Archive for the ‘Insurance’ Category

NEW RULE TIPS SCALES AWAY FROM JUSTICE.

Hausmann-McNally, S.C. strongly opposes Indiana’s 30-day rule that prohibits attorneys from contacting accident victims to advertise their services. We see a dangerous trend towards this in other states.

This new provision in Indiana’s rules of professional conduct prohibits attorneys from making in-person, written or electronic solicitations in cases involving personal injury or wrongful death within 30 days of an accident or disaster.

This is totally wrong thinking, in the view of Hausmann-McNally President Charles Hausmann. As most of our clients know, we send informational advertising to victims after they have been in an accident. “The rule takes away victims’ rights and gives a clear advantage to insurance companies. This is detrimental to the victims’ best interests. ”

“This rule prevents people who need attorneys to learn about services available to them. More than that, Hausmann argues that the 30-day rule helps insurance companies, the lawyers’ traditional adversary in personal injury lawsuits.

A 2007 study by the Insurance Research Council showed that people who retained attorneys to represent them received two and a half to three times the amount of money than those who did not have attorneys.

“If insurance companies can keep people from receiving written information about their rights for 30 days, they can do whatever they want and no one can stop them,” says Hausmann. Within that critical 30 days, victims may succumb to less-than-fair insurance company offers or hire an off-the-TV law firm with little substance to its claims.

Hausmann-McNally’s 28-page brochure, for example, sets out information about victims’ rights, how the legal process works, how to select an appropriate lawyer and law firm, pitfalls to avoid when dealing with insurance companies and more. “This new rule prohibits us from giving this information to accident victims for 30 days at the most crucial point in their decision process. This level of useful information could never be presented in a TV commercial, or print ad.

“Insurance companies profit immensely if people do not hire attorneys to represent their side of a case.” A recent Bloomberg online article showed that if Allstate Insurance could prevent 25 percent of accident victims from hiring attorneys, their stock would go up $1.60 a share–for an estimated sum of $847,680,000. Money that should go to accident victims is shifted to the insurance company’s bottom line. It is no secret that insurance companies like this new rule.

“What this new rule means is that the victims do not have access to the information that will help them achieve a better settlement from insurance companies.”

It doesn’t help that some law firms create outrageously misleading TV and radio ads. People need to be able to see print material so they can review and carefully judge what the “offer” is from the attorney.

Although the Indiana law went into force in January 1, 2011, Hausmann says he intends to continue fighting it.

Hausmann is particularly incensed at the rationale for the new rule, an alleged concern about the “sensitized state” of victims who were either injured or grieving. “These same ’sensitized individuals’ are prey to insurance companies who are free to contact, deny, delay and make lowball offers.”

It is a personal injury attorney’s job to fight for his clients’ rights, something we take very seriously at Hausmann-McNally, S.C.

Sometimes it is hard to believe the lengths insurance companies will go in order to deny paying rightful claims.

A case in the Decatur, Illinois area is a case in point.

In 2006, a young woman was hurt in a serious automobile collision. The driver, unfortunately, died several days after the accident.

The victim—a Hausmann-McNally client—suffered injuries including head, shoulder, hand and neck pain, scarring, numbness and frayed nerves. She needed a host of diagnoses and treatments to restore her health. Her journey through medical and treatment centers made her uneasy but she was encouraged to persist in the quest to get relief from the pain and to heal from her injuries.

Meanwhile, the at-fault party’s insurance company denied the claim to pay for her injuries and losses because the driver of the car suffered a Stokes-Adams event* and later died. The insurance company invoked the Divine, saying the  accident was “an act of God.” So much for that.

Not impressed with their theology, Hausmann-McNally Attorney Greg Abel of the Decatur, Illinois office, appealed the insurance company’s decision.

He claimed that this was not an act of god—something out of the blue that cannot be predicted–because the at-fault driver had a health condition that he should have addressed.

Abel took the matter to the Macon County Circuit Court, and lost in the first round. He persisted, taking the case to the appellate court, where the three justices agreed with his contention that there were facts that needed to be considered.

It took a lot of persistence and patience as the case dragged on and the victim worried about medical bills and treatments. When the case went back to the Circuit Court, the defendant’s insurance company suggested the parties work with a mediator to resolve the matter. Pekin Insurance eventually settled the claim for $80,000.

It took over five years and a mountain of paperwork, court appearances and court documents to complete the case. The important thing is that the client would have received nothing if Abel did not pursue the case after the insurance company denied the claim.

Like we said, we take the protection of our clients’ interests very seriously.

* Stokes-Adams syndrome is a heart disorder characterized by dizziness, labored breathing and fainting.

If you have been injured in an automobile, truck or motorcycle accident, do not hesitate to call our office for a free consultation. Calling 800-227-6699 will put you in touch with a law firm with over 38 years experience and caring for clients.

Resourceful Attorney Gets Client 16 Times What Allstate Offers

COLUMBUS, OHIO–A good part of the law business involves dealing with insurance companies. Many times, the insurance company will low-ball a client and make an absurdly low offer which they hope the client will take. Clients without legal representation may fall for the insurance company’s offer to settle quickly, say that the case isn’t worth much, or claim that injuries were pre-existing conditions. Have no doubts, most insurance companies would rather pay you less than more, and would prefer to pay you nothing if they could get away with it. That includes your own insurance company.

A major victory over an unreasonably low offer involved Hausmann-McNally Attorney J. Scott Bowman, who represented a client injured in an automobile accident.  After the accident, she was unable to get the surgery she needed because she did not have health insurance. It didn’t help that Allstate dragged its feet by refusing to make a fair settlement.

The 36-year old woman was injured by an automobile driver who failed to yield at a stop sign. Injuries included tear to her ACL as well as cervical, thoracic and lumbar sprains/strains. Medical bills were projected to top $20,000. Bowman also showed she had lost wages in the amount of $12,000 to $13,000.

Aside from the bad publicity Allstate garners for not adequately paying claims, Bowman had to go before a jury and, during a three-day trial, proved that his client’s injuries and medical bills were worth a whole lot more than Allstate offered her. Allstate’s final offer was $4,181!

After hearing both sides, the jury awarded Bowman’s client $70,124, almost all of what he had asked for. The case was written up in the Winter 2011 issue of the Columbus (Ohio) Lawyers Quarterly.

Interesting news of the Allstate company’s strategy on claims can be seen on the Web site: http://www.businessweek.com/magazine/content/06_18/b3982072.htm

Their slogan might be “You’re in Good Hands with Allstate,” but this client believes she was in far better hands with Hausmann-McNally, a personal injury law firm that really looks after their clients’ interests.

Bowman is managing attorney for Hausmann-McNally’s Columbus, Ohio office.