How Adjusters Determine a Claim’s Worth

Insurance companies and adjusters must have a way to determine how much a claim isInjury Lawyer in Jacksonville FL worth so they can come up with a reasonable settlement offer. An injury lawyer in Jacksonville FL can tell you at one time, adjusters added up medical expenses, multiplied the total by three and added calculated wage loss to come up with a settlement figure for a case that involved a soft tissue injury. So, a soft tissue case that had $3,300 in medical bills and had no wage loss would have a settlement figure of about $10,000. An injury attorney in Jacksonville FL can tell you this wasn’t the only formula insurance companies used, but it was the standard. Since the arrival of Colossus, a computer program used to determine a case’s worth, the above formula has been criticized. Instead, adjusters often say they consider individual claims and don’t use any specific method. Others say that’s false.

What Really Happens

Many times, insurance companies use a computer program to review medical bills and cut down those expenses. The above-mentioned example of $3,300 worth of bills would then be decreased to $2,000 in this situation. In a nutshell, companies likely will cut about 30 percent off and then come up with a medical expense figure that the computer thinks it should be instead of what it is in actuality. An injury lawyer in Jacksonville FL can tell you that the $10,000 they would have offered a few years ago would now be closer to $4,000. This, of course, makes settling more difficult. Under this example, the claimant ends up with a very small settlement after attorney costs and fees are added in. The way insurance companies are handling things today are leading to more cases being litigated that shouldn’t be. Or, the claimant has to deal with accident attorneys who decide it does not make financial sense to move forward with the case.

Contact an Injury Lawyer in Jacksonville FL for Assistance

Insurance companies use certain methods to determine a case’s worth. If you were hurt in an accident and need legal advice, call an injury attorney in Jacksonville FL at First Coast Accident Lawyers at 904-278-1000.

About John Fagan

John is a Jacksonville native who grew up on the First Coast. He graduated from Bishop Kenny High School in 1975 and went to college at Florida State University where he completed a 4-year program in 3 years. John graduated from the Florida State University College of Business in 1978 and went straight into Florida State University College of Law. While in law school, John earned a position on the prestigious Law Review Board serving as its Business Editor. As a law student, John studied in the Oxford program. He also interned with the Florida Legislature working in the Florida House of Representatives Criminal Justice Committee. John was admitted to the Florida Bar in 1981. John began his legal career as a law school intern in the State Attorney's Office in Jacksonville in 1981. After his internship, legendary State Attorney Ed Austin hired John as a full-time Assistant State Attorney for the Fourth Judicial Circuit (Clay, Duval, and Nassau Counties). As a prosecutor, John tried jury and non-jury trial on charges ranging from DUI to Murder. In 1983, John moved from the State Attorney's Office to begin his career in private practice. He has practiced law for 30 years on the First Coast. For the last 20 years, John and his family have made Clay County their home. John limits his practice to personal injury and disability cases. While there are many fine attorneys in Clay County, John is one of only a few Clay County attorneys who limit their practice to personal injury and disability cases. John takes pride in helping clients resolve injury claims in ways that avoid the stress, uncertainty, and the expense of unnecessary litigation. Professional Activities John is the past President of the Clay County Bar Association and has served on the Board of the Clay County Bar Association from 2009-2013. He is an active member of the Florida Bar, and the Federal Bar of the Middle and Southern Districts of Florida. He is also a member of the American Association of Justice, the Florida Association of Justice, the National Organization of Social Security Claimants' Representatives, and the National Organization of Veterans' Advocates. Service to the Community John is involved in the Clay County Community serving as a member and Director of the Rotary Club of Orange Park, of the Clay County Bar Association, and the Putnam County Bar Association.
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