To Accept or Not to Accept: Personal Injury Settlements

It is pretty confusing for many as to whether to consider settling a lawsuit is of particular concern in personal injury cases or not. Usually, the largest part of damages claims consist of pain and suffering, loss of income, housekeeping expenses, cost of future treatment and out of pocket expenses.

Since the plaintiff or injured party is usually in need of money because of the losses they have suffered after the accident, a proper balance needs to be maintained between a speedy settlement and making sure that the settlement is a fair reflection of the damages they have suffered. Typically, a fair settlement achieved early in a lawsuit puts more much-needed money in the hands of the injured individual. This is because legal costs will only get higher as the lawsuit moves towards trial. In case they are successful at trial, legal costs are recoverable as part of a damages award. But, one needs to keep in mind that those costs only represent a percentage of the actual legal costs they will incur in the course of the lawsuit.

A fair settlement can only be determined by time and information. In the context of personal injury cases, it is pretty common for the injured party to be doubtful for months or years as to the full extent of their likely recovery. An unsatisfactory settlement might leave them with money in hand that will not cover the actual losses they eventually suffer over the long term.

The main role of experienced legal counsel in this case is to determine what medical information will formulate a reliable assessment of the value of the claim. This also includes all damages that may persist and accumulate into the future.

In order to determine whether a settlement is fair or not, it takes into consideration issues of fault or liability. The possibility of establishing fault has many effects on the actual damages incurred. However, the plaintiff has to consider the risk of not being able to establish fault. Also, they might want to consider compromising their settlement position in recognition of this risk.

Even when fault can be established at a generic level, there may be reductions to a damages claim made by the court. These reductions are usually based on factors like contributory negligence and future contingencies. These very factors will also inform an experienced personal injury lawyer in determining a sound settlement position.

When you are injured in an accident and you think you have a claim, you should not accept any settlement offer until you have reviewed the offer, and your own personal circumstances, with a lawyer, experienced in the practice of personal injury law.

When you have been involved in an accident through no fault of your own, it is significant that you follow certain recommended procedures.

The party that is liable that is the person or entity responsible for causing you injury should also follow proper procedures and this generally involves them informing their insurance company of the details of the accident or potential of a claim against them.

An insurance company likes to be informed early of an impending claim against their client for a good reason. Mainly, this gives them an opportunity to be proactive in attempting to minimize the amount of the claim award.In other words, it helps them to make a ‘lowball’ offer in the hope it will be accepted.

Attempting to settle an agreed amount with you before you take your case further works in their best interests.Most of the times, an injured party might receive an unsolicited phone call or letter from the defending insurance company offering a compensatory deal subject to immediate acceptance within seven days.Also, they receive an agreement to waive any future claim against their client.

It is strongly recommended that you should not accept any such offer of accident compensation without first getting advice from a personal injury solicitor.

In the majority of cases, it is not necessary to instruct a solicitor to pursue a personal injury claim on your behalf.  In actuality, its main stated function is to lower costs of personal injury claims which might lead to lower insurance costs as well.

A solicitor usually assesses everything about your case and is motivated to work to your advantage to achieve the best possible outcome that the law will permit.

A good personal injury solicitor is one who:
●        instantly assesses if your claim has merit
●        provides an estimate of how long the process will take
●        negotiates with the insurance company to revise upwards any offer

A genuinely good personal injury solicitor is one who can look at your case and might seek more compensation for adverse consequences wherever applicable.

Such cases include:
● Loss of earnings and potential loss of earnings
● Loss of amenity (e.g.  if you are keen piano-player and lose a finger, your award amount may be adjusted commensurately)
● Pain and suffering including psychological injury
● Medical expenses incurred to date (but also likely future expenses)

In general, the claims adjuster will make a verbal offer to settle your personal injury claim over the phone. In case you and the claims adjuster have verbally agreed to a settlement amount, you need to send a letter to the insurance company confirming the amount you agreed upon. This specific letter is referred to as a “confirmation of settlement letter.”

When you are completely certain that you understand the terms of the release form and all of the potential consequences, you might sign the release form and return it to the insurance company. Make sure to obtain a copy of the release form for your records. In case the insurance company sent your settlement check with the release form, you can now endorse and deposit the check. When the insurance company did not send your settlement check with the release form, it should arrive within 14 days of the date you returned the settlement release to the claims adjuster.