How Do Insurance Companies Handle Car Accident Claims?

Insurance companies handle car accident claims differently than most people suppose. In this video, attorney Joseph J. Kalbac Jr. uses his firsthand experience to explain how insurance companies make business decisions to maximize profits, often at the expense of fairly compensating car crash victims.

Video Transcription:

Having represented insurance companies for many, many years before I started representing victims. I understand how the insurance companies work. And it’s a little bit backwards from what most people think. First of all, everyone needs to understand that insurance companies is a big business. And these cases involve big business decisions. Their goal is to hold onto their money as long as they can, because the longer they hold onto their money, the more money they’re gonna make on investments, interests, and so on. The way that affects victims of accidents is that the insurance company isn’t looking at a case and saying “oh, we owe this person x dollars to fairly and adequately compensate them.” They’re saying yeah, we owe that money but if we can hold onto it and drag this out for a year; two, three, four years, we’ve held onto that money and by the time we pay that million dollars for example, it’s really not a million dollars they’re paying. They’ve made money on that money so it’s a lot less. The victims are suffering; a lot of people are out of work. A lot of people need medical care, need medical treatment that’s not covered by insurance or they don’t have the means to get things. So a lot of people suffer greatly. My name is Joe Kalbac. If you need more information, please call me at area code 305-476-7400 or call our firm Colson Hicks Eidson at the same number. Or feel free to visit our website at Colson.com.