Understanding the Insurance Company Playbook
When you’re injured in an accident in San Antonio, insurance companies often see you as a business expense to minimize rather than a person deserving fair compensation. At Ryan Orsatti Law, we’ve seen countless clients initially offered settlements that fall drastically short of what they deserve.
Insurance adjusters use specific tactics to protect their company’s bottom line. They may contact you soon after your accident while you’re still vulnerable, before you understand the full extent of your injuries. They might appear sympathetic while building a case against your interests, or pressure you to accept a quick offer before you’ve consulted an attorney.
How to Identify a Lowball Offer
The Settlement Doesn’t Cover All Damages
A fair settlement should address all your damages – not just immediate medical bills, but also future medical care, lost wages, reduced earning capacity, property damage, and non-economic damages like pain and suffering. If the offer only accounts for current medical expenses or a fraction of your total damages, it’s likely a lowball offer.
The Offer Comes Too Quickly
While receiving a prompt settlement offer might seem positive, unusually quick offers often indicate the insurance company knows your claim is worth significantly more. They’re hoping to settle before you discover the true value of your claim or consult with a personal injury attorney.
The Adjuster Discourages Legal Representation
If an insurance adjuster suggests you don’t need an attorney or claims legal representation will only reduce your settlement, be wary. Studies consistently show that accident victims with attorney representation typically receive higher settlements, even after legal fees.
They Dispute Liability Despite Clear Evidence
Insurance companies may attempt to shift blame to you even when their policyholder is clearly at fault. Texas follows modified comparative negligence rules, meaning your compensation can be reduced by your percentage of fault. If the insurer is working hard to assign you blame in a case with clear liability, they’re likely positioning for a lowball offer.
They Minimize Your Injuries
Insurance adjusters may suggest your injuries aren’t as severe as claimed or are pre-existing conditions rather than accident-related. This tactic aims to justify a reduced settlement offer and is particularly common with injuries like soft tissue damage, which may not be obvious on imaging tests.
The Real Cost of Accepting a Lowball Offer
Accepting an inadequate settlement can have long-term financial consequences, especially for serious injuries. Once you accept and sign a settlement agreement, you typically waive your rights to seek additional compensation for that incident – even if you later discover your injuries are more severe or require ongoing treatment.
Consider the case of a San Antonio client who initially received a $10,000 offer for what seemed like minor back injuries. After consulting our firm and rejecting this offer, medical evaluations revealed herniated discs requiring surgery. The final settlement exceeded $175,000, covering extensive medical treatment and lost income during recovery.
How Texas Law Protects Your Rights
Texas law provides several protections for personal injury victims:
- The statute of limitations gives you two years from the date of the accident to file a personal injury lawsuit
- Under Texas Insurance Code Chapter 541, insurance companies are prohibited from engaging in unfair settlement practices
- The Deceptive Trade Practices Act (DTPA) provides additional protections against insurance company misconduct
Steps to Take When You Receive a Lowball Offer
Document Everything
Keep detailed records of all communications with the insurance company, medical treatment received, expenses incurred, and how your injuries have affected your daily life. This documentation strengthens your position when negotiating for fair compensation.
Understand the Full Extent of Your Damages
Before accepting any settlement, ensure you understand the complete scope of your damages. This includes:
- Current and future medical expenses
- Lost wages and diminished earning capacity
- Property damage
- Pain and suffering
- Mental anguish
- Loss of enjoyment of life
Many accident victims underestimate the long-term impacts of their injuries, especially with conditions that may worsen over time or require ongoing treatment.
Don’t Accept the First Offer
Insurance companies typically start negotiations with their lowest offer. Their initial proposal is rarely their best offer, regardless of what they may claim. Treat it as the starting point for negotiations, not the final word.
Respond with a Detailed Demand Letter
A well-crafted demand letter outlines your injuries, treatment, expenses, and other damages. It presents a clear, justified amount you’re seeking as compensation. While insurance companies often disregard demand letters from unrepresented claimants, those prepared by experienced personal injury attorneys typically receive more serious consideration.
Be Patient and Persistent
Insurance companies benefit from delays, hoping you’ll become desperate enough to accept a lower settlement. While the process can be frustrating, patience often leads to better outcomes. San Antonio personal injury cases, depending on complexity, may take months to resolve properly.
When to Consult a San Antonio Personal Injury Attorney
The best time to consult a personal injury attorney is before communicating with the insurance company. However, if you’ve already started the process, it’s never too late to seek legal advice. Consider consulting an attorney if:
- You’ve suffered serious injuries requiring extensive treatment
- The insurance company disputes liability
- The settlement offer seems low compared to your damages
- You feel pressured to accept a quick settlement
- The adjuster is difficult to reach or disrespectful
- You’re unsure how to calculate the full value of your claim
Most reputable San Antonio personal injury attorneys offer free initial consultations and work on contingency fees, meaning they only get paid if you receive compensation.
How an Experienced Attorney Maximizes Your Settlement
Personal injury attorneys bring valuable expertise to your case:
- Accurate valuation of your claim based on similar cases in San Antonio courts
- Knowledge of local insurance company tactics and negotiation strategies
- Access to medical experts who can document your injuries and future treatment needs
- Resources to thoroughly investigate your accident and establish liability
- Experience presenting compelling arguments that support maximum compensation
- Trial experience that insurance companies must take seriously
San Antonio Insurance Company Tactics to Watch For
Insurance companies operating in San Antonio often employ region-specific tactics:
- Using local adjusters who understand the typically conservative nature of Bexar County juries to justify lower offers
- Leveraging San Antonio’s congested court system to delay proceedings
- Pointing to local verdict histories as justification for reduced offers
- Taking advantage of the city’s bilingual population by creating potential language barriers during negotiations
Case Study: Turning a Lowball Offer into Fair Compensation
A client came to Ryan Orsatti Law after receiving a $15,000 settlement offer following a serious intersection collision in downtown San Antonio. The insurance company claimed their offer was generous given the “minor” nature of the injuries and the client’s pre-existing conditions.
After thoroughly investigating the case, documenting the full extent of injuries, and preparing for litigation, we secured a $250,000 settlement that properly compensated our client for extensive medical treatment, lost wages, and significant pain and suffering. The difference came from understanding the true value of the case and refusing to accept the insurance company’s initial characterization.
Know the Value of Your Claim Before Negotiating
Determining a fair settlement value involves analyzing numerous factors:
- The severity and permanence of your injuries
- Current and future medical expenses
- Lost income and impact on earning capacity
- The effect of injuries on your quality of life
- The strength of liability evidence
- The policy limits of applicable insurance coverage
- The potential value if the case went to trial
Personal injury settlements in San Antonio vary widely based on these factors. While some minor injury cases might appropriately settle for a few thousand dollars, serious injury cases involving surgeries, permanent disability, or long-term treatment can be worth hundreds of thousands or even millions.
Conclusion: Empowering San Antonio Accident Victims
Insurance companies count on accident victims not knowing their rights or the true value of their claims. By recognizing lowball offers and responding appropriately, you protect your right to fair compensation.
At Ryan Orsatti Law, we’re committed to leveling the playing field for San Antonio accident victims. If you’ve received a settlement offer that seems inadequate, contact our office for a free consultation to determine if the offer truly reflects the value of your case.
Remember, once you accept a settlement and sign a release, you cannot seek additional compensation—even if your injuries worsen. Taking the time to properly evaluate a settlement offer with professional guidance can make a significant difference in your financial recovery and future well-being.