LevonP
05-16-2008, 06:55 PM
Welcome to our new Dispute Insurance Claims Forum!
The main thrust of this forum is to have ordinary people to share their experiences and knowledge in disputing insurance claims. Insurance Companies address each claim the following ways – Pay in full, Pay partial, Deny Payment or litigate the claim.
As one of the administrators for this forum, I encourage all our members to be open minded and patient in finding information that could be very valuable and very rewarding. Hiring a legal help to solve insurance claims is not necessarily the correct approach in most cases. However, our society is very well trained to utilize every legal mean possible to address most Insurance related claims without any considerations that it is possible to work with Insurance Companies directly and yet receive better financial satisfaction.
Insurance Companies are business for profit organizations. Their sole survival depends on the distribution of monetary differences between the rates that they collect for all their sold policies and claims that they pay against such policies. Such difference between what they collect and pay for the claims is how they substantiate their business existence. Unlike most businesses in the country who conduct their business in the basic format of “buy low” and “sell high”, in the case of Insurance Companies business structure, they have to “sell high” and “pay low”. Sometimes Insurance Companies pay much lower or not to pay at all for many claims, thus they increase their “profit” margins.
Misconception from most of the consumers is that Insurance Companies can not or should not make huge profits: after all, their profits are based on what they charge all of us for their policies and what they do not pay or sometimes reduce their exposure by paying less for the claim. Unfortunately the reality check is much more complex than most of us can comprehend.
I will have more observations and articles going forward, so please help us to help you to find answers to so many difficult questions raised by disputing claims with Insurance Companies.
The main thrust of this forum is to have ordinary people to share their experiences and knowledge in disputing insurance claims. Insurance Companies address each claim the following ways – Pay in full, Pay partial, Deny Payment or litigate the claim.
As one of the administrators for this forum, I encourage all our members to be open minded and patient in finding information that could be very valuable and very rewarding. Hiring a legal help to solve insurance claims is not necessarily the correct approach in most cases. However, our society is very well trained to utilize every legal mean possible to address most Insurance related claims without any considerations that it is possible to work with Insurance Companies directly and yet receive better financial satisfaction.
Insurance Companies are business for profit organizations. Their sole survival depends on the distribution of monetary differences between the rates that they collect for all their sold policies and claims that they pay against such policies. Such difference between what they collect and pay for the claims is how they substantiate their business existence. Unlike most businesses in the country who conduct their business in the basic format of “buy low” and “sell high”, in the case of Insurance Companies business structure, they have to “sell high” and “pay low”. Sometimes Insurance Companies pay much lower or not to pay at all for many claims, thus they increase their “profit” margins.
Misconception from most of the consumers is that Insurance Companies can not or should not make huge profits: after all, their profits are based on what they charge all of us for their policies and what they do not pay or sometimes reduce their exposure by paying less for the claim. Unfortunately the reality check is much more complex than most of us can comprehend.
I will have more observations and articles going forward, so please help us to help you to find answers to so many difficult questions raised by disputing claims with Insurance Companies.