After you submit your claim to the insurance company for determination on damages, you likely have no idea of what to expect. Ideally you would like to get everything you request, but insurance companies want to save money and pay what they absolutely have to pay.
This means the first offer you get may not exactly be what you were expecting. Do you have to take what they give you, or do you have options?
We have asked attorney, Alaina Sullivan, about what you should do. Here is what she had to say:
Policy Limit
If you have a set policy limit, your hands could be tied in terms of a settlement with your insurance company. Many policies do set a hard limit, and this limit bars you from going above that amount in an insurance claim.
However, that does not mean you do not have options, but your ability to claim damages solely on your liability insurance policy will be restricted.
Umbrella Insurance Policies
Many drivers have umbrella insurance policies accompanying their car insurance. These policies are available to cover any damages that go over and above what your liability coverage will pay. If the at-fault driver has an umbrella policy, you may be able to seek additional damages from that policy.
In situations where you have had to file an insurance claim against your own policy, your own umbrella policy will be able to kick in and assist in covering your damages.
Common Mistakes While Documenting Your Auto Accident
Enter Arbitration
Most insurance policies have clauses requiring arbitration when parties do not agree on settlement amounts. Arbitration is a form of alternative dispute resolution where parties agree to submit their conflict before an arbitrator who will hear both sides of the case and make a binding judgment.
Like going to court, arbitration requires submission of evidence and arguments, and the arbitrator’s decision is final. However, unlike court, arbitration is a more informal process. Hiring an attorney is always recommended.
Hire an Attorney
Your insurance company may assume you will not negotiate with them. Unless you are a personal injury attorney, you may not know that you even have the right to negotiate. It is always worth having a professional in your corner.
The insurance companies will more than likely have legal counsel, which puts you at a disadvantage. Even if you do not think you need an attorney, at least speak with one regarding your case to see if that is, in fact, true.
Collecting Personally from the Defendant
If you have tried to fight the settlement amount offered and are unsuccessful, you can also seek damages from the at-fault driver personally. Of course, this option almost always requires you to hire an attorney to file a suit, but if you truly do believe your damages are worth more than what you are being offered, it may be the only option you have. Keep in mind that you will be limited in what you can collect in that you can only collect what the defendant is able to pay.
Contact an Attorney Today
It is always recommended you contact attorney to discuss your particular situation. Contact one today for an evaluation of your case and to determine what type of compensation you should receive.
