A Cautionary Tale: Insurance Adjusters and Personal Injury Cases

A victim of an accident must contact an insurance agency. An adjuster is sent to interview the victim and collect all details about the incident. This will help determine the amount of compensation that must be provided and avoid litigation, if possible.


These adjusters are not friends with the victim of an accident. These adjusters are involved in the case to make sure that enough money is allocated to the victim so that a lawsuit is avoided. Some insurance companies don’t care about a lawsuit and will only give as much money regardless of the situation. You need to be aware of what to look out for and how you can move forward in order to receive sufficient funds in these cases.

The insurance agency attached to the incident is usually the one attached to the driver responsible for the accident. They have an incentive to make sure the victim of the accident receives less money. The policy may limit the amount that can be allocated. The victim cannot obtain any additional funds after the maximum payout amount has been established. These cases may have additional factors.  That is why it is important to hire a lawyer to help with compensation claims. These lawyers are experts in these types of cases and know how to handle them.

The Motivation of an Insurance Adjuster

The job of an insurance adjuster is to investigate the facts and gather the details about the incident. To understand the perspective of the driver of the car that was struck, the insurance adjuster interviews the victim. These individuals work together to determine a fair amount to pay for all the factors. This allows for a greater profit for the insurance company, and settlements are often accepted by victims who are unaware of their other options. Even though they are not offered lower settlements, they still have the motivation to avoid civil litigation.

Because the judge or jury panel is what determines if additional monies should be provided, the insurance agency attempts to avoid these circumstances if at all possible.Insurance companies often have to pay high legal fees and other financial obligations. The adjuster uses persuasive details to persuade the victim to accept the lowest possible settlement offer. Due to the facts of the case, this could amount to half of what might be obtained. There may be some negotiation that can be done to get more money for the settlement.

Calculations used by Adjusters to Determine an Offer

The insurance adjuster will use several factors in determining how much compensation should be given to victims of personal injury incidents. The medical and therapy costs associated with recovery are a key part of the equation. These could be the victim’s current and future needs. Other criteria include loss of income, wages due to the recovery process, pain and suffering and distress from the accident. These are all subjective and dependent on the incident, while others can be used to determine the base of the particular factor. To determine how much pain and suffering should be paid, a pain multiplier is used. The adjuster may use a range of 1.5 to five to determine the appropriate amount. Other agencies might use a different method of calculating this.

How to Deal with an Insurance Company Regarding a Claim

Understanding how insurance companies operate, it is possible to negotiate a settlement before an offer is accepted. This allows victims to increase the amount they receive. This is usually accomplished by ensuring the case backing the claim is strong with plenty of documentation for medical issues and photographic proof that the responsible party is the other driver or someone else involved in the claim. Ensuring there is plenty of recorded details and evidence to back the claim, the insurance company knows that a greater amount of compensation is needed to ensure avoiding a lawsuit.

A lawyer is one of the best ways to deal with an insurance agency. A lawyer is an expert in the law and can help you to understand them. The victim’s advocate is then created. He or she may seek legal action if no other funds are available to resolve the matter.

Updated 12/2/2021