If there’s one industry that operates with a relentless focus on profit, it’s the insurance business. Designed to offer individuals financial protection during times of hardship, the industry instead often finds itself entangled in controversies over its treatment of claimants.
One particular strategy that has emerged time and again is the tendency to offer "lowball" settlement amounts. Insurance companies collect billions annually in premiums. Yet their business model encourages minimizing claim payouts to protect their profit margins. These tactics are well-documented. Consumer complaints, class-action lawsuits, investigative reports, and even government lawsuits paint a consistent picture of intentional underpayment by insurers.
But there is a way to fight back. These companies may rely on their resources and influence to minimize payouts, but their tactics can be challenged. Understanding how to make an insurance dispute is key to asserting your rights and securing the compensation you deserve.
How Attorney Jason Craig Fought a Lowball Settlement & Won
After being hit by a drunk driver in a car accident, a client in Georgia sustained serious back injuries that required medical treatment. As with many cases involving severe injuries, the costs quickly escalated. Despite the clear evidence of harm and medical costs, the at-fault driver’s insurer submitted a settlement offer of just $5,000.
That offer wasn’t just insulting; it was woefully insufficient. It didn’t even cover existing medical expenses, much less account for future treatment, lost income, or the physical and emotional toll the injury caused. Unfortunately, this kind of low offer is a common tactic. By dangling immediate cash, insurers aim to close claims quickly and cheaply, locking accident victims out of fair compensation.
After realizing the settlement offer wasn’t enough, the client sought legal representation. Attorney Jason Craig went to work challenging the settlement. He argued that the offer was disproportionate to the client’s expenses and damages. Against initial resistance, Attorney Craig eventually convinced the insurer to reopen negotiations. Using the leverage of the policy's coverage limits, he secured the full $25,000 available under the policy. This outcome is more than a win for the client – it is a testament to the importance of standing up to unfair insurance practices.
Signs That an Insurance Company Is Lowballing You
Spotting a lowball offer might not always be straightforward. Insurance companies often use subtle methods to disguise offers as reasonable or even generous. However, there are clear warning signs that can help you identify when an insurer is likely undervaluing your claim.
1. A Very Quick Offer After the Accident
It’s standard practice for some companies to contact accident victims almost immediately with a financial offer. While it may seem efficient, it’s usually a red flag. These quick offers are rarely based on a thorough review of the damages and are often aimed at catching victims at a vulnerable moment. The hope is that you’ll accept before realizing the true costs of your recovery.
2. Minimal or No Coverage for Future Costs
Lowball settlements frequently leave out potential future damages like ongoing medical treatment, physical therapy, or lost income due to long-term disability. Insurers may refuse to acknowledge these costs, instead framing their calculations around immediate expenses only.
3. They Downplay the Severity of Your Injuries
It’s not uncommon for adjusters to question the legitimacy or severity of your injuries in an attempt to reduce the value of your claim. They may argue that certain treatments were unnecessary or suggest that some of your injuries predated the accident. Victims without strong legal representation can find it challenging to prove otherwise.
4. Pressure to Accept Quickly
Another tactic insurers use is creating an artificial sense of urgency. They may falsely claim that rejecting the offer could jeopardize your ability to recover anything at all or that prolonged negotiations will harm your case. This pressure is designed to force quick decisions without adequate time for consideration.
Strategies for Fighting Against Lowball Offers
If you find yourself on the receiving end of an offer that doesn’t reflect your actual damages, there are steps you can take to push back. With the support of a competent personal injury lawyer, there are several strategies to challenge a lowball settlement.
1. Conducting a Thorough Evaluation of Your Claim
One of the strongest tools you have is evidence. Attorneys review all aspects of your case to understand the full scope of your damages. This involves gathering and analyzing medical records, invoices, property damage assessments, and employment records to calculate the true cost of the accident. Presenting these findings to the insurance company forces them to address the actual value of the claim rather than relying on assumptions or flawed calculations.
2. Demanding Transparency
Insurance companies often calculate settlement amounts using proprietary systems or internal methodologies that aren’t disclosed to the public. For example, some incidents have revealed how companies manipulate third-party software to undervalue claims. Attorneys can file motions to request documentation and force insurers to explain their reasoning. Transparency exposes mistakes or deliberate attempts to underpay.
3. Pushing Forward with Negotiation & Litigation
While many cases settle before going to trial, the willingness to initiate litigation can serve as a powerful tool. Insurance companies are well aware that a good trial lawyer can expose misconduct and may prefer to negotiate rather than face the risk of losing in court. Strong negotiation skills backed by evidence can lead to significantly improved settlement offers.
Facing Lowball Offers from Insurance Companies? We Can Help You Fight for Fair Compensation
For many injured individuals, low settlement offers can feel like an additional burden on top of mounting medical bills and income loss. But our client's successful claim shows that it is possible to challenge these outcomes and demand rightful compensation.
Attorney Jason Craig has spent more than 30 years representing accident victims across South Georgia including Vidalia, Marietta, and Savannah. He understands the systemic challenges individuals face when going up against large insurers. His approach includes offering contingency-based representation along with free consultations and remote options for clients unable to travel.
For accident victims staring down inadequate settlement offers, taking that first step toward legal action can feel daunting. Yet advocacy and persistence can shift the balance and open the door to fairer outcomes.
Contact us online or call (912) 304-5202 to discuss how we can help you fight for the compensation you deserve.