Carolina Injury Claims Often Fought by Auto Insurance Companies

When you obtain insurance, it is supposed to protect you in times of need. Unfortunately these are shrewd businesses and often aninsurance company refuses to pay a claim even when they are obligated to do so.

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Our Asheville car accident attorneys know that getting an insurance company to pay a proper claim can be extremely difficult.

The fact is insurance companies hold trillions of dollars in assets and the industry as a whole enjoys more $30 billion a year in profits. The CEOs of these giant insurance companies are paid more than those in any other industry on average.

The truth is many insurance companies engage in a number of unsavory tactics to avoid paying the insured money owed. Ironically, many of these same insurance companies spend an exorbitant amount of money on advertising in order to gain the trust of consumers.

In many cases large insurance companies will take the most direct route to avoid paying a valid claim – denying the claim outright. This technique is often encouraged in large insurance companies by rewarding employees who are successful in denying claims. At the same time many insurance companies punish or replace employees who reduce to deny some claims.

In some cases employees have engaged in all out fraud and dishonesty to evade paying a valid claim.

Another common tactic to avoid paying claims is delaying for as long as possible with the knowledge that many policy holders will simply give up. The most shameful example of this tactic is when the insured individual is ill and in poor health and the insurance company knows they may not be alive much longer.

Some insurance company regulators have stated that the insurance business is fairly simple: the insurance companies make money by not paying claims and will do anything to avoid paying a claim because they know that if they delay long enough the policy holder will die.

A third tactic utilized by insurance companies is to confuse consumers. Often the insurance contracts are the most incomprehensible and dense of all contracts an ordinary consumer is likely to see. This happens despite the fact that almost half of all United States jurisdictions have enacted plain English laws for consumer contracts.

The tactic of confusing consumers is often very successful because many citizens do not fully understand the risks the insurance contract subjects them to.

Another troubling strategy used by insurance companies is to use potential policyholder’s credit scores to discriminate against senior citizens or the poor. This method penalizes individuals who have suffered financial crisis through no fault of their own and makes them even more susceptible to future crisis due to the fact that they will lack insurance.

The bottom line is that insurance companies operate as shrewd businesses. They might use any means necessary to avoid paying a legitimate claim from a policyholder who has consistently paid premiums and held up their end of the contract.

If you or someone you love has been injured in an accident, contact the Carolina injury lawyers at the Lee Law Offices today by calling 800-887-1965.

More Blog Posts:

Dangerous Vehicles, Defective Parts, Can Cause Charlotte Crashes, February 21, 2014, North Carolina Car Accident Lawyers Blog

Carolina Car Accidents & High Risk to Children, February 20, 2014, North Carolina Car Accident Lawyers Blog

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