When it comes to calculating a settlement, insurance companies have a variety of methods they use to arrive at a figure. The first offer they make is usually a percentage of what they believe is the final value of the case. This percentage can vary from company to company, with no industry-wide standard in place. Nowadays, many companies use computer programs to help them calculate a liquidation figure.
These programs take into account the type of injury, the medical treatment requested, and the resulting pain and suffering. They also raise red flags if certain aspects of a claim appear suspicious, such as if medical bills seem excessive for the type of injury. Computer programs are also used to evaluate specific injuries or treatment codes, average settlements, and jury verdicts. These programs usually project a series of agreements that adjusters use as the basis for their offer.
With the right documentation, a good lawyer can often move up the chain and hire senior adjusters who have the authority to go beyond the standard offer. It's generally recommended to hire a car accident lawyer after an accident, but in minor collisions, you may think that you can save on attorney's fees by managing the insurance claim yourself.
