Disclaimer: This information is educational only and is not legal advice. It does not create an attorney-client relationship. If you need legal advice about your specific situation, consult a lawyer licensed in Maine.
Detailed Answer
When an insurance company tells you their offer is “final,” that statement is often a negotiation tactic, not a legal ceiling. Under Maine law and ordinary insurance practice, you have options. Below is a clear, practical roadmap to protect your rights and preserve remedies.
1. Ask for the offer in writing and a full explanation
Require the insurer to put the so-called final offer in writing and to explain how they calculated it. Ask for:
- a line-by-line breakdown (medical bills, lost wages, repair estimates, depreciation, policy limits, offsets);
- the policy provisions the company relied on;
- copies of any recorded statements, medical reports, or appraisals used to evaluate your claim.
2. Compare the offer to your documented damages
Gather and organize your evidence: medical records and bills, photos, repair estimates, pay stubs, and written statements from witnesses. Compare those totals to the insurer’s math. A low offer often reflects incomplete information or a failure by the company to value non-economic losses (pain and suffering) or future care.
3. Don’t sign a release or accept payment without understanding consequences
Many insurers label a check as a “final payment” or send a release form. Signing a general release typically ends your ability to seek additional recovery. Never sign or cash a “final” settlement check until you are sure the offer covers all your damages or after you consult a lawyer.
4. Send a written counteroffer or demand letter
If the offer is too low, respond with a written counteroffer or a formal demand letter that summarizes your damages, cites supporting documents, and sets a deadline for a response. Keep communications professional and keep copies of everything.
5. Check your policy for dispute-resolution clauses
Some policies include appraisal, mediation, or arbitration clauses for disputes (common in property claims). If your policy has an appraisal clause, it can force a valuation process outside of court. Read the policy or have an attorney or consumer counselor explain whether those clauses apply.
6. Use Maine consumer resources and complaint procedures
If you suspect the insurer handled your claim unfairly, you can file a complaint with the Maine Bureau of Insurance. The Bureau accepts consumer complaints and can investigate unfair claim practices or violations of Maine’s insurance laws. See Maine’s insurance code and consumer complaint info:
- Maine Insurance Code (Title 24-A): https://legislature.maine.gov/statutes/24-A/
- Maine Bureau of Insurance — Consumer Complaints: https://www.maine.gov/pfr/insurance/consumers/complaints.shtml
7. Consider alternative dispute resolution or court
If negotiations stall, you may pursue mediation, arbitration (if permitted), or a lawsuit. Small-value disputes sometimes can be handled in Maine District Court’s small claims procedures or through mediation; higher-value or complex matters commonly require an attorney. For court procedures and self-help resources, see Maine Courts self-help pages.
8. Preserve deadlines and evidence
Don’t let time run out. Important time limits apply to filing lawsuits and to taking certain policy steps. Preserve all records, photos, communications, and receipts. If you delay, you may lose legal rights.
9. Consider hiring a Maine-licensed attorney
An attorney who handles insurance claims can evaluate the offer, send a demand, negotiate on your behalf, and explain whether a bad-faith claim or suit is appropriate. For personal injury or larger claims, attorneys usually work on contingency (they get paid only if you recover). For property claims or complicated disputes, a lawyer can interpret policy language and advise on appraisal/arbitration clauses.
Hypothetical example
Imagine you have a moderate car injury claim. The insurer offers $3,000 and calls it “final.” You have $8,000 in medical bills, two weeks of lost wages, and continuing pain. You should:
- Ask for a written breakdown of how they calculated $3,000.
- Send a demand letter documenting the $8,000 in bills, wage statements, and a doctor’s note describing ongoing care.
- Refuse to sign any release until the offer covers your damages or you get legal advice.
- If the insurer persists, consider filing a complaint with the Maine Bureau of Insurance and consult an attorney about negotiating or litigating.
Helpful Hints
- Get everything in writing. Verbal statements are easy to misremember. Written offers, denials, and explanations are key evidence.
- Document your losses carefully: medical records, bills, repair invoices, lost-wage proof, and photos.
- Don’t sign a blanket release or accept a check labeled “final” without confirming the offer is adequate.
- Ask the insurer to explain policy limits and coverages in writing so you understand whether liability or coverage limits constrain the offer.
- If the insurer relies on a recorded statement to lower your claim, review that recording or transcript and correct errors in writing.
- If your claim is a property claim, look for an appraisal clause in your policy and learn how the appraisal process works before agreeing to it.
- Filing a complaint with the Maine Bureau of Insurance is free and can prompt agency review: Maine Bureau of Insurance — Complaints.
- For court options and small-claims information, check Maine Courts’ self-help resources.
Taking these steps preserves options. An insurer calling an offer “final” does not always end the negotiation. Proper documentation, a written response, consumer complaint procedures, and—when appropriate—legal help will put you in the best position to get a fair result.
Resources:
- Maine Insurance Code (Title 24-A): https://legislature.maine.gov/statutes/24-A/
- Maine Bureau of Insurance — Consumer Complaints: https://www.maine.gov/pfr/insurance/consumers/complaints.shtml