Did you know that insurance companies have many different versions of forms? Claims handlers are often told to “use up the old forms first” before sending out the new ones. In addition, there are Questionnaires, Narratives, and Physician forms that many insureds have never seen, but potentially will see. The only “form related” fact insureds can count on, is that forms can change at the discretion of claims handlers. If that’s not enough, claims handlers can always MAKE THEM UP.
Claims decisions are always made according to how the decisions will affect the financial reserves and profit potential of the company. This is why managers have the final say on claims decisions, and why they get the big bucks. I have quite a few posts explaining financial reserves in detail you can search from this page, but basically an approval increases the reserve (negative), and a denial reduces it (favorable). If these two status’ are manipulated in particular time periods insurers can create any profit picture they want to. If you ever wondered why it takes so long for insurers to make decisions, the company is manipulating the timing of approvals vs. denials in order to meet profitability objectives.
Insurance companies pay anywhere from $800-$2,000 for a three-day surveillance that usually takes place Thursday, Friday and Saturday. Surveillance technology improved so much that insureds can be recorded as far away as 500 yards, maybe a bit more now. Surveillance detectives often use “tag teams” where more than one car is watching where you go. Online GPS, and cell phones can locate your car parked in a busy mall parking lot. You can always be located online. Town tax records, property tax, vehicle reports can all be obtained now. There is nothing hidden, or private. Please be very careful this holiday season.
