For most road accident personal injury compensation claims in the UK, it’s the lawyers that have to make the first offer to the insurance company to settle the claim. Before, and in many other types of claims such as accidents at work or slips and trips, we provide the other side with medical evidence and losses information and invite them to make an offer for settlement to us.
But now, due to legal reforms that came in to force from April 2010, we have to make the first offer to the other side when we provide the medical evidence and losses information.
So this normally means that the first offer that is sent across to the other side is refused by the insurance companies. Why? Because insurers have a duty to their shareholders to maintain their profit margins. As such, they will naturally want to limit payouts to people making a claim for personal injury compensation. They are, after all, private profit making companies.
I know that insurers in the press will often claim that they will always make sure a case is settled fairly, but take it from a law firm with decades of experience in dealing with whiplash claims for compensation – insurers will nearly ALWAYS dispute payouts and do all they can to ensure that the payout is as small as possible.
Because of this, we have to be very tactical when it comes to offers. Insurers will normally judge their counter offers based on our offers to them. Some even seem to have recognisable patterns, like always offering a particular percentage less than our original offer. But either way, we need to make sure that our first offer to them is the very top end of what you may be entitled to claim for, and then some! That way it safeguards you getting a maximum compensation payout.
The insurers will therefore normally always refuse the first offer. But even if we put in a fair offer that was genuinely reflective of the value of the claim, insurers are likely to counter at a lower amount. It’s a bargaining process, really.
So don’t be bogged down when the insurers refuse the first offer made to them. It’s kind of the norm!
Like with any accident it is best that you seek legal advice before looking to pursue a possible injury claim. Give our claims team a call on 0800 634 7575 for free, expert advice on making a claim for compensation.
