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How Do Insurance Companies Evaluate Personal Injury Claims?

How Do Insurance Companies Evaluate Personal Injury Claims?

Posted By Dunnion Law Firm || 4-Oct-2016

No one wants to be involved in an auto accident—the experience is traumatic and often damaging to personal health and property. When the unfortunate occasion does arise, you need all the emotional, mental and legal help you can get. After an auto accident, it’s important to contact your insurance agency. If you were injured in the accident, the insurer will compensate you for your injuries. Often the compensation offered is woefully less than what’s fair for your injuries. This is where legal help comes in. A great personal injury lawyer, like the ones you’ll find at Dunnion Law Firm, can help you to get you the financial compensation you need and deserve.

Part of the fight involves knowing how insurance companies evaluate personal injury claims. Dunnion Law Firm believes that by knowing how the insurers make compensation decisions, you are better equipped to receive the money to which you’re rightfully entitled.

How to Determine What Your Claim Is Actually Worth

The insurance company associated with the liable party in an accident must pay an injured person for the following:

  • Expenses related to medical care for your injury

  • The income you missed out on as a result of the accident, the time you’re unable to work as a result of your injuries and the time you spend away from work while receiving treatments

  • Any permanent disfigurement or physical disability resulting from the accident

  • The intangible damages associated with loss of experiences, including family time, social functions, educational experiences (i.e. any school or training you miss), vacation or other special occurrences

  • Emotional damages from the accident. These can include any stress or depression you experience, embarrassment and damages to your family bonds (e.g. anxiety about how the accident affected your unborn child, or inhibitions to your sexual relations)

  • Property damage

How the Insurance Company Determines What Your Claim Is Worth

For the tangible damages involved in your accident, you and the insurer can easily add up the material losses and the same amount of money should be returned to you. It’s the subjective evaluations of how much money pain and trauma should be compensated that allow insurance companies to pay you less than you deserve.

When claim negotiations begin with the insurer, the insurance agency adds up medical expenses accrued from the accident. These “medical special damages” create the base figure from which the insurer decides how much to compensate you for the intangible losses and suffering you experience, which are referred to as “general damages.”

When a Skilled Personal Injury Lawyer Becomes Crucially Important

Depending on how bad your injuries are, the insurer will multiple the monetary value of special damages by 1.5 to 2. If the injuries are really severe, the multiplier could be as high as 5 to 10. Income loss is then added to this total. This base number is where the negotiations start at. An insurance agency will try to keep the money you deserve from your “general damages” to a minimal. In order to get all the money you deserve from the accident, you need to hire a personal injury lawyer who will fight aggressively for you. Contact Dunnion Law Firm to hire a personal injury lawyer who won’t back down or allow you to be undercompensated.

Categories: Personal Injury