Myths About Insurance Company You Should Know

The insurance market in the US produces trillions of dollars in earnings annually. That contributed to 7% of the GDP (gross domestic product) of the United States in 2012.

In terms of revenue, it is the biggest industry worldwide. Think about it. We all purchase insurance for our health, life, homes, automobiles, and anything else possible. The insurance company provides it all. In reality, for those injured in auto accidents, dealing with insurance companies could turn into a trap. Insurance firms have spent large sums of funds on adjuster training. They train adjusters on how to harm people and how to resolve cases for the smallest sum of money. They are especially good at preventing people from employing a personal injury attorney who can secure the financial support they need.

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Common Myths About Insurance Companies You Should Be Aware Of

Several common misunderstandings that we often hear include:

  1. MYTH: “The insurance company admitted liability when I spoke with them on the phone.”

REALITY: Despite the fact that they also work for the person who hit you, adjusters are trained to build rapport and give you the feeling that they are on your side. They will fight you tooth and nail to deny any responsibility after you file a lawsuit, talk with a lawyer, or even just turn away their lowball offer.

  1. MYTH: “If I simply write insurance companies with an acceptable request, they will offer me a reasonable settlement.”
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REALITY: Insurance companies provide claimants with attorneys multiple times more compensation than they do to people without. When a claimant is unrepresented and does not have an attorney, insurance companies are willing to pay quickly, but it does not guarantee the amount will be reasonable or fair—far from it.

Insurance firms moved to an automatic approach thirty years ago, reducing the need for human analyzers to evaluate claims, injuries, and accidents. Instead, they started using computer systems that just receive data and offer standardized payment values. Of course, the actual pain that injured people suffer cannot be measured by this system.

  1. MYTH: “It appears like my insurance adjuster is kind and worried about my well-being.”
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REALITY: In order to prevent you from hiring an attorney, your insurance company is quite skilled at playing the part of your friend. They are experts at building rapport and trust, so they can “guide” you through the claims process and offer you a lowball settlement for your injuries.

Think about it. Dealing with injured individuals filing claims all day long is the adjuster’s duty. everything might be your life, but for them, this is how it all works. Their real aim is to get you to withdraw your claims.

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