It is also the required step before you can take your case in front of a judge or jury at a trial. Aclaim, on the other hand, is an informal process. It is used to avoid the formality associated with filing a lawsuit. It is a way to resolve and obtain recovery for damages or injuries, or resolve another dispute without the formal filing of a petition or processing through the court system.
It is a preferred way, and generally, is less costly and less time-consuming than the legal process of a pursuing a suit.