Profits Up But Service Down in Auto Injury Cases
Recent investigations of major auto insurance carriers have discovered that if you are injured in a minor accident, the chances are high that insurance companies will challenge your injury claims. This is true, in part, because many insurance companies believe it is cheaper to drag your claim out and force you into court than to pay you fairly for your injuries. Most injured persons simply can’t afford to wait years for resolution of their claims and are forced to accept the insurance company’s settlement offer. Often it amounts to only pennies on the dollar when compared to the true value of the claim. The insurance companies have continued this practice by deceiving the public into believing that they are just trying to hold down rates and prevent fraud in auto accident claims.
Some insurance industry insiders, including former agents and claims adjusters, have now come forward to expose this shameful practice. They have admitted that they were trained to deny or underpay claims, no matter how deserving, to boost company profits. It doesn’t take a genius to see that if the companies can save a few thousand dollars a claim over a million claims, the profit increase is huge. In fact, despite record profits over the last 10 years, auto insurance companies have not returned the savings to their customers. They have actually increased premiums by 30 percent over that time period.
What constitutes a personal injury?
The most common personal injury is an auto accident, but the broad definition encompasses any situation where a person suffers harm due to the negligence of another person or entity. Early identification of a personal injury is important to the legal process. Many serious injuries occur each year involving:
– Auto accidents
– Premises liability accidents such as injuries caused by a slip and fall
– Medical malpractice/nursing home injuries
– Wrongful death
– Work-related accidents
– Animal attacks
– Faulty or malfunctioning products (product liability)