Our Arms Are Open When Those Good Hands Are Around Your Neck

If this is your first time reading my blog, you may not know how I feel about Allstate Insurance Company-

I personally think they are the worst automobile insurance company anyone could possible have, period.

Many articles and posts have been written about the company I commonly refer to as "Allsnake":

Don't get upset-get even. However, you need to know what you are up against and be willing to fight them to change this horrible disparity. We are here to help even the playing field. Call us today at 864-231-7171 or visit our website.  

A skit I put together based on my dealings with Allstate:

 

 

Allstate's Colossus Insurance Claim Software Exposed By Insider for Low Balling

I have been trying to tell everyone as loudly and as often as I can, Allstate Insurance Company is evil. Finally someone from within the Allsnake lair sought the warm sunlight through the confession of his sins against humanity while working as an employee of the snake.

Tony Bartelme, with The Post and Courier , reported "Storm of Money: Insider Tells How Some Insurance Companies Rig the System." The insider was actually an Allstate employee and I'm sure Mr. Bartelme was wanting to use a broad stroke but let's keep our eye on the head of this evil snake-Allstate.

Since it's hard enough to encourage people to read, I will provide very simple, concise, excerpts from the article for those individuals in a rush so that they may better visualize those good hands  wrapped around your throat:

  • Colossus is a program that calculates how much a person might be paid for an injury claim;
  • Mark Romano was the Allstate insider that came forward in the article and was considered Allstate’s Colossus “subject matter expert”;
  • Romano discovered that if he used Colossus the way Allstate did, he could save its new Encompass division millions of dollars by “turning the knobs” of the software — paying people less in claims than they would have otherwise gotten;
  • In South Carolina, for instance, CNA had divided the state into two territories — the “Liberal” area around Charleston and the “Conservative” region elsewhere. Allstate renamed the territories “Charleston” and “Palmetto.” By using Allstate’s Colossus tuning methods instead of CNA’s, Romano could reduce payments in the Palmetto region by 18 percent. Savings were even greater in the Charleston area — a 57 percent reduction. That meant the Allstate version of Colossus would turn a $10,000 claim in Charleston into a $4,300 payment!;
  • People were being hurt by Colossus, and it was tearing him apart. He couldn’t turn the knobs anymore;

I know you are already tired of reading the obvious points that are being made about how evil Allstate Insurance Company has been over the past few decades. Don't worry, it won't effect your life until you are violently, rammed by someone covered by Allstate. Then when you suffer through your injuries for months and an Allstate insurance adjuster enters your information into a computer software program, manipulated to low ball you,-you might just remember why I was jumping up and down while pointing. 

Imagine that, Romano even published a short report entitled, "Low Ball: An Insider’s Look at How Some Insurers Can Manipulate Computerized Systems to Broadly Underpay Injury Claims."

WAKE THE &^%^& UP CONSUMERS!, will be the title of my new book.

 

Colossus Saves Allstate Billions in Handling Automobile Accident Claims: So What's $10 Million?

Allstate, the evil empire, is the worst insurance company anyone could have for automobile insurance coverage. They are even worse when you are injured or harmed by one of their negligent insureds traveling on the roadways in South Carolina.  They have spent good money on formulating software that helps minimize the human interaction in claims adjusting and at the same time limit the monetary payout.

In comes New York State Insurance Superintendent James Wrynn, leading four other states into an investigation into Allstate's Colossus software. As reported by the New York State Insurance Department:

 “Allstate has agreed to implement procedures to ensure transparency and fairness for consumers who have bodily injury claims,” Wrynn said. “The new processes ensure that claims will be handled consistently in different regions of the country, and consumers will have the right to get the information they need in order to understand how Allstate evaluates their claims and make sure they are fairly treated.”

