Should I Accept a Low Settlement Offer From My Insurance Company?
- Move Your Biz
- Nov 20
- 1 min read
Your insurance company may offer a low payout hoping you’ll accept quickly. Jasmine Daya shares how to evaluate these offers — and when to push back.
Should I Accept a Low Settlement Offer From My Insurance Company?
By Jasmine Daya, Esq. – Geraci LLP
You finally hear from your insurer. But their offer is a fraction of what it will cost to repair or rebuild. You’re frustrated, confused, and wondering — should I take the money or fight?
Here’s what I tell every homeowner in this situation.
Why do insurers lowball?
Insurance companies are for-profit businesses. Their adjusters are trained to:
Pay the least amount legally required
Settle claims quickly
Avoid litigation at all costs
They know most homeowners won’t push back, especially without legal representation.
Signs the offer may be too low:
You received the offer before a full inspection
The settlement doesn’t include code upgrades, smoke cleanup, or debris removal
The payment is based on "actual cash value" when your policy includes replacement cost
The contractor quotes you have are significantly higher
What to do next:
Don’t sign anything until the offer is reviewed
Get your own damage estimates from a licensed contractor
Compare the settlement to your actual coverage
Have an attorney review it for free
“A low offer is often just an opening tactic. We negotiate and litigate to get you what your policy truly covers. Don’t accept less than what you’re owed.”
Let Us Review Your Offer
Send us the offer, your policy, and your photos and we’ll tell you whether you’re being lowballed. No cost, no obligation.
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