The person injured in an accident has the right to submit a personal injury claim to the insurance company of the responsible party. The same company has its adjuster take part in the negotiations, which could lead to a settlement. In what others ways can an insurance company affect the outcome for a given claim?

Role of insurance company

The insurance company’s role becomes obvious within minutes, following the occurrence of a collision. The involved drivers exchange their contact information, along with the name of their insurance company. If any of the involved drivers does not have insurance, then it becomes clear that one or more of the injured parties could find it difficult to get fairly compensated.

The effect of a policy’s terms during a 3rd party claim

An injured victim can act as the 3rd party and make a 3rd party claim. That compels the insurance company to study the terms in the policyholder’s policy. Does it place a limit on the amount of money that can be given to anyone that was injured by the person that purchased that particular policy?

A policy with a high limit provides the adjuster with added funds, as he or she tries to reach an agreement with the claimant, or the claimant’s injury lawyer in Cathedral City. When adjusters have gained access to a larger pool of funds, they do not rush the negotiating process. Hence, the claimant could get stuck with making multiple offers and counter offers.

The possible sources of financial help for a policyholder with a first party claim

If an insured driver were to get injured by hitting some object, such as a wall or a tree, the same driver would be able to submit a first party claim. The driver’s own insurance company would need to cover any medical expenses, up to whatever limit had been stated in the purchased insurance policy. Those policyholders that wanted to take care of their bills before getting compensated for their damages might be able to use the coverage provided by health insurer. Of course, each of them would have needed to spend money on a health insurance policy, before getting injured, due to involvement in an accident.

In addition, any of the same policyholders might have added comprehensive coverage to their auto insurance policy. That would provide them with whatever funds fell below the limit, which would have been stated in the policy’s added option. Of course, that possibility could trigger a different outcome. Suppose the injuries’ cost exceeded that stated limit? What would happen then? It would become the policyholder’s job to cover the difference, unless he or she had bought a different option. That added option would provide the option’s purchaser with underinsured motorist coverage.