have just sustained severe injuries in a car accident. Now, you’re recovering at home and worried about your finances. An insurance agent comes knocking at your door, offering $100,000 to cover your accident. A large settlement amount can seem overwhelming due to the emotional and physical trauma caused by a truck or car crash. Some victims accept the first offer. The value of an auto accident case is more than just the injury type and future expenses that are not covered by no fault insurance. It also includes the policy limit of the wrongdoer. Insurance companies offer to settle in order to save litigation costs and protect the rights of accident victims to full recovery.
How can you protect yourself?
A lawyer can help you if you have any questions. Many lawyers are available to explain the law and what your rights are. They can also help you make sure that your insurance company pays all of their obligations.
4. To Overwhelm Accident Victims, Recorded Statements and Releases are pushed early
Many victims sign adjusters’ forms without consulting an auto accident lawyer. They believe these documents are merely verifications of the accident. They may lose the right to sue negligent drivers for injuries sustained in an accident. Claims adjusters will often attempt to record statements as soon as possible to minimize victim’s pain and injuries so that they can later be used in court. Unrelated language can cause problems with other claims, even vehicle damage releases.
How can you protect yourself?
Never give any statements to an adjuster for accident claims. Also, never sign a release and never allow them to inspect the vehicle damage. Just tell the adjuster you want to review the paperwork with an attorney. They will then get back to you with your response. Even though you feel helpless after suffering financial hardships such as medical bills, lost earnings, and severe pain, speaking with an auto accident lawyer will protect your rights. Remember that claims adjusters work for insurance companies and have the best interests of the company, not the victim.
5. It is standard practice to delay or deny claims for payouts
Many people who are injured in a car accident contact their insurance company to learn what next. They believe that if they follow the steps, they will be able to receive fair and timely compensation for any injuries they sustain in an auto accident. They paid for auto insurance to be covered in case of an accident.
Many insurance companies use common delay tactics, such as not returning calls, denials, placing victims on hold for long periods of time, asking them to gather records repeatedly, and switching between adjusters. Innocent car accident victims need to consult an attorney because of the mounting financial burden and increasing medical bills. It can even lead to them accepting a very low settlement offer that limits their future damages recovery.
How can you protect yourself?
These are typical delays and you need to contact an attorney for auto accident claims. They can help you get your claim processed and receive the benefits you’re entitled under your state’s laws.
Bottom Line:
Consult an attorney immediately if your accident results in injuries to yourself or your family, even if they seem minor. You will be able to better understand the benefits available to you and you can rest assured that you have received all the benefits and compensation you are entitled.