In the complex realm of insurance, consumer complaints can often be a revealing measure of a company’s dedication to customer service. Unfortunately for Allstate Insurance, their track record is cause for concern.
As per data from the National Association of Insurance Commissioners (NAIC), Allstate received approximately 2.39 times more complaints than an average insurance agency in 2022. While this is slightly less than their 2020 numbers (2.72), Allstate continues to draw attention not only because this number exceeded standard levels but also because it significantly outnumbers its relative market share size.
What Allstate Does To Warrant Consumer Complaints
Allstate has earned its share of consumer complaints through several controversial practices.
Delaying and Denying Claims
To begin with, Allstate maintains a notorious program aimed at boosting profits by deliberately delaying claims or outright denying them. They then persistently defend these actions, effectively impeding any attempts recipients might make to rectify the situation.
This may look like agents failing to return phone calls or just outright denials with the hopes that the injured parties won’t file an appeal.
Agents Were Trained to Lie
The company’s strategies don’t stop there. Reports indicate that Allstate agents receive training to mislead clients deliberately in order to decrease claims, casting significant doubt on their commitment to treating customers fairly.
Incredibly Low Offers
Another significant issue leading to complaints against Allstate revolves around their practice of providing notably lower settlement offers than what circumstances and policies actually warrant.
This tactic not only prompts frustration among policyholders but also demonstrates an imbalance between corporate profitability and fair customer treatment.
Allstate Has Faced Significant Fines
Looking into specific instances only underscores these concerns further. In Maryland, Allstate was hit with the largest fine in state history for raising premiums and altering terms without alerting their customers first – a clear breach of transparency practices.
In Texas, regulators levied more than $70 million worth of fines against Allstate after uncovering extensive overcharging incidents involving homeowners across the entire state.
In dealing with Hurricane Katrina’s aftermath, Allstate unjustly denied property insurance claims. Such practices contribute to why this company continues to receive complaints at an unusually high rate and lose public credibility.
These Issues Could Lead to Bad Faith Insurance Claims
Bad faith insurance claims occur when an insurance company is acting unjustly towards the claimant. Typically, these types of situations arise when insurers deliberately deny claims and delay settlements or apply other unscrupulous tactics to explicitly avoid upholding their contractual obligations.
Being successful in a bad faith insurance claim is often quite arduous if you try tackling it by yourself. Without solid legal representatives who are well-versed in local laws and regulations surrounding such cases, chances of winning this kind of dispute tend to be slim.
How Can a Personal Injury Lawyer Help With an Allstate Insurance Claim?
Engaging the assistance of a personal injury lawyer can be beneficial in various ways when pursuing a claim with an insurance company like Allstate. Here’s why it’s helpful to work with a lawyer:
The Insurance Company Will Take You More Seriously
Having legal representation is an indication that you are prepared to fight for your rights. Insurance companies are likely to take your claim more seriously from the jump if you have professional legal counsel backing you up.
Even the Playing Field
Another crucial benefit is that it evens out the playing field. Remember, insurance firms retain their own team of experienced lawyers who primarily exist to counteract claims and protect interests on their client’s behalf.
You Can Focus on Your Recovery
Most importantly, hiring an attorney allows you to focus on what truly matters: recovery and healing after a traumatic event or personal injury without worrying about intricate legal proceedings. Whether you’re dealing with scrapes, broken bones, or something even more serious, you shouldn’t have to worry about the complex legal aspects.
Contact an Experienced Personal Injury Attorney For Help With Your Allstate Insurance Claim
Facing an insurance giant like Allstate can seem exhausting and like a lot of work at times, but remember, you don’t have to do it alone. If you need help with a claim, don’t hesitate to contact us today to schedule a free consultation with a personal injury lawyer.
Contact the Minnesota Product Liability Law Firm of Hall Law Personal Injury Attorneys For Help Today
For more information, please contact an experienced product liability lawyer at Hall Law Personal Injury Attorneys to schedule a free initial consultation today. We have three convenient locations in Minnesota, including Minneapolis, St. Cloud, and Edina.