Construction Law / Insurance Claims
Are You Driving Your Adjuster Clients Crazy? Ten Things Lawyers Do That Make Clients Want to Tear Their Hair Out
Teresa M. Beck
November 13, 2012
Several high level, experienced claims personnel were recently asked to share their pet peeves about the lawyers with whom they work. The responses were surprising because many of their pet peeves are so obviously improper. Are you doing any of the things listed below? If so, it’s probably time to make some changes! Below are descriptions of some of the most common complaints with suggestions for alternative handling methods.
Email and Other Correspondence
I. The Problem: Mass emails that do not identify the insured and/or do not provide the claim number. Failure to include references to the insured and claims numbers creates a lot of unnecessary work for the client/adjuster who must search through the correspondence to determine the claim to which the email pertains.
The Fix: This is easy! Every communication should identify the insured and corresponding claim number in the subject line so that claims personnel do not waste time. Make their jobs as easy as possible!
2. The Problem: Sending unneeded correspondence to adjusters. For example, continuing to send letters and emails when the claim has been resolved or denied without dispute. Unnecessary communications, often with large attachments, bog down adjusters’ email accounts.
The Fix: Confirm that every addressee really needs the communication you are sending. Update service lists regularly to prevent unnecessary communication.
3. The Problem: Sending CDs with information in a format that adjusters often cannot open. Ensure that the client/adjuster can use the information you send in the form you are sending it. If not, identify alternatives. Web-based information sharing can be very effective.
The Fix: Arrange to have large attachments available online so adjusters may easily review and download only what they need.
4. The Problem: Long letters that do not report anything meaningful. Adjusters abhor lengthy letters that do not quickly identify new or noteworthy information. Such communications send a message that the lawyer is not efficiently allocating his/her resources.
The Fix: If there is a minor issue to report, send a simple email. Don’t dictate a formal letter. Adjusters dislike feeling “papered to death” and deeply appreciate concise, useful communications.
5. The Problem: Long voice mail messages. Long messages can be annoying because if substantive information is provided, the adjuster will have to document the verbal information provided in a written format.
The Fix: If it is absolutely necessary to leave a long voice mail message, convey in the message that you will also follow up with a brief confirmation email message, and do follow up in writing. Cover all of the bases!
Experts
6. The Problem: Out-of-control experts. Adjusters are often very concerned about experts performing more work than required and incurring fees beyond what seems necessary. The failure of attorneys to manage experts’ time is a frustration to the bottom line, particularly when the fees were not initially budgeted for and submitted. Not only that, adjusters are assessed on how well they control activities on their files. When lawyers let the experts get out of control, the adjuster may appear to his or her supervisors to not have sufficient oversight over the litigation.
The Fix: Obtain budgets from experts and closely monitor their work. Provide adjusters with expert budgets for approval with concise descriptions of the work to be performed, and alert the adjuster when circumstances require the budget to be modified. As much as possible, be sure there are no surprises.
Useless Evaluations
7. The Problem: Providing evaluations of liability that assess the odds of prevailing at trial as 50/50. Such evaluations are of minimal utility and give the impression that the lawyer is unwilling or unable to take a position on liability. A related issue is increasing the evaluation as trial gets closer because of issues, like indemnity, that could or should have been known earlier.
The Fix: Provide a true evaluation that assesses who the most likely winner and loser will be in the case. Adjusters need this information to set reserves and to obtain settlement authority. When evaluating exposure, consider all potential sources of liability, including indemnity, joint and several liability, and related concepts. It is reasonable to expect issues will arise that no one anticipated, but lawyers should anticipate the obvious issues and prepare adjusters as early as possible for the likely risk associated with litigation.
Lack of Consideration
8. The Problem: Being too demanding. It really bothers adjusters when lawyers are inconsiderate and demanding. On both sides of our business, time is limited and expensive, yet attorneys sometimes assume adjusters are always available for long phone conversations, which can become a 30-minute discussion about the latest details of a case. Additionally, the adjuster often has to then make notes about the phone conversation, which also takes time for which the adjuster did not plan.
The Fix: Most adjusters usually have a few minutes to spare for quick conversations with limited scope. Anything more than that can be an imposition. If long conference calls are anticipated, they should be scheduled in advance. To the extent any of these conversations involve transmitting substantive information, the phone call should be followed up by an email with the substance and summary of the discussion so the file can be easily documented by the adjuster.
Staffing
9. The Problem: Many times clients hire individual lawyers for a particular reason, and not firms or associates in firms. As often happens in firms, though, work is delegated to associates who may not have a relationship with the client or insurer.
The Fix: The lawyer retained by the client or adjuster should be very involved in the case, including taking all key depositions, speaking with all important experts personally, and attending all key hearings personally. If the retained lawyer cannot be responsible for these activities, the client/adjuster should be informed at the outset of the case.
Attitude
10. The Problem: Some lawyers give the impression they know more than the adjuster and/or do not act like team players. This type of attitude shows a lack of willingness to be part of the litigation team, where every player has an important role.
The Fix: Many adjusters have significant knowledge and experience—sometimes far more than the attorneys working on their files. It is critical that lawyers listen to the adjusters and clients on their files and address their concerns. Lawyers who disregard the concerns and/or ideas of their clients/adjusters are missing a significant opportunity to learn from the adjuster/client and to build a powerful relationship that can last long after the case is closed.
These are just the top 10 things lawyers do that can irritate clients and claims persons—there are surely more! The common thread among all of the complaints is consideration. If lawyers use sensitivity in their communications, in retaining and managing experts, evaluating cases, and in staffing and attitude, we will build relationships that will endure throughout our careers.
Thanks to the anonymous contributors to this article who include claims adjusters, claims managers, and VPs of claims. It is their hope and mine that more communication about these issues can improve the relationship between claims adjusters and outside counsel.
SOURCE: www.dritoday.org/feature.aspx?id=460&goback=%2Egde_80469_member_190737611