So many of our neighbors have lost jobs. Some have lost businesses. And everyone is dealing with an uncertain future. The 2020 COVID-19 Pandemic has restricted access to courts, created the need to rely on electronic communication, and made access to almost all kinds of assistance more difficult to obtain.
And insurance companies know this. They know that most are struggling financially and that right now an influx of quick cash is a highly attractive offer to an injury victim.
Insurance companies also know that once an injured person accepts that check, they are off the hook. Forever. Even if that injured person ends up needing future surgery, cannot work, or is permanently disabled. Insurance companies therefore have a big incentive to convince personal injury claimants to settle early and for low amounts.
While this is nothing new, the COVID-19 Pandemic’s effects have placed victims of personal injury in a more vulnerable position, as cash now might sound very attractive when one has no income.
And it has never been easier for an insurance company to get an injury victim to agree to a low settlement amount. Insurance carriers are now using the convenience and efficiency of email and electronic signature platforms to communicate directly with injury victims and attempt to quickly close cases for minimal amounts. In turn, injury victims, understandably anxious to expedite the process, quickly respond by email and electronically sign documents. Without an attorney, a person in this situation may not completely understand what they are signing. Several keystrokes later, the case is settled forever at an amount much less than the injury victim should have been able to recover.
California Insurance Code Section 790.03(h) states that the following insurance conduct is improper:
- Not attempting in good faith to effectuate prompt, fair, and equitable settlements of claims in which liability has become reasonably clear
- Compelling insureds to institute litigation to recover amounts due under an insurance policy by offering substantially less than the amounts ultimately recovered in actions brought by the insureds, when the insureds have made claims for amounts reasonably similar to the amounts ultimately recovered
- Failing to settle claims promptly, where liability has become apparent, under one portion of the insurance policy coverage in order to influence settlements under other portions of the insurance policy coverage
If you have been injured by the fault of another, the at-fault party’s insurance company may try to settle your case for much less than it is worth. It is always wise to speak to an experienced attorney before settling your personal injury case, especially now.
Call The Zwerdling Law Firm for a free consultation at (707) 798-6211 or contact us by email anytime at office@zwerdlinglaw.com.