More importantly Allstate has to modify their claims handling process in the following manner:

 

  • Providing notice to claimants that the Colossus software program may be used in the adjustment of their bodily injury claims;
  • Enhancing its management oversight of Colossus to ensure that it adheres to established criteria and a uniform methodology in selecting claims to be used to “tune” or modify the software to reflect recently settled claims;
  • Strengthening its internal auditing of Colossus and bodily injury claims handling to ensure adherence to written guidelines and procedures;
  • Consolidating its bodily injury claims handling practices into a single claims handling manual; and
  • Not establishing a policy or rule requiring claims adjusters to settle bodily injury claims solely on the value recommended by Colossus and not providing incentives for claims adjusters to settle claims at or near the value recommended by Colossus.

You can see the full article entitled:

 

Allstate Agrees to $10 Million Regulatory Settlement Over Bodily Injury Claims Handling Processes

 

To read more articles about Allstate, please see:

Allstate Policy Holders and Victims Should Know They Are Not in Good Hands

In legal circles, insurance circles, and amongst colleagues of both sides of the coin, plaintiffs and defendants,  there is an on going understanding of how awful Allstate Insurance claims adjusting and case evaluations are in comparison with reality and fairness. 

I tell everyone that comes in my office how bad Allstate Insurance company is when it comes to providing a fair or reasonable offer on their personal injury claim. Again, truth is an absolute defense to any potential libel or slander claims so I want to put forth the TRUTH about Allstate:

  1. Insurance adjusters for other insurance companies have resolved their portion of a claim with me and said, "Good luck"; "I wouldn't want to deal with them", "I don't see how they haven't been shut down by the state", in reference to resolving the other portion of the claims with Allstate;
  2. I have been told by an Allstate insurance adjuster that regardless of what my client's treating physicians said they were not paying the claim because she didn't think my client was hurt. (She may have had a college degree but no medical training or certification);
  3. Allstate insurance representatives (in SC) have openly discussed with me how bad the company is run, how ridiculous the claims process is for them to get any authority, and how a machine (Colossus) tells what your claim is worth, not a person;
  4. Allstate adjusters have told my clients (prior to my representation), that they can't possibly be hurt because of the collision they were in and need to settle the case because an attorney can't help them;
  5. A year or two ago they use to have a system to try and move cases and it didnt matter what happen or what injuries the client received. It was based solely on medical bills. From $0-2,500 they would offer $500; $2,500-7,500 a $1,000 and so on but no more than $2,000 regardless of the amount;
  6. I have had numerous cases where they offered to settle for less than or equal to the medical bills and then I file suit and go through the litigation motions only to settle for a reasonable value and absolutely no facts, medical bills, or circumstances arose that would merit such an increase other than the fact, I filed suit.  (one such instance was so ridiculous that my client had a $15,000 offer and absolutely nothing changed but litigation was initiated--we settled for nearly half a million); and
  7. More than half a dozen defense attorneys I work with have made this specific statement when discussing Allstate cases, "Well Trey, you know this is Allstate........."  (No other insurance company is mentioned in that regard).

Why do I hate Allstate Insurance Company so much?

  • I do not believe they conduct their insurance practice in good faith;
  • Their commercials grate on every nerve I have when I know how poorly they treat their own insureds (what you are if you have Allstate Insurance), much less victims injured by their insureds; and
  • Consumers (you if you buy anything) are not educated on the front line about what they are buying and then they are being taken advantage of by their own insurance companies.

My solution:

  1. I have decided to fight Allstate regardless of the time, resources, and value on the claim;
  2. I educate every person I see, regardless if they become a client, on insurance and how bad Allstate conducts claims;
  3. I remain an active voice for those that have been deceived, manipulated, talked down to, and dejected by uninformed, uneducated, and ignorant Allstate representatives; and
  4. I blog when my blood pressure gets sky high because an Allstate adjuster just offered me $1,200 over medical bills of $12,800 and did not dispute that their insured was at fault or the injuries my client received. When I asked the reasoning for the offer and he gave some BS answer I made the comment that I don't know why I even ask anymore and he said, and I quote verbatim, "Yeah, I don't know either. I came from another claims office and it just seems like a waste of time."

I am always open to hearing the other side of this issue or in lieu of no one having anything good to say about Allstate either, more war stories of how bad they are.