Navigating The Art Of Negotiation With Insurance Adjusters In Personal Injury Claims

Negotiating with insurance adjusters can be a tricky business. Adjusters are trained to reduce compensation and deny liability, so it's important to be prepared and know your rights when entering into negotiations. Here are some tips to help you navigate the process and get a fair settlement:

- Know their role: Insurance adjusters work for the insurance company, not for you. They are hired to investigate claims and determine the company's liability. Their goal is to save the company money, not to look for the truth.

- Be prepared: Gather all the relevant records and documents related to your accident, including police reports, medical records, property damage quotes, photographs, and repair estimates. Organize them in a chronological order to build a strong case.

- Calculate your settlement amount: Determine what your claim is truly worth by considering all the financial implications of the accident and injury. This includes medical bills, lost income, property damage, pain and suffering, and any other related expenses.

- Don't jump at the first offer: Insurance adjusters often make a lowball first offer to test your negotiation skills and see if you know the worth of your claim. Don't be afraid to reject their initial offer and counter with a higher amount.

- Emphasize your strongest points: Focus on the severity of the accident, your injuries, and the pain and suffering you have endured. Back up your claims with evidence and records to show that you are a capable negotiator.

- Get it in writing: Once you reach an agreement, make sure to get the settlement offer in writing. Draft a letter to the adjuster confirming the settlement amount, the injuries and damages covered, and the expected date for receiving the settlement documents.

- Seek legal assistance: If you feel overwhelmed or unsure about the process, consider consulting a personal injury attorney. They can help you navigate the complex world of insurance negotiations and ensure you get a fair outcome.

Know their role: adjusters work for insurance companies, not you

When dealing with an insurance adjuster, it's crucial to remember that they work for the insurance company, not for you. Their primary goal is to settle your claim at the lowest possible cost and as quickly as possible. Adjusters are paid based on how little they get you to settle for, how quickly they close your case, and their ability to keep it off their supervisor's desk. They are incentivized to pay out as little as possible and will use various tactics to achieve this.

For instance, adjusters may try to build rapport and act friendly to make you more cooperative and pursue a lower settlement. They might also employ a lowball settlement offer to test your negotiation skills and see if you know the worth of your claim. They could also attempt to get you to inadvertently share information that could be used against you and undermine your claim.

Therefore, it's essential to be cautious and not overshare when dealing with an adjuster. While they may seem friendly, remember their allegiance lies with the insurance company, and their goal is to minimize payouts.

To protect your interests, consider hiring your own independent adjuster or seeking legal counsel. An independent adjuster will work on your behalf to minimize your losses and ensure a fair settlement. Alternatively, a lawyer can provide valuable expertise and negotiate on your behalf.

Prepare: gather evidence, calculate costs, and know your bottom line

Before you begin negotiating with an insurance adjuster, it's important to prepare. This means gathering evidence, calculating your costs, and knowing the minimum settlement amount you will accept. Here are some tips to help you through this process:

• Gather evidence: Collect all the relevant documents and records related to your accident and injuries. This includes police reports, accident reports, property damage quotes, photographs of injuries or vehicle damage, car repair estimates, medical records, and any other evidence that can support your claim. Organise and consolidate your records so that you can easily access them during negotiations.
• Calculate your costs: Determine the financial implications of your accident, including expenses related to vehicle repairs, medical treatment (both current and future), lost income, and any other costs incurred. Consider the value of your claim and calculate a settlement amount that covers all your past, current, and future economic and non-economic damages.
• Know your bottom line: Decide on a minimum settlement amount that you are willing to accept. This is the number you will keep in mind during negotiations and will not go below. It is important to have this figure in mind before speaking to the adjuster, as it will help you stay focused on your goal and not be swayed by low offers.

Remember, insurance adjusters are trained negotiators who may use tactics to reduce their company's liability. By preparing in advance, you can improve your negotiating position and increase your chances of obtaining a fair settlement.

