How Insurance Companies Undervalue Motorcycle Claims
Insurance companies use a host of highly specialized tactics to minimize payouts to injured motorcyclists. Because motorcycle crashes often result in catastrophic, high-cost injuries, adjusters have a significant financial incentive to undervalue these claims.
1. Exploiting “Biker Bias”
Adjusters often rely on deep-seated stereotypes that motorcyclists are inherently reckless risk-takers.
- Shifting Blame: Even when a car driver is clearly negligent, insurers may assign partial fault to the rider by claiming they were speeding, weaving, or wearing improper gear.
- Contributory Negligence: In many states, being found even 10% or 20% at fault can reduce your settlement by that exact percentage.
2. Downplaying Injury Severity
Insurers frequently challenge the medical necessity of treatments or the severity of documented injuries.
- The “Gap in Care” Tactic: If a rider does not seek immediate emergency care, adjusters argue the injuries “couldn’t be that serious” or were caused by a separate event.
- Pre-existing Conditions: Insurers may dig into your entire medical history to claim that chronic pain or current injuries are actually “pre-existing” issues unrelated to the crash.
3. The “Lowball” Fast-Settlement Offer
Adjusters often contact injured riders within days of a crash—before the full extent of injuries is known—to offer a quick cash settlement.
- Exploiting Financial Strain: These offers prey on riders facing immediate medical bills and lost wages.
- Finality of Release: Accepting an early offer typically requires signing a release that waives your right to seek any further compensation if complications arise later.
4. Undervaluing Intangible Damages
Non-economic damages like pain and suffering, emotional trauma, and loss of quality of life are notoriously difficult to quantify.
- Algorithmic Payouts: Many insurers use software programs that analyze thousands of past claims to generate a range, often ignoring the unique, life-altering human impact of a motorcycle injury.
- Ignoring Long-Term Impact: Adjusters may cover immediate bills but fail to account for future rehabilitation, vocational retraining, or permanent disability.
5. Intentional Delays and “Documentation Loops”
If a lowball offer is rejected, insurers may use stalling tactics to wear the claimant down.
Adjuster Rotation: Continuously reassigning the case to new adjusters can force a rider to restart the explanation of their claim, further delaying the payout.
Paperwork Requests: This includes repeated requests for the same forms or excessive documentation that can stretch the process for months.