Do Some Insurance Companies Deny More Claims Or Pay Less Than Others?
It’s a safe bet to say that most people know many insurance companies are massive, and profitable. It’s probably a safe bet to say that most people don’t really understand just how much money the major insurance companies actually make. The American Association for Justice puts that figure at 30 billion dollars, annually, for US property/casualty insurers. [information from the Insurance Information Institute]. That number is many years old. Have your premiums gone up in the last 5 years? Insurance profits are in part the result of earning more on investment income from those premiums collected than is paid out in claims and other overhead.
Rising repair costs may “push” up claim insurance premiums. There are not directly corrlated statistics, but it makes sense that if a business is paying more to handle their business, whatever that is, they are going to pass that cost on to consumers- you.
According to the BLS Consumer Expenditure Survey, in 2023, the average household spent $1,774.79 on vehicle insurance. BLS does not provide statistics on a hyper local level.
It has been speculated that COVID 19 impacted both the number of cars on the roads in Baltimore, and by extrapolation, the number of accidents. According to FHWA In 2024, total vehicle miles traveled (VMT) in the U.S. reached as much as 3,279.1 billion miles—up 1.0% from 2023.
Not all Baltimore car accidents result in lawsuits, or claims. While there is not a direct correlation, there is good news for drivers in Baltimore, and elsewhere: Thankfully, nationwide, for 2024, NHTSA reports 39,345 fatalities—a 3.6% decrease from 2023—and a fatality rate of 1.20 per 100 million VMT.
In 2023, over 1 million vehicles were stolen nationwide. The FBI tells us the national theft rate grew 42% since 2019. While there may not be direct statistical correlations, here again, it is reasonable to conclude that when a business’s operating costs increase—whatever the source—those added expenses are ultimately passed along to consumers.
NHTSA studies indicate vehicle occupants made up as much as 76% (44,114) of U.S. crash fatalities in 2023. Fatality rates per 100,000 registered vehicles dropped across all passenger types. (Source: NHTSA)
Under the McCarran-Ferguson Act, states regulate insurance. The Treasury’s Federal Insurance Office monitors the industry but doesn’t set rates.
The Maryland Insurance Administration. “The agency’s goal is to provide efficient, effective service to both the consumers of insurance products and the insurance industry.”
Baltimore Car Accident Lawyer Tip: An MIA complaint about an Baltimore insurance company not offering enough to you is unlikely to be successful.
“The Maryland Insurance Administration best serves its core constituents by ensuring fair treatment of consumers. This consumer protection begins by regulating the availability of insurance coverage at fair prices and extends to issues of solvency and fair sales, claims and settlement practices.”
A seasoned Maryland car accident lawyer may play a vital role in assuring that your claim receives full compensation. Attorney Eric T. Kirk will tell you.
Insurance companies aggressively deny and defend claims. I have handled thousands over the years. Anyone who thinks an insurance company is acting in their best interests should at least get a second opinion. I extend a complimentary case analysis and opinion about their legal case to those that consult with me. Please call me today to arrange a meeting.
- Baltimore Personal Injury Trial Lawyer Eric T. Kirk
- Legal Analysis & Case Studies
- Baltimore Insurance Claims Denial Lawyer
For over three decades, I have battled against the nation’s largest insurance companies, always endeavoring to ensure my clients receive the compensation they deserve. As lead counsel in thousands of cases across Maryland, New York, and Florida, I have recovered millions for clients whose claims were wrongfully denied and delayed. Whether denying fair compensation for a personal injury victim or denying benefits to a homeowner, Insurance companies employ policy exclusions, technicalities, and lowball offers to deny and defeat claims. They also hire very good lawyers to fight you in court. So should you. When an insurance company unfairly rejects a claim, I stop them.
