A growing number of insurance companies from all over the UK have apparently courted controversy by making ‘unfair’ payments to their policyholders when they need them. As evidence suggests that the number of insurance claims being made is on the rise, it’s likely that this practice could become more commonplace as insurers try to reduce the amount they pay out. This might seem reasonable to shareholders, but for policyholders, this is bad news.
In some cases, people who need to claim from their policy after an accident find that they’re only being paid the bare minimum, which could be as little as £500, which doesn’t sound like nearly enough to pay for repair costs and healthcare. Firms like first4lawyers.com might be able to plug that gap in the form of a compensation claim, but the problem of insurers paying less than they should do is distressing, as one personal injury lawyer explained:
“I’ve heard that there are a number of people who have been approached by the defendant with derisory offers and are left with little choice but to accept them as the insurer won’t give them anything more. This is something that people in our industry are trying to help correct, especially if they need compensation from the defendant just to meet their costs.”
A possible knock-on effect of people being awarded insultingly low pay-outs from insurers and/or defendants is that many cases could be settled earlier. This might come at a cost to anyone needing to claim from their insurer, as they may have to accept less than they may have hoped for. As a result, they may need to make claims through channels other than their insurer with the help of sites like medicalsolicitors.com, but only if absolutely necessary.