In each of these events where an attorney represents an injured or aggrieved party, it's the insurance company-through its insurance defense lawyers or through an adjuster who works for it-that does the negotiating. Who negotiates on the client's behalf depends on the complexity and dollar amounts involved in the case. As the paralegal profession grows in stature and skill, more attorneys are turning over their high-volume, low-dollar-amount cases to their paralegals to negotiate and settle. This allows the attorneys more time to concentrate on the high-dollar, more specialized cases that need their full attention.
Here's a message from an independent insurance adjuster, William Bernstein, an adjuster and investigator from the southern California firm Schifrin, Gagnon & Dickey. Bernstein is a veteran adjuster, with over 30 years in the business. Over his long career, he has worked as an investigator and adjuster for individual attorneys, large law firms, insurance companies, and even self-insured companies. He has settled cases ranging from fatal car accidents to slip and falls in restaurants and from wrongful deaths to product liability.
"Knowing how adjusters think and what is important to them is the key to any negotiating session. As much as the adjuster wants to believe your client, remember that he or she is looking to save the insurance company money. Adjusters' decisions are almost always based upon how much things will cost them."
Bernstein suggests you try to take a friendly, professional approach in any negotiation. Active listening skills apply to your conversations with adjusters. Listen to their side, take notes during the conversation, and wait until they've finished before you present your case.
"Trying to come on too strong or trying to steamroll' the adjuster will just defeat your purpose," Bernstein says. "He or she knows you're trying to get the most you can for your client. Stick to the issues, like the dollar figures for the injuries, property damage, lost work time, etc. Keep personality issues out of it and try not to antagonize the adjuster with lawsuit threats, loud arguments, or accusations of bad faith."
Bernstein says most paralegals run into trouble when they get in over their heads. "Keep your dollar figure limits in mind as you discuss a case with the adjuster. If your numbers are vastly different from the adjuster's, and the negotiation is getting out of hand, step back and tell the other side you need to talk with the attorney and the client before you can proceed.
"Keep your eye on the ball," he adds. "Never forget that you represent the client first, and your objective is to get the most money for his or her claim. Some paralegals let their emotions get away from them so that personality conflicts with the adjuster spoil the negotiation. Remember, it's not your case, it's the client's case. Make a fair and reasonable offer and be willing to negotiate with the adjuster about it. Arguments only waste everyone's time and prevent the case from settling in a reasonable fashion."
He adds that few things irritate an adjuster more than receipt of a client's medical bills that obviously have been "padded" by the attorney and the doctor working on the case. "Don't expect much sympathy from an adjuster if the client has a minor accident that caused $200 worth of property damage and then submits medical bills worth $5,000 from the treating doctor. The adjuster will agree to settle the case only if his or her side was at fault and if the dollar figures make reasonable sense."
In those rare cases where personalities do collide or the adjuster is being completely unreasonable during the negotiating process, Bernstein suggests you go over the adjuster's head to his or her super visor. "Sometimes the supervisor can intervene in the case and break the deadlocks between you. Other times, the supervisor will agree to some concessions just to get the case settled. Because he or she may have more leeway than the adjuster, you may be able to come to a more reasonable agreement than you thought was possible.
"In all cases," says Bernstein, "be fair and professional. Be polite, stay flexible, and keep your client's best interests in mind at all times. If you find yourself stuck on certain key issues, you may want to bring in the attorney to close the negotiation. Sometimes a new voice will help put things in a new light. Adjusters usually want to settle a bona fide case at some reasonable amount because they know going to court is an expensive and time-consuming process. But in those cases where you know the courtroom is the only place to settle the matter, stick to your guns if you know your side is right."
Negotiating your own cases can represent the pinnacle of your achievement as a paralegal. Only top-flight professionals are afforded this opportunity and this comes only after they've proven their competence and worth to their attorneys.
