8 Red Flags That Insurance Companies Aren’t Going to Cover Your Bills
When insurance companies advertise, they use words and phrases like protection, safeguard, and peace of mind. But if you’re hurt in an accident, there is one important fact to remember: These are for-profit businesses with revenue goals and shareholders to answer to. They make money by paying out as little as possible.
In fact, the people who review personal injury claims receive training on how to minimize the amount of money that gets paid out. If they can avoid paying a settlement entirely, they will.
It is common practice for some insurance companies to deny nearly every claim at first. Claimants may be discouraged and drop the matter. However, injuries that are not your fault deserve compensation. If you run into any of these techniques, it’s a red flag that you need a personal injury attorney to help push your claim through.
1. A Claim Is Denied Without a Reason
There are several valid reasons why a personal injury claim may be denied. For example, the at-fault driver’s coverage may have lapsed or their vehicle isn’t listed on the policy at the time of the accident. If the injured person gets a denial that does not specify the reason, it could be a red flag.
There is a chance that the company made a mistake, so it’s best to ask for clarification and find out if they simply need additional information. Insurance companies are legally required to act in good faith to resolve claims. If they refuse to give a reason for denying a valid claim, a victim may need a personal injury attorney to intervene to get answers, or even file a bad faith claim.
2. Stalling Techniques Keep You In Limbo
In some cases, insurance companies are unresponsive, or take forever to return calls and answer questions. It can be incredibly frustrating to wait in limbo for a claim’s acceptance or denial—especially when faced with medical bills piling up after an accident.
A company dragging its feet on a claim is inconvenient. But luckily it can’t “run out the clock” when it comes to the statute of limitations. As long as a victim files a claim within the time limit (two years from the date of the incident in Illinois and five years in Missouri) they are within the statute.
3. They’re Too Quick to Offer a Low Settlement
Insurance companies might go to the other extreme, too: Rushing to offer a settlement. This is also a red flag. When insurance companies are quick to try to settle, it is often for less than what the case is actually worth. The hope is that the injured party will jump at the chance to resolve the issue as soon as possible.
Once an offer is accepted, there is no going back for additional damages. Unfortunately, a lowball settlement may not cover all of the victim’s expenses. It is important to consider not only immediate medical needs but future costs as well. A serious accident can require weeks, months, or even years of follow-up care, medication, and physical therapy, not to mention pain and suffering. A personal injury attorney can assist in calculating exactly how much money represents fair compensation.
4. They Bury You in Paperwork
Insurance companies require a lot of documentation for a personal injury claim. If they ask for forms and reports that have already been submitted or keep adding to the list of necessary paperwork, it could be another red flag.
Not only can a personal injury lawyer help gather and file all of the appropriate documentation, but they can also push back when the requests are unreasonable.
5. You’re Pressured to Sign Something
As mentioned in #3 above, once a claimant accepts an offer, there is no turning back. Pushing them to sign a settlement agreement is a red flag.
Another red flag is insisting on a signed statement about the incident. A victim is not legally obligated to give a statement to the other driver’s insurance company. They could end up hurting their case for compensation if they unintentionally say something that isn’t accurate. For example, a simple statement of “I didn’t see the car coming” could be used against them to claim they weren’t paying attention to the road.
It is best to be very cautious whenever an insurance company asks for a signature. Be sure to know what it means and its implications. Better yet, seek the advice of a personal injury attorney first.
6. They Want to Record You
Like signing a statement, recording a statement could end up jeopardizing a personal injury case. A victim could say something they do not mean, especially if it is soon after the accident when they are overwhelmed, confused, or in pain. Do not agree to a voice or video recording without discussing it with an attorney.
It is also worth noting that it is illegal in both Missouri and Illinois to record someone without their consent. Any insurance company that would attempt something like this is not only unethical but is breaking the law.
7. The Severity of Your Injuries is Questioned
One red flag that insurance companies might try to minimize or deny a claim is when they try minimizing the severity of the injury itself. This is easier for them to attempt with injuries that are difficult to diagnose such as tinnitus (ringing in the ears), migraines, or PTSD. It is important to document proof of treatment for all injuries, but especially these types.
Insurance companies may also allege that the accident played no role in a person’s condition and that it is the result of a pre-existing condition instead. A medical professional’s determination will help prove that the accident was either the proximate cause of the injury or contributed to worsening an existing medical problem. Victims may need a personal injury attorney to help establish the link between the accident, the injury, and the cost of treatment.
8. They Try to Place Blame on You
A big red flag that an insurance company will not cover your bills is when they claim the victim was at fault. The injured party may need a personal injury attorney to help them prove they were not to blame.
There are of course times when both drivers might share responsibility for a crash. In these cases, lawyers can be instrumental in coming up with the appropriate percentage of blame to assign to each party. This way, they can help their clients receive their fair share of compensation for their injuries, even if it is not 100 percent.
Tips to Stay a Step Ahead of Insurance Companies
Insurance companies are likely to try to pay out as little as possible on every claim. There are some things you can do to help improve your chances of collecting a fair settlement.
- Don’t delay treatment. It can take a while for pain to show up after an accident, so it is best to be checked out as soon as possible. Documentation of examinations, tests, and treatment will combat claims by the insurance company that there were no injuries.
- Document everything. Many claims are denied because there are no medical records, no police report, and no witness statements. Not only will these help prove the accident caused the injuries, but they will also help determine the dollar amount to request.
- Don’t wait to file a claim. Missouri allows five years to file and Illinois only two. That time can go by fast, especially if the victim endures a long hospital stay and extended recuperation time.
The most helpful thing a victim can do is hire an attorney like Hipskind & McAninch. A personal injury attorney can help collect and organize all of the evidence. They can make sure that all paperwork is filed correctly, completely, and on time. They will handle negotiations with the insurance company. And if they can’t reach an agreement for full compensation, they will take the case to court.
If you have been hurt in an accident and are spotting red flags from the insurance company, contact Hipskind & McAninch for an initial consultation. We’ll review your case for free.
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