Partner at AKD Lawyers
Practice Areas: Personal Injury, Insurance Claims
After a car accident, you expect your insurance company to have your back. You paid your premiums and followed the rules, so the first offer should be fair, right? Many people are stunned by how low that first number actually is.
Understanding how insurers value car accident claims helps you protect yourself from an unfair settlement and make smart choices about your recovery. If the offer seems wrong, an auto accident lawyer in New Orleans can tell you what your claim is really worth before you sign anything away.
Why insurers undervalue claims
Insurance companies are businesses, not charities. Every payout affects their bottom line, so even a friendly adjuster is working to settle your claim for as little as possible.
Common tactics include quick offers before you know the full extent of your injuries, unjustified delays, and questioning your medical treatment. The goal is to wear you down until you accept less than the claim is worth. Louisiana law does set a standard: under La. R.S. 22:1973, insurers must act in good faith and can face penalties for handling a claim unfairly. But that statute does not stop them from opening low.
What a lowball offer leaves out
A lowball offer is one that falls well below the true value of your claim. It often looks generous at a glance, but ignores the costs that show up later. These offers usually leave out:
- Future medical care, such as therapy or later procedures
- Pain, suffering, and emotional distress
- Lost earning capacity or a reduced ability to work
- Long-term care and rehabilitation
Add those back in, and the real value of a claim can climb dramatically.
What actually drives claim value
Every crash is different, and your claim’s worth depends on how the accident affected your health, finances, and daily life.
Medical expenses. Everything from the ambulance ride to future care counts. Organized records keep anything from being missed.
Lost income. Wages you lose during recovery are compensable, and a reduced future earning ability can be too.
Pain and Suffering. Anxiety, lost sleep, fear, and emotional distress are real losses. They should not be treated as minor side effects of the crash.
Property Damage and Daily Disruption
The claim should also account for vehicle repairs and the ways the crash interrupted your daily life. That may include transportation problems, missed responsibilities, and the time spent dealing with repairs, appointments, and insurance calls.
Louisiana Fault Rules and Filing Deadlines
Keep Louisiana’s fault rules in mind. For crashes on or after January 1, 2026, your compensation is reduced by your percentage of fault under La. Civ. Code art. 2323. If you are beyond 51% or more, you cannot recover any damages.
The deadline matters too. For crashes on or after July 1, 2024, you generally have two years from the date of injury to file a lawsuit. Older crashes may fall under the prior one-year deadline. Knowing these rules helps you act before time runs out and avoid settling too quickly under pressure.
The “Independent” Medical Exam
The insurance company may ask you to attend an “independent” medical exam. The word independent can be misleading. The doctor is usually chosen and paid by the insurance company, and the exam may be used to question your injuries, treatment, or need for future care.
Do not treat this as a routine doctor visit. Be honest, stay consistent, and avoid guessing. Before attending, speak with your lawyer so you understand what to expect and how the exam may affect your claim.
Insurers sometimes request an Independent Medical Examination (IME) to verify injuries. Despite the name, the examining doctor is usually chosen and paid by the insurance company, and these reports often minimize the seriousness of injuries or suggest no further treatment is needed.
That is why your own medical records matter. Keep copies of your records, follow your doctor’s treatment plan, and track your symptoms as they continue. Any notes from your doctor, treatment dates,bills, and updates on your pain or constraints help provide the full picture of your condition and support the accuracy of your claim.
How preliminary offers compare to real value
| Minor soft-tissue injury | $4,000 | $12,000 | Physical therapy, missed work |
| Fractured limb | $18,000 | $50,000 | Surgery costs, long-term rehab |
| Mild traumatic brain injury | $25,000 | $120,000 | Neuro evaluations, cognitive therapy, lost income |
Figures are examples only, not real case results. They show how much a claim’s value can change when future treatment, lost income, and long-term recovery are included.
How to Protect Yourself
After a crash, your records are your best protection. Keep copies of every medical report, repair estimate, receipt, and message from the insurance company. These details help show the full extent of your loss and make it harder for an adjuster to downplay your claim.
Before accepting any offer, compare it against your total documented losses and your future needs.
Do not rely on the adjuster’s number alone. If your recovery involves surgery, ongoing therapy, or emotional distress, the real value could be far higher than the first offer. And act promptly, since the clock on your two-year deadline starts the day of the crash.
Frequently Asked Questions
Why do insurers offer low settlements after accidents?
Early low offers protect their profits. They hope you accept before the full medical, emotional, and financial impact of the crash is clear.
What should I include when valuing my claim?
Medical bills, ongoing care, lost income, pain and suffering, property damage, and emotional distress, so the number reflects the complete impact of the accident.
Are Independent Medical Examinations mandatory?
An insurer or court may require an independent medical exam. Keep in mind that the doctor is usually selected and paid by the insurance company. For that reason, it is important to keep your own medical records, treatment notes, test results, and appointment history.
How long do I have to file a claim in Louisiana?
For crashes on or after July 1, 2024, you generally have two years from the date of injury to file a lawsuit under La. Civ. Code art. 3493.11. Older crashes usually followed the prior one-year deadline.
What if I were partly at fault?
For crashes on or after January 1, 2026, your recovery is reduced by your percentage of fault. If you are found 51% or more at fault, you cannot recover damages.
Talk to a New Orleans Car Accident Lawyer
Insurance companies know how to make a low offer look fair. If you want to understand what your claim is truly worth before you accept anything, Alvendia, Kelly & Demarest can review your situation and explain your options. Call (504) 200-0000 for a free consultation. There is no fee unless we win. Start here.
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In 2003, after being dissatisfied with the quality of legal care for victims of car accidents, Roderick ‘Rico’ Alvendia sought to establish a new firm focused on providing high-quality legal services to aid injured victims and their families. J. Bart Kelly, sharing Rico’s passion for upholding justice, joined the firm later that year, and established a partnership.
