Imagine that, an insurance company that doesn’t want to pay off on a policy. :roll:
I really like RWIII and I thought it was a tragic situation that he found himself
in, but it could have been much worse, he was able to walk away after all was
done. I also believe if he had an insurance policy and they owe and are not
paying, then he absolutely should be doing all in his power to get what is due
to him via his policy. If that involves litigation then more power to him. He
should receive what his contracted policy provided and any costs he incurs in
forcing them to live up to their end of the bargin. That being said, whats up
with the addition 3M tacked on to the suit? I can understand making them
cover the cost involved in the suit, but tacking on the extra 3M just looks like
a money grab and I hate to see things like that. I really hope he gets his 1M
policy paid and they have to cover all the cost of forcing the company to pay
what they owe, but the extra 3M… not to sure I want to see him win that.
But that just me, I never wanted anything more than what I worked for or
actually owed to me. Anything else just seems greedy and wrong. Many
will say its not about the money, its about punishing them for not doing their
job and paying the policy, but we all know, any time its not about the money…
well its all about the money.
Because he’s having to sue the low lifes to get his due. Court costs will be huge! I wish him well.
I wonder if R. Williams second neck injury was legitimately career-ending as that would be defined in the insurance policy. Sure it scared him and his parents because of the first injury, but did it prevent him from playing football again - or did it merely scare him (legitimately) from playing football again? Also, wasn’t the second injury to the neck somewhat different than the first injury to the neck? I wonder if the insurance company might actually have a decent case here. I wonder if this case will be settled for a reduced amount down the line.
This has been updated to note more details in Williams’ case.
Full disclosure: I have worked for a plaintiffs law firm in Houston for the last three years.
It’s sad, but we see this on a regular basis. It’s the non-fiction version of a John Grisham novel.
Yes, there are two sides to every story.
One of those sides is often that an individual paid their premiums and then the insurance company is willing to spend $100,000 in attorney fees to force the policy holder into some sort of arbitration/mediation because they refuse to pay the benefit purchased. The injured party ends up getting 1/3-1/4 of the policy after their expenses to fight for the protection that they paid the premium to receive. In many cases, filing suit is the only option, the last resort, to get the insurance company to “the table”. I’m sure it’s something that the Williams’ don’t like to do but their only other option is probably to accept the insurance companies offer of $0.00 and walk away.
Deny. Delay. Defend.
If the insurance company spends $100,000 on fees, tries to “wait them out” and then forces the family into arbitration/mediation they could settle for $500,000. The company will see it as a $400,000 “win” and someone there will be told “job well done”. It’s really sad to me. The plaintiff will get the $500,000 settlement but will pay nearly half of that out in fees and expenses necessary to communicate with the insurance company’s attorney and carry on the fight.
The crap shoot of going all the way to court
The insurance company is betting that the family won’t do this. So, 1 in 10 do go to court and win the $4.0M instead of the purchased policy value. The other 9 settled for half or less than the original face value and the insurance company is still “money ahead”. They are betting the the family won’t take them to court and take the risk that always comes when a jury is involved. Even if they do lose to the family…it’s still just part of the process.
I feel dirty just typing this.
This is great insight. Thanks for sharing.
I appreciate the full disclosure in first instance. It is good to hear from someone who knows the ins & outs of this type of litigation. From your explanation I get the impression that reneging on insurance payments is a common occurrence. Is it?
Gives you a whole 'nother view on these policies kids and their families buy to “protect” themselves if they decide to go back to school instead of turning pro. The phrase “legal scam” comes to mind
The job opportunity here wasn’t my first choice. You know, we all hear about “ambulance chasers” and “greedy attorneys” and they do exist. However, I’ve been stunned about the pattern that exists when certain insurance companies either deny good claims or under value the loss to an individual or their property. Look at it this way…if insurance companies paid the claims that we paid the premiums to insure…there would be no need for plaintiffs firms…and there are a lot of plaintiffs firms out there.
Yes, it is a more common occurrence that it should be.
Again, full disclosure, that’s one side of the story.
Insurance companies are really good at collecting premiums! They are very poor at paying claims. This has been my experience numerous times.
I don’t think it’s common. But it happens probably more than we fully understand.
My home and vehicles were insured by a big name insurance company for 28 years with zero claims. You would instantly recognize this company. In early March 2012 our home was hit by a tornado. Fortunately our home was not destroyed like our neighbors less than 100 yards behind our house. I had to fight to get an entire roof replaced and that took months (I was the last house with blue plastic on my roof). Plus windows, garage doors, patio funiture and numerous other losses were incurred. By the time it was over I was shocked and by their unprofessional attitude and arrogant communications. My agent had no power to help - or just didn’t help. Ended up with repairs that were not up to par. It’s real even on small things like this.
And I’ve been involved in many, many lawsuits in my professional career in our business. Our lawyers love me because I kept them in business. Typically frivolously suits but time and money consuming for sure.
Numberhawg nailed the process. Even from a defendants perspective. Crazy.