Imagine if when you ring up to claim, the insurer shouts, “No, I’m not paying,” down the phone and hangs up. You would be upset and want to do something about it. If instead, they said, “Yes, but I can only give you so much,” you are more likely to accept.
Insurance companies use various tactics to reduce how much they pay you. While they will deny some claims outright, they know it is often simpler to give you something.
You do not have to accept a lower offer from an insurer
Here are some of the ways an insurer may try to limit what they pay you:
- Yes, but it is partly your fault: When the insurer asks you to tell them what happened, they are hoping you will say something, admitting that you were partially responsible and so should share the financial burden. Do not give more details than necessary.
- Yes, but that is excluded: If the insurer tells you something is excluded, the policy needs to make that clear.
- Yes, but you need to provide more evidence: Knowing what proof or documentation an insurer can reasonably ask for is crucial. They may say you do not have enough evidence when you already have plenty.
- Yes, but you need to wait: Check your policy. It should state how long insurers can take to pay up. Delays or paying in parts may be an attempt to make you forget your claim.
Insurance documents can be complex, and if you do not understand your rights, the insurer is more likely to pay you less. Getting help increases the chance you receive the total amount you are entitled to when your insurer acts in bad faith.