After an accident, many people file personal injury claims with the responsible party’s insurance company. This is called a third-party insurance claim. However, in some cases, filing a first-party claim with your insurer may be appropriate. Understanding the difference between the two types of claims is essential to maximize your compensation in an injury case.
Not sure the best way to pursue the outcome you deserve? An experienced insurance lawyer can help identify your legal options to get the money you are owed. Contact The Law Offices of William F. Underwood, III, P.C., today for a free consultation.
Common Hurdles in Insurance Claims
If you’re seeking financial compensation for an injury, there’s a good chance that an insurance company is standing between you and the money you need to move on with your life. Here are a few of the common hurdles that claimants face:
- Delays – Insurance companies may intentionally delay processing your claim to wear you down, hoping you’ll accept a lower settlement.
- Dismissals – Some claims are outright dismissed due to technicalities or incomplete documentation.
- Lowball offers – Even if the insurance company makes a settlement offer, it may be far lower than the actual value of your claim.
First-Party Claims
In a first-party insurance claim, you (the policyholder) make a claim against your insurance policy to cover your losses after an accident. It’s crucial to understand your rights in this process.
Here are some common sources of first-party claims:
- Health insurance
- Certain types of car insurance, such as MedPay or uninsured or underinsured motorist coverage (UM/UIM)
- Homeowners’ or renters’ insurance
An Albany insurance lawyer can review the terms of your policy(s) and guide you through the entire first-party claim process. An attorney can help you collect detailed information to reduce the risk of denial and improve your chances of a speedy approval. It’s important to know your insurance company can only pay up to your policy limits. If your expenses exceed that amount, you must pay those out-of-pocket or find compensation elsewhere.
Third-Party Claims
Third-party insurance claims arise when you seek compensation from someone else’s insurance policy for injuries or damages they caused. These claims are commonly disputed because the insurer’s job is to protect its bottom line and policyholder, not you. Their principal concern is getting you paid as cheaply as possible.
Common sources of third-party claims:
- Liability insurance claims against an at-fault driver
- Homeowners’ or general liability insurance claims for slip and falls or dog bites
- Medical malpractice claims for negligent healthcare
Working with an experienced insurance claims lawyer is crucial in third-party cases. Denials are common for even the most valid claim. When you hire an attorney, the insurance company knows you will not be manipulated to accept less than what you deserve.
In some cases, you can file both a third and first-party claim. A lawyer can advise on whether that is a valid option for you.
Bad Faith Insurance Claims
Insurance companies must handle claims in good faith. They must abide by the relevant laws and terms of the policies they issue. When they act in bad faith, their wrongful behavior can jeopardize your chances of a fair settlement. Bad faith practices may include:
- Unreasonable claim denials
- Delaying claim processing without justification
- Offering settlements significantly below the value of the claim
- Misrepresenting policy terms or coverage
If you suspect an insurance company in Georgia is acting in bad faith, talk to a skilled attorney immediately.
Contact Us for a Free Consultation With an Albany Insurance Claim Lawyer
Are you trying to get an insurance company to compensate you fairly after an accident? Don’t go up against these big, profitable businesses alone. Instead, turn to an experienced attorney from the Law Offices of William F. Underwood, III, P.C. Contact us today for a free consultation with an insurance lawyer in Albany, GA.
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