June 28, 2024

What Should I Do if My Insurance Company Offered Me a Lowball Settlement?

If you’ve been offered a lowball settlement by your insurance company, you’re not alone. At The Foster Firm, we receive calls about this situation all the time. Insurance companies are designed to minimize payouts and maximize profits, so it’s no surprise when they offer you less than you deserve.

Here’s what you should do if this happens to you:

  1. Don’t Answer Specific Questions: Avoid providing detailed responses to any inquiries from the insurance company. Instead, inform them that you are represented by The Foster Firm.
  2. Don’t Make Recorded Statements: Refrain from making any recorded statements. These can be used against you later to justify the low settlement offer.
  3. Don’t Sign Anything: Signing documents from the insurance company without legal advice can be risky. These documents often contain clauses that may limit your ability to seek further compensation.
  4. Don’t Accept Any Money: Accepting money prematurely can jeopardize your case. Insurance companies might present this as a gesture of goodwill when, in fact, it could settle your claim for less than its worth.

For instance, we had a client whose child was injured in an accident, and their vehicle was totaled. The day after the accident, the insurance company offered $4,000, which the client assumed was for immediate medical treatment. However, the offer was intended to settle the case entirely. When The Foster Firm took over, we found that the insurance company had recorded the client’s acceptance of the settlement. Fortunately, we were able to secure the policy limits for her child because she hadn’t accepted any money specifically for his case.

If you’ve been injured in an accident, don’t engage directly with the insurance company. Instead, call us at 678-2-INJURY. My name is Arnice Foster, and at The Foster Firm, we are dedicated to fighting for your rights and ensuring you receive the compensation you deserve. Visit us at thefosterfirmwins.com.