QuestionHow does Colussus affect insurance awards?
AnswerDear Jim Minder,
Thank you for your question regarding "Colossus". This is a timely question because more insurance companies are using this software to adjust personal injury insurance claims, instead of relying upon an adjuster's evaluation of damages.
Colossus is software licensed to about twenty-five insurance companies to aid in predicting the settlement value of injury claims. The insurance industry maintains it is a useful tool because it considers a great many factors, and the settlement values are just a range for use in any way the insurer wishes.
That sounds fine, but in practice, Colossus has produced rigid results that do not reflect pain and suffering damages (known as "general damages"), nor is there any easy way for an adjuster to recommend more than the program spits out. (Who wants to be the one always asking the supervisor for additional claims money?)
The claimants' attorneys maintain that:
1) the Colossus software is only so good as the data input, and we never know what the adjuster has input;
2) that it does not consider interference with normal life activities;
3) that it ignores other valid indications of pain and suffering normally proved by lay testimony (i.e. the witness at work who can tell about the difficulties you are having);
4) that is places far too much emphasis on rigid medical coding from the doctors' offices, which do not include comments or observations made by the doctor regarding difficulties the patient may be having;
5) that the insurance industry is lying because rather than being just one tool used in evaluation and settlement, Colossus is instead the FINAL WORD ON VALUE that the insurance adjuster has to adhere to, or else risk unfavorable management reviews.
The bottom line is that juries are supposed to set the values of claims, and juries listen to and compensate for many factors Colossus has no way of measuring, such as pain and suffering, interference with enjoyment of life, and the like.
How do you know whether or not a insurance company is using Colossus to adjust a claim, and if so, WHAT SHOULD YOU DO ABOUT IT?
Doctor Settlement has an entire directory of free legal and insurance information specifically dealing with Colossus. www.SettlementCentral.Com has Colossus corralled!
Point your browser to http://www.settlementcentral.com/page0448.htm
Now notice the topics in this free module, on the right side menu: we have included four free letters to use if you believe the insurance company is using Colossus.
I trust this information was helpful to you, but do not hesitate to ask another question or a follow up should I need to clear anything up for you.
Best Wishes,
Doctor Settlement
