Dealing with Insurance Companies - The Complete Guide to Getting the Compensation You Deserve

Dealing with Insurance Companies - The Complete Guide to Getting the Compensation You Deserve

After you've been in a car accident, documented everything properly, and reported to the insurance company - the next phase begins: negotiating with the insurance company.

This is where things get complicated. Insurance companies are businesses whose goal is to generate profit. Every shekel they pay you is one less shekel in their profits. Therefore, they use various tactics - some legitimate, some less so - to pay you as little as possible.

Understanding these tactics, and how to deal with them, is the key to receiving fair compensation.

In this article, we'll expose all the methods insurance companies use, explain how to negotiate properly, and what never to do in the process.

Understanding the Game - How Insurance Companies Really Work

The Insurance Company's Goal: To Pay as Little as Possible

This may sound cynical, but it's the truth. The insurance company is not on your side. It's not "helping" you. It's running a business, and businesses need profits.

Here's how it works:

1. The insurance company representative handling your bodily injury claim doesn't work for you - they work for the insurance company. They receive their salary from the company and are evaluated based on how much money they save the company.

2. They have targets - Representatives receive targets - "close 50 files this month" or "save 200,000 NIS this month".

3. They are trained in persuasion - Representatives undergo training on how to convince people to accept low offers, how to "soften" them, and how to avoid payments.

4. They have extensive information - you have less - They know how much is typically paid in such cases, what the range is, what the precedents are. You don't.

Common Insurance Company Tactics

Understanding the tactics in advance will help you not fall into traps.

Tactic 1: "Your Good Friend"

How it works: The representative calls you in a friendly, warm tone:

• "Hello! How are you feeling?"
• "I'm here to help you"
• "We want to close this quickly for you"
• "Trust me, I'll take care of you"

The goal: To create a sense of trust. So you'll talk freely, believe they're "on your side," and accept what they offer without insisting.

How to deal with it:

• Be polite, but don't give blind trust
• Remember: they work for the insurance company, not for you
• Don't share more than necessary
• Don't give a detailed statement over the phone

Tactic 2: "Let's Close This Quickly"

How it works: The representative offers compensation very quickly - sometimes within days of the accident:

• "I'm offering you 15,000 NIS - close now?"
• "This is a good offer, but it's only valid until the end of the week"
• "If you sign now, you'll get the money within two weeks"

The goal: To get you to accept a low offer before you know the full extent of the damage.

Many personal injuries from car accidents - especially psychological injuries - aren't felt immediately. They appear after weeks. If you agree quickly - you're "signing" an agreement that says "I won't sue anymore," and then when the pain appears - you're stuck.

How to deal with it:

• Don't agree to a quick offer!
• Wait at least 3-6 months until you know the full extent of the damage
• Consult with a doctor and a lawyer before signing
• If the representative is pushing - it's a sign the offer is too low!

Tactic 3: "Your Claim is Exaggerated"

How it works: The representative tries to convince you that you're asking for too much:

• "That's not reasonable, nobody gets that amount"
• "Your doctor is exaggerating, it's not that serious"
• "Others in a similar situation got much less"

The goal: To make you doubt yourself and agree to less.

How to deal with it:

• Check what the accepted amounts really are (a lawyer can help)
• Don't assume the representative is telling the truth
• Demand an explanation for why the offer is low

Tactic 4: "We Need More Information"

How it works: The representative asks for more and more documents:

• "We'll need the complete medical file"
• "Bring us confirmations for all sick days"
• "We need tax reports from 3 years back"

The goal: To tire you out and delay payment. The longer the process, the greater the chance you'll give up or agree to a lower amount. This is especially problematic in cases involving loss of work capacity where you may need funds urgently.

How to deal with it:

• Ask: why is this relevant?
• Provide only necessary and relevant information
• If the requests aren't reasonable - refuse
• A lawyer can serve as a filter

Tactic 5: "We Don't Believe You Were Injured"

How it works: The insurance company sends a private investigator to follow you:

• They film you lifting shopping bags
• They film you exercising
• They check social media posts

If you claimed back pain that "doesn't allow you to work," but there's a video of you playing basketball - your claim is in danger.