Expect a low first offer—don't accept it

When dealing with insurance adjusters, it's important to remember that they work for the insurance company, not for you. Their job is to keep claim payouts as low as possible, and they are incentivized to settle your claim quickly and for as little money as possible. This means that their first offer will almost always be a lowball offer. They might even come back at you with a ridiculously low settlement offer as a tactic to test your negotiation ability and see if you know the worth of your claim at all.

Adjusters are trained negotiators and will use various tactics to get you to accept a lowball offer. They might offer to get you a check within a week or two, depending on how fast they can get in touch with the other party involved in your claim. They might also try to pressure you into accepting a too-early (and too-low) settlement offer before you even have a sense of the nature and extent of your injuries. They know that collecting a settlement can seem like a quick way to get compensation without having to go through the claims process, and that the money might be tempting. However, you will almost certainly be short-changing yourself in the long run.

So, what should you do when presented with a lowball first offer? First, don't be surprised or offended. This is a normal, if frustrating, part of the claims process. Second, don't jump at their first offer or immediately lower the amount you put in your demand letter. Instead, remain calm and polite, and ask the adjuster to give you specific reasons why the offer is so low. Make notes of what they tell you, and then write a brief letter responding to each of the factors they mentioned. Depending on the strength of any of the adjuster's reasons, you can lower your demand slightly, but wait to see if the adjuster will budge after receiving your reply. The next time you speak with the adjuster, begin by asking for a response to your reply letter. The adjuster should now make you a reasonable offer that you can bargain with to arrive at a fair settlement figure. Remember, most personal injury cases settle at some point; it's just a question of when.

Counter with a figure lower than your demand

Negotiating with an insurance adjuster can be a daunting task, especially if you are pursuing a personal injury claim. Here are some tips to help you counter with a figure lower than your demand:

• Determine the value of your claim: Before making a counteroffer, it is important to understand the value of your claim. This includes calculating your economic damages, such as medical bills, property damage, and lost wages, as well as non-economic damages like pain and suffering, emotional distress, and loss of enjoyment of life. Consult with your attorney to ensure you are considering all relevant factors and calculating your damages accurately.
• Evaluate the adjuster's offer: Take the time to understand how the adjuster arrived at their offered amount. Are they refusing to pay for all your economic damages? Do they dispute the extent of your non-economic damages? Knowing their reasoning can help you prepare a more effective counteroffer.
• Prepare a counteroffer in writing: Respond to the adjuster's offer in writing, summarising their arguments and providing your point-by-point response. Clearly state the amount you are now demanding, and be sure to include supporting documentation for any additional damages you are claiming. Remain professional and polite in your correspondence, as you will need to maintain a good working relationship with the insurance company throughout the negotiation process.
• Be prepared to negotiate: Remember that the adjuster's initial offer is just the beginning of the negotiation process. You may need to go back and forth several times before reaching a final settlement amount. Stay patient and level-headed, and be prepared to present additional evidence to support your claims if needed.
• Seek legal advice: If you are unsure about any aspect of the negotiation process or feel that the insurance company is acting in bad faith, consult with a personal injury attorney. They can review your case, determine a reasonable settlement range, and help you navigate the complex world of insurance negotiations.

Emphasise the strongest points in your favour

When negotiating with an insurance adjuster, it's important to emphasise the strongest points in your favour. Here are some key points to focus on:

• Fault: If the insured party was completely at fault for the accident, be sure to emphasise this.
• Pain and suffering: Highlight the pain and suffering you endured due to your injury. Mention any long-term physical effects or emotional trauma that resulted from the accident.
• Medical costs: Provide a detailed list of all the medical bills you had to pay to treat your injury.
• Impact on daily life: If the injury interfered with your ability to care for your child or perform your job, be sure to mention this.
• Evidence: Support your arguments with records, evidence, or research. For example, provide photographs of injuries or vehicle damage, police reports, medical records, etc.

Remember to be both reasonable and firm when negotiating with the insurance adjuster. By emphasising the strongest points in your favour and providing supporting evidence, you can strengthen your position and improve your chances of obtaining a fair settlement.

Frequently asked questions