Underpaid Claims

Dealing with insurance companies. Can anything be more frustrating? In a perfect world, policyholders would submit their claims, the insurance companies would pay them, and everyone would move on.

Unfortunately, the world is not perfect. And, as an attorney, you know how often property damage claims are underpaid. The settlements offered by the insurance companies are often simply not adequate for the property owners to repair the damages and replace their ruined items.

Underpaid Claims Are a Common Problem

When individuals submit their claims and the resulting offers are not enough to bring their property back to the state it was prior to the incident that caused the damage, the claim has been underpaid. By the time these individuals come to you, they are likely frustrated and often at their wit’s end. Florida attorneys know full well, from experience, how complicated and time-consuming it can be to get an insurance company to appropriately pay property damage claims.  

Florida insurance companies (like their counterparts across the country) have a reputation for underpaying claims. In fact, insurance companies are more likely to underpay claims than outright deny them. It is incredibly frustrating when you receive an inadequate settlement for property damage. Which is understandable why you would seek legal assistance. In turn, attorneys leverage the expertise of litigation and appraisal professionals to provide proof of the damage and encourage the insurance company to revise their settlement offers.

Why You May Have Underpaid Claims

The reasons why insurance companies underpay claims are numerous, but some of the most popular are: 

  • Profitability: Paid claims are recognized as expenses to insurance companies. While policyholders may believe insurance companies have their best interests at heart, they really don’t.  Their primary concern is their bottom line. And, expenses decrease profitability.  Additionally, most people will accept the first settlement offered, believing this is the best they can do. It’s in the company’s best interest to offer less.
  • Denied Claims Result In Problems:  When claims are denied, people tend to resubmit and fight the refusal to pay. Insurance companies often end up paying out more than if they had just made a lower offer.
  • Insufficient Reviews: Quite often insurance companies do not appropriately review the property so their settlements are simply not adequate to cover the actual damage.

Attorneys know that there is a chance the initial settlement offered will be both inadequate and not their best offer.

Helping Your Clients with Underpaid Claims

Successfully advocating for your client, be it through negotiation or litigation, is your goal. Leveraging the services of litigation support and appraisal professionals can help you get your clients the settlements they deserve.

These adjusters and appraisers provide detailed litigation support packages comprised of all necessary documentation and information including high-quality reliable estimates. Complete and thorough inspections and appraisals that document the full extent of damage is a critical piece of the puzzle necessary to refute underpaid claims and get your clients the settlement they deserve.  

Identifying a reputable litigation and appraisal company with which to work is in your best interest.  You want to engage with one that appreciates the time constraints under which you are operating,  is able to meet your deadlines, and provides all information in the way that is most helpful for the courts. Without a doubt, dependable service is crucial.

As an attorney focusing on insurance claims such as underpaid claims, identifying a litigation and appraisal firm on whom you can rely is important. This relationship can help you provide your clients with the highest quality service.