Insurance Claims & Negotiations Flashcards
6 cards from real Truck Accident Lawyer practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 6 Insurance Claims & Negotiations flashcards as text
What is the role of a 'demand letter' in a truck accident insurance claim?
Answer: A formal letter from the victim's attorney to the insurer outlining injuries, damages, and a specific settlement amount demanded
The demand letter initiates settlement negotiations by presenting the victim's evidence and quantified damages to the insurer with a settlement figure.
What is an insurance 'coverage dispute' and how does it arise in truck accident cases?
Answer: A disagreement between the insurer and insured about whether the policy covers the specific accident or loss
Coverage disputes arise when an insurer claims a policy exclusion, lapse, or condition bars payment, requiring legal action to force coverage.
What is 'primary versus excess' liability in the context of a leased truck accident?
Answer: The motor carrier's liability policy is primary, and the truck owner's policy is excess when the truck is operating under the carrier's authority
When a carrier leases a truck and operates it under its USDOT authority, federal regulations make the carrier's insurance primary for public liability claims.
Why do insurance adjusters contact truck accident victims quickly after a crash?
Answer: To obtain recorded statements and early settlement agreements before the victim consults an attorney
Adjusters attempt early contact to secure low settlements and recorded statements that can later be used to minimize or deny the claim.
What is a 'policy limits demand' and when is it used in a truck accident case?
Answer: A demand that the insurer pay its full policy limit to settle a claim that clearly exceeds that limit, creating bad faith exposure if refused
If the victim's damages clearly exceed the policy limit, a policy limits demand puts the insurer on notice that refusing to pay limits exposes it to bad faith liability above the policy.
What information should a truck accident victim avoid providing to the opposing insurer without an attorney?
Answer: Recorded statements, signed medical authorizations, and early settlement figures
Recorded statements can be used to minimize claims, broad medical authorizations can expose unrelated records, and early settlement figures lock victims into low amounts.