Insurance Dispute

Sometimes an insurance dispute represents your only means to achieve a fair insurance claim settlement.  But the process can be extremely intimidating, particularly in the wake of your loss and especially when you are ill prepared.

Presented by an insurance expert, the purpose here is to provide some insight, some unique claims advice, designed to assist you in achieving a fair insurance claim settlement to your valid insurance claim.

Insurance is designed to indemnify, to protect you from unexpected events.  Insurance claim settlements are not meant to enrich or profit.  A fair settlement returns you to your pre-loss condition, compensating you for your loss.

Unfortunately insurance companies sometimes engage in claim settlement practices which are inherently unfair.  These practices can include premature offers, unexplained claim delays, unreasonable demands, faulty or unfair policy interpretations, or outright claim denials.

When you are not receiving the benefits you deserve, the ensuing insurance dispute process can prove time consuming and overwhelming. 

Insurance companies are in the business of making money.  They tread a fine line between fair claim settlement negotiations and unfair claims handling practices. It is your job to understand the difference.

Let's begin with one of the most common sources of insurance disputes, the early settlement.

The early or premature settlement

An early settlement is almost always of benefit to the insurance company.  For this reason, early settlement offers should be regarded with skepticism.  Consider that the initial settlement offer will likely be the most minimal offer that the insurance company can justify.  In reality, the adjuster has an authorized settlement range.  Beyond that, claims management must become involved.  But more often than not, the first offer represents the lowest amount within the authorized limits.

And so, the insurance company will seek to persuade you to take this first offer.  They want to avoid an insurance dispute simply because it can be costly to the company. 

Premature claim settlements are also costly to the claimant.  By agreeing to a settlement that is less than what you are entitled to, you are, in essence, suffering further loss.  To the contrary, you have not been returned to your pre-loss condition.  Likewise, early settlements tend to take advantage of people when they are most vulnerable.  Is it fair to assume that almost immediately after a loss, you are free to assess all of your damages?

If your claim settlement offer does not seem fair to you, do not assume that you must accept that settlement.  Instead, take some time to do your homework, to assess your loss.  Seek your own independent appraisals.  And in particular, if you are injured it is especially important that you resist an early settlement.  Perhaps you will be fine.  Perhaps not.  Have you seen a doctor?  Do you know for sure that those aches and pains do not represent permanent injury?

Be careful that you do not sign away the benefits that you rightfully deserve.

Under what other circumstances are you at risk of an insurance dispute?  Let's take a look at unexplained claim delays, unreasonable demands, faulty or unfair policy interpretations, or an outright insurance claim denied.

For a more serious insurance dispute, consider our eBook, Power To Profit.