In July 2005, attorney David J. Berardinelli published an article in The New Mexico Trial Lawyerdescribing a plan by the Allstate Insurance Company increase its profits at the expense of its policyholders. The article, entitled “False Promises — Allstate, McKinsey and the Zero Sum Game,” clearly outlines how Allstate increased its profits by aggressively attacking small claims. The goal was to reduce claim payments while keeping premiums at their same level, thereby increasing profit for the company.
According to documents uncovered from Allstate, adjusters are instructed to attack these claims with “boxing gloves” rather than the “good hands” they advertise. Most states do not permit policyholders and claimants to demand binding arbitration and, in fact, many Orlando clients are surprised and dismayed by the manner in which insurance adjusters handle their car accident claims. The insurance companies are experienced in squeezing extra dollars from small claims, particularly property damage claims.
Assume you are involved in a car collision and your car is damaged beyond repair. Your insurance should pay you the fair value of your vehicle. After filing your paperwork, the insurance company adjuster returns to you a value just $25 less than what your fair value estimate. Instead of haggling over $25, you settle your claim. You may be out $25, but it was worth avoiding the hassle. However, to a large companies like Allstate, State Farm, and Progressive, that $25 adds up. With a million or more property damage claims per year, that small $25 blossoms into $25 million.
These examples are just the tip of the iceberg. Unfortunately, many of the major insurance companies have their strongest allegiance with their shareholders rather than their policyholders. A recent class-action lawsuit brought against numerous insurers recently settled for approximately $92 million; the issue at hand involved the failure of the insurance companies to pay fair market value for vehicles totaled in car accidents. At Florida Trial MD, we have years of experience battling these insurance giants and pledge to work with you to receive the compensation and settlement you deserve.
You must to be treated fairly. If you feel as though you are being taken advantage during the processing of your insurance claim, contact us before you sign anything with your policy provider.Contact us online or call us at 407-244-1212 (Toll Free at 800-381-8299) to set up a free consultation to discuss your legal options.
