Being injured in an accident can be a painful, upsetting and challenging time. You may be faced with unexpected medical bills and lost income all while trying to recover and go about your daily life. With the right support and treatment, people can better manage these challenges, reduce pain and suffering, and go about life again as soon as possible. Making sure you get fair compensation from your Compulsory Third Party (CTP) claim is key to getting your recovery on track.
When you’re looking into how to make a CTP claim, you might see insurers advertising direct claims handling or concierge services where they support you in the claims process. They may even go as far as suggesting there is no need for legal advice. Data from MAIC Queensland shows that on average legally represented claimants receive 7.5 times more compensation. If you’re considering making a direct claim, we’d recommend exploring whether the insurer can fairly manage it and have your best interests in mind.
We recently wrote an article that provides an overview of the challenges of self-represented CTP claims. Below we’ll go into more detail about whether CTP insurers can provide objective claims management advice and how to look out for your own interests.
Can an insurance company objectively support my claim?
If you’ve been injured in an accident, you’re seeking to claim the most compensation possible to cover financial loss and expenses. When you’re deciding how to lodge your claim, keep in mind that a CTP insurer’s goal is to settle claims for the smallest amount possible. Settling your claim for the highest possible sum is totally contrary to their interests, because the amount they pay you in a settlement directly reduces their overall profit. This would suggest they are very unlikely to maximise the financial assistance available for a claimant as it does not line up with improving their bottom line.
When your claim is resolved, you will be asked to sign off on a settlement on a once and for all basis. You should always ask for legal advice before signing this to make sure you are getting a fair deal.
How to spot misleading insurer marketing
One of the most common forms of misleading CTP insurer marketing is that they offer a concierge team to support you through your claim. We’d recommend being cautious of any advertising that says an insurer can assist with managing your claim. If they suggest not seeking legal advice, it’s generally in their best interest not yours.
Insurers may advertise that they will gather all appropriate evidence to support your claim or loss of income. However, this is a misleading statement in circumstances where they don’t recommend that you seek independent legal advice or disclose that paying you less in your settlement contributes to an improvement in the insurer’s financial performance.
The last publicly available data shows that legally represented claimants received significantly more compensation when compared to a direct claimant. The MAIC Claimant Research Report (28 November 2017) revealed that legally represented claimants received on average $93,305.46 while a direct claimant received $13,481.94. This difference is astonishing.
How long do I have to submit my CTP claim?
If you’ve been injured in a motor vehicle accident in Queensland, you generally have nine months to notify the person you are claiming against. Read our article about car accident injury claim time limits for more information.
What will I need to do when submitting a claim?
To build the evidence for your case, you will need to see doctors, provide employment information, and authorise us to work with certain organisations on your behalf. You can read more in our quick guide to your claim process.
If you’re thinking about pursuing a CTP claim, objective advice can make all the difference to getting the best possible outcome. Consider the short-term and long-term financial loss resulting from your injury before agreeing to any settlement agreement.
Get in touch with our lawyers. We’re here to review your case for free and also have a no win, no fee guarantee.