Progressive Insurance makes unreasonable and unfair settlement offers. This is not hyperbole. It is not a stretch to argue that they are further below fair value for claims in their settlement offers than any other insurance company in Maryland. [Note, in Maryland, the Maryland Auto Insurance Fund ("MAIF") is probably worse but it is technically not a insurance company because it is state owned.)
Progressive is very much the bully that backs down before any real fight. The company makes dramatically different offers before the "fight", i.e. a trial. Progressive is not trying a lot of cases in Maryland because they see the light before the case gets to trial.
The purpose of this article is to ask a more immediate question: What will be the first offer this insurance company will make to me?
- Get inside information on negotiating with Progressive
It is a challenge to guess how much money Progressive will make in their first offer. There is no statistical formula we can use to calculate how much money they will put on the table. While imperfect, the best correlator to their first offer is probably the amount of the victim's medical bills. A legal assistant at our office pulled some first offers just to give you some idea of how the offers correlate to the patient's medical bills after car accident involving this insurer:
These numbers speak for themselves, right? This company thinks every medical bill is inflated. We had a case once where they "cut" Maryland Shock Trauma records for unnecessary testing. Really? What exactly should the patient have done? "No, Mr. Shock Trauma Doctor, that CT-scan of the spine is not necessary given my medical indication, in spite of the fact that I got here via a helicopter." It is just ridiculous.When Does Progressive Insurance Start Getting Realistic?
Progressive often does not wait very long to take a more realistic look at cases. They have a very small in-house counsel office that really is not equipped to wage war on the level these settlement offers would suggest. So after a lawsuit is filed, you often see a sizable increase in the amount of the offer.What Does All of This Tell Us?
The lesson here is that if you want fair compensation, you are probably not going to get it pre-lawsuit from Progressive. Ultimately, this is true with almost every major insurance company but it holds particular force with Progressive. There is no harm in sending them a demand letter. All you are wasting is time. But in almost every case, effort to settle with this insurer for fair value before filing suit has the same results as Don Quixote making a run at that windmill.
What is the true value of my case?Hiring a Lawyer to Fight Progressive
We have fought Progressive many, many times and our clients have come out on top. Call us at 800-553-8082 or get a free claim evaluation.