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Americans Struggle with Auto Insurers


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HARTFORD, Conn., Feb. 15 -- Recent and upcoming reports on CNN illustrate how difficult it can be for auto accident victims to get fair compensation from insurance companies, even in seemingly straightforward and minor cases.

The network's 18-month investigation which aired this week on "Anderson Cooper 360" found that tactics to "delay, deny and defend" form the strategy of many auto insurance companies.

The story outlined how insurances companies will offer to pay a fraction of actual expenses from an accident. If you are in a minor impact crash and get hurt, former insurance industry insiders told CNN, insurance companies will most likely try doing the same thing to you: delay handling your claim, deny you were hurt and defend their decision in drawn-out court battles.

"I believe that insurance companies count on the fact that eight times out of 10, the claimant will either simply go away or hire an attorney who won't try the case," said Joe Mirrione, a New Haven, Connecticut, attorney who has plenty of "horror stories" about insurance companies. "They figure that even if they lose those two other claims, they come out ahead in the end."

In fact, according to the Consumer Federation of America, many insurers now employ programs designed to systematically underpay claims. Computer-directed programs like "Colossus" and "Claims Outcome Advisor" allow insurers to determine the amount of overall claims' savings they want to achieve before claims are assessed for legitimacy.