Quote:
Originally Posted by Rick Lee
That leads to another question. Why do insurance companies always settle so easily, when it's so unlikely a claimant would bother with a lawyer to fight a denial for a dubious claim?
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I asked my insurance legal rep guy the same question, he said it's all about money. They'll make what they feel is a reasonable offer, if they don't take this offer and try to get more than an insurance rep who is familiar with the law will gage roughly how much they would have to pay in legal fees to fight it off as well as the possible settlement amount even after fighting it. If it's worth the effort and money, than they go to court, if not, then they settle whether it's right or wrong. Basically it costs money for them to defend themselves right or wrong, and sometimes it costs less just to shut them up.