How to deal with it:

• Be consistent! If you have pain - don't do things that contradict it
• Be careful with social media posts - don't post photos of trips/sports if you claimed injury
• Assume you're being filmed

Tactic 6: Exploiting Your Lack of Knowledge

How it works: The adjuster uses complicated legal or medical terms, assuming you won't understand:

• "The compensation only covers direct damage, not indirect damage"
• "We have an exemption from liability under section 7(b)"

The goal: To confuse you and get you to agree to something you don't understand.

How to deal with it:

• If you don't understand - ask!
• "Can you explain in simple words?"
• Don't sign anything you don't fully understand
• Consult with a lawyer

What Not to Do - The Fatal Mistakes

Mistake 1: Giving a Recorded Statement

The mistake: The representative asks: "Tell me what happened, I'm recording."

Why it's bad:

• Everything you say can be used against you
• You might make a mistake, forget a detail, say something inaccurate
• They'll look for contradictions between what you said and other things

What to do instead:

• "I prefer not to give a recorded statement"
• "I'll send you everything in writing"

Mistake 2: Saying "I'm Fine"

The mistake: The representative asks: "How are you feeling?" You: "Fine, thanks"

Why it's bad: If you say "I'm fine," they'll use it: "See, he said he's fine! So he has no damage!"

What to do instead:

• "I'm still under medical treatment"
• "I feel [describe the situation] - I have pain in my neck/back"
• Be specific but not exaggerated

Mistake 3: Sharing Too Much

The mistake: The adjuster is pleasant and you tell them about your life - about work, about family, about problems.

Why it's bad: Any information can be used against you.

Example: You say: "I have work stress, lots of overtime." The insurance company will claim: "Your pain is because of work stress, not the accident!"

What to do instead:

• Answer only what's asked
• Be polite but concise
• Don't tell life stories

Mistake 4: Accepting a Low Offer Out of Desperation

The mistake: You need money, and they know it. They offer 20,000 NIS, even though you deserve 70,000 NIS. You think: "At least something..."

Why it's bad: You're giving up 50,000 NIS!

What to do instead:

• Patience! The process takes time
• A lawyer can help pressure the insurance

Mistake 5: Writing About the Accident on Facebook

The mistake: You write on Facebook: "I was in an accident, but thank God I'm fine!"

Or: "Some idiot hit my car! I can barely move!"

Why it's bad: The insurance company checks your social media:

• If you wrote "I'm fine" - they'll claim there's no damage
• If you wrote "I can barely move" and there are photos of you doing sports - they'll claim you're lying

What to do instead:

• Don't post anything about the accident on social media
• Don't post photos that could contradict your claims

When to Bring a Lawyer into the Equation

Because lawyer fees in car accident and insurance claims cases are regulated by law and are relatively low (8-13 percent of compensation depending on the stage at which compensation is received), our recommendation is to always hire a lawyer. Whether it's a very minor injury and certainly when it's a substantial injury.

Why a lawyer helps:

• Experience - They know how much you really deserve
• Pressure - Insurance companies are more "afraid" of lawyers
• Skill - They know how to negotiate
• Percentage - Lawyers work on "success percentage" only

Contact us for an initial consultation with no obligation.

Summary - Principles for Successful Negotiation

If you've decided not to use a lawyer anyway, remember the following principles:

Remember:

• The insurance company is not on your side - it's a business that wants profit
• The first offer is always low - don't accept immediately!
• Start high - there's always bargaining
• Justify every claim - with documents and evidence
• Don't rush - patience pays off
• Document everything - calls, promises, offers
• Get everything in writing - don't rely on verbal promises
• Don't sign what you don't understand - read everything!

Negotiation is a game. The more prepared, informed, and patient you are - the better your chances of receiving fair compensation.

Don't let the insurance company cheat you. Take what you deserve!

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This article provides general information only and does not constitute legal advice. For specific questions, contact a lawyer or consult with an expert in the field.