The Rand Institute, a nonprofit think tank studied the issue and concluded that injured auto accident victims who hire an attorney typically recover 25% more money that auto accident victims who do not. This was true even after deducting the costs of hiring the lawyer.
Many insurance companies recognize the advantages of a plaintiff hiring an attorney and work hard to discourage it. Allstate was one insurer who aggressively pushed the idea that hiring a lawyer was not in the best interest of the injured plaintiff. One can only assume that Allstate pushes people away from counsel because the insurance company recognizes that no lawyer usually means a smaller payment.
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