Insurance companies in Chicago, IL, don’t explain to you that their goal is to settle your claim for as little as possible and that a recorded statement can be used against you. They won’t tell you that seeking immediate medical attention and hiring a lawyer can help you secure a higher settlement. They won’t say they will employ various delay tactics to frustrate you into accepting a low settlement or giving up the claim altogether. They won’t also tell you that pain, suffering, and long-term damage don’t just come with an injury claim, they must be proven.
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Knowing what insurance companies are not telling you can be as important as what they are saying. Our legal team at Ankin Law can help level the playing field and maximize your compensation. Call 312-600-0000 for a free case evaluation.
The Hidden Rules Insurance Companies Use to Reduce Injury Claim Payouts
Insurance companies use hidden tactics to reduce the value of your injury claim, like lowballing your claim, twisting your statements, or delaying your settlement until you are desperate.
Lowballing Claims to Maintain the Company’s Profit Margins
Insurance companies have internal guidelines for handling injury claims. These guidelines require adjusters to prioritize the company’s profitability by paying claimants as little as possible. They may achieve that by downplaying your injuries, pushing for a quick settlement, and categorizing severe injuries as minor.
Using Recorded Statements Against You
An insurance adjuster will most likely request that you describe how the accident happened and who you think was liable. What the adjuster won’t tell you is that the company’s internal rules require the adjuster to use your recorded statements to lower your claim value or deny it altogether. For instance, phrases like “I’m fine” immediately after the crash can be used to imply that your injuries are not as severe as you claim.
An adjuster may also ask you to list the type of injuries you sustained. Such a request is designed to benefit the insurance company, as some injuries, such as whiplash and traumatic brain injuries, don’t show symptoms immediately after an accident. You may end up omitting a serious injury, and the adjuster bars you from including it when you officially make a claim.
Talk to a personal injury lawyer before recording a statement. Your lawyer will tell you whether recording a statement is necessary and, if so, what questions to answer and what questions to politely decline answering.
Delay Tactics to Devalue or Deny Your Claim
Adjusters may act friendly and supportive. They might even promise to guide you through the claim process, when in reality they just want to trick you into not hiring a lawyer. They may then prolong the process until the deadline for filing a lawsuit passes. Illinois personal injury claims have a two-year statute of limitations. The “timer” for this deadline starts ticking from when you got injured.
Insurers may dispute liability or claim that you were partially liable. They might do this even when liability is clear. Their goal here is to lower the payout you are entitled to by applying the Illinois modified comparative negligence rule.
Treatment Delays Can Be Used to Lower Your Compensation
Insurers won’t tell you that the sooner you see a doctor after an accident, the higher your chances of recovering higher compensation. If you wait too long before seeing a doctor, insurers may claim your injuries are from a pre-existing condition and not related to the accident. They may also argue that your injuries are not as serious as you claim because you delayed seeking treatment.
Why Early Insurance Offers Are Rarely in Your Best Interest
Early insurance offers are rarely in your best interest because they are meant to close claims quickly and for as little as possible. They do not cover the full scope of your injuries. As previously mentioned, some injuries, such as whiplash, often take a while to manifest. Accepting an early offer means you are leaving money on the table. You may be forced to incur out-of-pocket expenses for injuries that appear long after you have settled your claim.
Accepting an early settlement offer is equivalent to waving your future rights. Once you accept the payout and sign a release form, you will lose the right to pursue additional compensation on the same claim. Politely rejecting the offer allows you to protect your right to sue after an accident.
Insurance companies send first offers when you are struggling with rising bills and actively seeking treatment. They hope the payout will tempt you into accepting it, regardless of how low it is.
What Insurers Won’t Tell You About Proving Pain, Suffering, and Long-Term Damage
Insurers often focus on medical bills and lost earnings. They deliberately leave out physical pain, suffering, and long-term damage because these losses make a significant part of your recoverable compensation. Some things insurers won’t explain about these non-economic losses include:
Pain, Suffering, and Long-Term Damage Must Be Proven
Accident victims may assume that compensation for their pain, suffering, and long-term damage is guaranteed and will be included in the approved claim. The reality, however, is that you must present strong and convincing evidence to prove these damages. Crucial forms of evidence include medical records indicating ongoing complaints and expert witness testimony directly linking the injury to your limited ability to perform activities of daily living.
Gaps or Delays in Treatment Can Compromise Your Claim
Insurance companies can use gaps or delays in your treatment journey to claim that you are exaggerating your pain, that you attained full recovery, or that ongoing care was unnecessary. They might raise these arguments even when the gaps or delays are reasonable, such as a lack of access to treatment.
There Is No Specific Formula for Determining Compensation for Pain, Suffering, and Long-term Damage
Insurers often behave as if they used an objective formula to calculate your pain and suffering damages. What they fail to explain is that pain and suffering calculations are subjective and often depend on injury severity, quality of evidence, and recovery duration.
Insurance companies benefit when you know less about your injury claim. Don’t let them deny your claim or pay you less than your rightful compensation. Contact Ankin Law to guide you through the claim process, protect your rights, and ensure you receive full compensation.
FAQs
Why do insurance companies delay injury claims?
Delaying injury claims is a common strategy insurance companies use to pay less than the actual value of an injury claim. Delay tactics, such as endless paperwork requests and failing to return calls, are designed to pressure a claimant into accepting a lowball settlement. Delays can also make the claimant miss the statute of limitations.
Should I give a recorded statement to the insurance adjuster?
Never offer a recorded statement to an insurance adjuster unless you have consulted your lawyer. The adjuster can use contradictions in your recorded statement to minimize your injury severity or twist your words to serve the insurer’s best interests.
How do insurance companies calculate pain and suffering damages?
Multiplier and per diem are two common methods used by insurance companies to determine pain and suffering damages. In the multiplier method, your economic damages (medical expenses and lost income) are scaled by a number ranging from 1.5 to 5 based on the injury severity and its long-term impact.
In the per diem method, a daily monetary value is determined for your suffering and multiplied it by how long your suffering lasts (usually the number of days). Fortunately, a lawyer can help with insurance settlement negotiations and ensure the final payout includes your maximum pain and suffering damages.
