Texas Watch

Stop "Swoop and Settle"

Stop "Swoop and Settle"

You have just been involved in a car wreck. Your car is destroyed. You are hurting and disoriented. After you exchange insurance information with the other driver, take photos of the damage, gather witness information, and get to the doctor, what comes next? Often the other driver's insurance company calls wanting a recorded statement from you. It's important for you to know that everything you say to the insurance company can and will be used against you. Recently, the Dallas Court of Appeals held in a case that even an oral settlement agreement that is recorded by the carrier will be legally enforced. This can hurt you and your family.

After a wreck, coordinating medical treatment, trying to figure out a rental car so you can get to work, or even missing work due to your injuries is very stressful. You are vulnerable, and insurance companies prey upon your vulnerability through a scheme called "Swoop and Settle." Knowing you're under stress, they move in fast to lock you into a cheap settlement of your claim before you know the full extent of your injuries or rights. Medical providers often require reimbursement for their services from your settlement, and if you settle for an amount that is too low, it could cost you thousands of dollars. The best way to avoid the insurers' "Swoop and Settle" scheme is to seek out advice from a trusted lawyer who can help you understand your rights. The State Bar of Texas operates a toll-free referral and information service at (800) 252-9690. Don't fall prey to insurance company abuse! 

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