Get to Know the Three D’s of the Insurance Industry: Delay, Deny, Defend

Dade City, Florida – Since the mid-1990s, insurance companies have been employing certain insurance claim denial tactics to boost their profits and minimize the amount they pay to auto accident injury victims.

A recent CNN investigation details how insurance companies like State Farm and Allstate have developed this strategy that allows them to drag out injury claims involving crashes with slight evidence of vehicle damage and individual personal injuries.

By focusing on denying accident injury claims, delaying the settlement of these claims, and defending against the claim in court, Allstate, State Farm, and other insurance providers can put together what is called a “take-it-or-leave-it” offer, where they attempt to settle claims as quickly as possible, sometimes offering as little as $50 for injuries. Should an injury victim deny these insulting offers, insurance companies are more than willing to devote their vast resources to dragging the matter out for lengthy periods in court.

According to one example from the CNN story, an Indiana woman suffered firsthand the effects of the three D’s. After being rear-ended by a State Farm employee driving a State Farm car and suffering from a herniated disc and muscle tears, the woman racked up close to $15,000 in medical bills and lost wages. State Farm offered the woman a measly $2,000. Insulted by the lowball offer, the woman decided to try her luck in court.

Three years later, a jury awarded the woman only $1,500. State Farm lawyers showed photos of the minor car accident, persuading jurors that the woman couldn’t have sustained serious injuries. They suggested she had already been compensated and was attempting to defraud the insurance company.

These practices allow insurance companies to reap billions of dollars, while personal injury victims end up with very little, if they are lucky enough to receive any award.

Insurance companies appear friendly but prioritize profits. Even reputable firms use claim denial tactics to increase gains. Therefore, educate yourself on their strategies: delay, deny, and defend.

What is Delay, Deny, and Defend?

1. Delay:

Delay is the first of the three D’s. A claim is submitted, and the games begin. Insurance companies often rely on insurance claim denial tactics by telling you that you did not fill out the proper form correctly or must complete another form. The insurance company can prolong the back-and-forth by stating that your claim is too late or not covered. The insurance company’s goal is to make the process more difficult so that injury victims will give up and drop the claim.

2. Deny:

Once delay fails, the next step is implementing the second D: Deny. There are numerous ways insurance companies can deny a claim. Sometimes, a low settlement amount is offered to achieve this step; other times, they entirely deny the claim. The hope is that injury victims will accept the denial without resistance. Delaying a payment frustrates many people, leading them to drop the matter. Every dollar that stays out of an injury victim’s pocket is a dollar that goes to the insurer’s bottom line.

3. Defend:

If all else fails, the insurance company will bring out the third D: Defend. This forces a person with a legitimate claim to bring their injury matter to court. Litigation can last several years, sometimes even longer if the case is complex. Some laws complicate recovering more than the initially owed amount, encouraging insurance companies to delay, deny, and defend their decisions.

How Can We Help You

When faced with the dilemma of playing hardball with the insurance company, there is often only one answer ̶ get a lawyer. Don’t let an insurance company intimidate or force you into making a hasty decision. Insurance adjusters count on injury victims giving up. The Pasco County Injury Lawyers can help you recover the full and fair compensation your injuries warrant. We are not afraid to stand up to insurance companies and fight for your personal injury rights.

If you have been injured in an auto accident in Pasco County, contact the Pasco County Injury Attorneys at Whittel & Melton online or call 727-847-2299.