How do insurance companies devalue car accident claims in California?

TL;DR: Insurance companies use tactics like early lowball offers, blaming you for the accident, disputing medical care, and pressuring recorded statements to reduce your claim. Learn how these work—and how to protect your rights and your payout. A settlement (money for your losses) may be reduced unless you know how to fight back.

1. Quick Lowball Settlement Offers

Insurers often contact victims within days of an accident, offering a fast cash settlement. It might seem like a lifeline—but it rarely covers the full extent of medical bills, future care, lost income, or pain and suffering. Once you accept, you waive your right to further compensation.

Tip: Never sign or accept a check before speaking to a lawyer.

2. Pressuring You Into a Recorded Statement

Adjusters may call and ask for a recorded statement “to move things forward.” What they’re really doing is gathering anything they can twist to dispute liability (who’s responsible for the crash) or reduce damages. You’re not legally required to give a recorded statement without representation.

3. Blaming You for the Crash

California is a comparative negligence state. That means your compensation is reduced by the percentage of fault assigned to you. Insurers often exaggerate your role to cut their payout.

Example: If you’re 20% at fault for a $100,000 claim, you’ll only receive $80,000.

4. Disputing Your Medical Treatment

Insurers may claim your injuries were pre-existing, unrelated, or exaggerated. They may refuse to pay for chiropractic care, delayed treatments, or ongoing therapy. But medical issues don’t always surface immediately—and you’re entitled to treatment that helps you recover.

Document everything: appointments, prescriptions, diagnoses, referrals, and even pain levels.

5. Delaying Your Claim

Sometimes insurers simply stall—hoping you’ll get desperate or frustrated and accept less. Delays can also interfere with gathering evidence or meeting filing deadlines. This is a common bad faith tactic under California law.

If your insurer is dragging its feet, talk to a personal injury attorney immediately.

6. Sending You to “Independent” Doctors

Some insurers request you see one of their preferred doctors for a second opinion. These providers often minimize injury claims or attribute them to other causes. You’re not required to attend these evaluations unless ordered by the court.

7. Claiming You Waited Too Long

California’s statute of limitations is 2 years from the date of the crash to file a personal injury lawsuit. But some insurers try to convince you that you missed a deadline. Don’t be misled.

Call us to verify your eligibility.

Client Stories

Santa Monica: A teacher was rear-ended. The insurer offered $12,000. She had $7,000 in ER bills and ongoing pain. We negotiated a $180,000 settlement.

Fresno: A client rejected a $10,000 offer after a rear-end crash. We gathered evidence and secured a $50,000 settlement.

Sacramento: A client avoided a recorded statement trap and won a $75,000 payout for soft-tissue injuries.

Steps to Protect Your Claim

1. Document all damages and medical care
2. Do not give a recorded statement without legal advice
3. Reject lowball offers—don’t settle without full information
4. Hire a trusted personal injury attorney to fight for you
5. Be aware of California’s 2-year filing deadline

Feeling overwhelmed by insurer tactics? Take a deep breath or write down what’s stressing you. Staying grounded helps protect your rights.

Protect Yourself. Don’t Let Insurers Undervalue Your Claim.

You only get one chance to settle your case. Once you accept an offer, it’s over. Having a trusted legal advocate can make the difference between an undervalued payout—and the full compensation you need to move forward.

No Win, No Fee. Schedule your free consultation today.

— Neama Rahmani, Esq., President of West Coast Trial Lawyers

Neama Rahmani, a Harvard-educated attorney with over 20 years of experience, has recovered over $1.5 billion for victims. Meet our team, read real client stories, or verify Neama’s credentials.

This article is for informational purposes only and does not constitute legal advice. Always consult an attorney about your individual case.