The adjuster in the insurance company of the party that is responsible for the accident-linked injuries usually initiates the pre-settlement negotiations. That initiation procedure entails introduction of an opening bid. How does the adjuster select the figure to use in that opening bid/offer?
Adjuster’s efforts towards presentation of reasonable offer
Speaks with the policyholder, the person that the claimant has identified as the responsible party. Allow your personal injury lawyer in London to read and study the police report or accident report and then check on the availability of any surveillance video.
Checks to see if the claimant’s name can be found in the Company’s database: That would mean that he or she had submitted a prior claim. Additionally, you can request access to the victim’s medical records
Then the adjuster considers the answers to 2 questions:
What would be the claimant’s chances for winning, if this case were tried in a courtroom?
What might a judge or jury award this claimant?
The adjuster’s next task involves utilization of a formula
One figure in that formula should be the total for the claimant’s medical expenses. Adjusters’ job entails making any needed changes to that total, before using it in the formula. Value for total could be lowered, if victim was treated by chiropractor, instead of a medical doctor.
The other figure is the multiplier, usually a number between 1.5 and 5. The multiplier becomes one factor in a multiplication operation. The other factor is the total for the medical expenses. The level of seriousness for the victim’s injuries determines the choice of the multiplier; if the victim has suffered catastrophic injuries, the chosen multiplier might be greater than 5. The result for the multiplication operation is added to the value of the claimant’s lost wages.
The adjuster shows a supervisor the result obtained from utilization of the formula
The supervisor indicates how that result should be altered, before using in an opening bid.
—Supervisors usually suggest offering some percentage of result obtained by using the formula
—If the claimant has not hired a lawyer, the adjuster might be told to reduce even further the figure obtained by utilization of the formula.
Adjusters’ discussions with a supervisor aid creation of a figure to use as the opening bid.
Some adjusters ignore that figure, and come forward with a low-ball offer.
—Smart claimants would demand an explanation for such a low offer.
—Claimants have the right to seek an explanation for any presentation of a low-ball offer.
Other adjusters present a reasonable bid, and put negotiations on a path towards agreement on settlement terms. Barring any problems, the claimant’s lawyer takes part in an exchange of demands and offers.
The negotiating ends with agreement on terms of settlement.