If you have been involved in an accident, and are currently working with your insurance company towards a fair settlement, make sure that you avoid these four big mistakes that may put your negotiations at risk.
Mistake #1: Giving A Recorded Statement
Many insurance companies will try to trick you into giving a recorded statement before they will provide you with a settlement offer. You do not have to provide them with a recorded statement, and you can refuse this request.
When an insurance company asks for a recorded statement, they are trying to see if they can get you to say anything that will give them grounds to reduce your settlement offer. They may ask for a recorded statement so they can use it against you during cross-examination if your case goes all the way to trial.
Mistake #2: Asking For The Wrong Amount
Another mistake you want to avoid is asking for a settlement offer that doesn't match your case. If you make your settlement too low, you are not going to get the compensation that you deserve. This will end up hurting you in the end, as the insurance company may try to negotiate with you further and you'll end up with way less than you deserve.
However, it is just as bad to ask for way more than your case is worth as well. This will signal to the insurance company that you don't know the value of your case and that you don't know what you are doing. The insurance company will continue to lowball you with their offers because they know that you don't understand the true value of your case.
Mistake #3: Taking Their "Final" Offer
Many insurance companies will try to intimidate and trick you into taking their initial proposal by telling you that it is their final offer. If this is the first or second offer they have brought to the table, it is most likely not their actual final offer. They use that language to try and trick you into accepting an offer that is not fair to you. Don't fall for their "final" offer; hold out for a fair offer.
Mistake #4: Not Hiring An Attorney
Finally, the biggest mistake you can make is not hiring an attorney to represent you. Your insurance company works with settlement claims every day, and they know what they are doing as well as all the tricks to the game. You need someone on your side who understands all the moves that the insurance company is trying to make.
If your insurance company offers you an unfair settlement, and you have to negotiate, make sure you have someone on your side who can offer you the legal assistance that you need. If you avoid the four mistakes listed above, you should be able to get a fair and just settlement offer from your insurance company. For more help, visit Smith & O'Hare PS Inc.
My husband has worked in the construction industry for nearly twenty years. Three years ago, he decided to open his own business performing renovation work. Having so much experience helped him land clients and showed him that he has to protect himself from the clients that aren't so easy to please. We started working with an attorney in the beginning to have all of the contracts drawn up and have called when things go badly with clients. This blog will show you what you need to do to protect yourself from legal liabilities when you work as a contractor in today's world.