Suffering an injury in a car wreck can wreak havoc in your life, physically, emotionally, and financially. From a financial perspective, there may be medical bills to pay, a car to be repaired or replaced, and lost wages due to missed work, among other pressing issues. Therefore, settling with the at-fault driver’s insurance company and receiving a lump sum as soon as possible may sound appealing.
Accepting the first settlement after a car accident, however, is rarely the best idea. While assessing the first settlement offer, car accident victims can almost always expect an amount lower than what they would receive if they negotiated, and often less than what is attainable if a lawsuit is filed. Furthermore, once you sign the settlement papers, you lose the ability to demand additional compensation.
Beware insurance adjusters and low-ball offers
Insurance company representatives often call accident victims while they are still recovering to settle as quickly as possible. Their tone is usually friendly and sympathetic, as they offer to help the injured person to receive compensation. As amiable as they may be, an insurance adjuster’s job is to save the insurance company money by ensuring the car accident compensation first offer is as low as possible.
If an insurance adjuster contacts you after a car accident, you should never accept their first car accident settlement offer blindly. At the very least, you must educate yourself about personal injury settlements, and what may be available to you, before agreeing to anything. It is strongly recommended to retain a personal injury lawyer to advise you of your rights and negotiate a favorable settlement on your behalf.
The first offer is usually the lowest
Adjusters are out to save their companies money by getting you to agree the lowest possible car crash settlement. Furthermore, they expect and come prepared for a negotiation. For example, even if an adjuster knows right off the bat that the insurance company is willing to pay $10,000 to settle a personal injury case, the first offer presented will be much lower. Keep this tactic in mind if an insurer contacts you.
The best course of action is usually to reject the first offer and make a counteroffer, but don’t request the exact amount you are looking for in your counter. Instead, set your first counteroffer high and expect the negotiation to continue back and forth.
Wait until your case is ripe to settle
Settling with an insurance company right away has other drawbacks. For example, if you are still recovering from your injuries, you do not know the full extent of your medical expenses. It is important to let your accident-related medical treatment run its course, including surgeries, follow-up doctor’s visits, rehabilitation, and physical therapy, before accepting a settlement offer.
If you require long-term care, you should at least wait until you have an idea of what your future medical costs will be. While waiting to negotiate accident settlements for car accidents is a good idea, be aware of the Texas statute of limitations on personal injury claims, so you don’t lose your leverage.
Waiting to get a complete picture of your medical treatment and bills will help ensure that you do not get shortchanged by the insurance company. Once you settle, you cannot ask for more money, even if the injury ends up requiring unexpected, additional treatment.
Know what you may be entitled to after a car accident
Most people understand that they can recover the cost of their medical treatment related to an auto accident from the at-fault party. However, there are additional damages that personal injury victims can be compensated for if they prevail in court.
On top of reimbursement for medical bills, you may recover for lost wages, reduced future earning capacity and loss of household services. Non-economic damages can also be available depending on the case, including payment for pain and suffering, mental anguish, long-term physical impairment or disfigurement, and loss of consortium. Therefore, it is imperative to understand what damages might be available, and how to measure those damages, before signing your rights away to the insurance company.
Hire a skilled personal injury attorney to negotiate on your behalf
If you are injured in a car accident, the task of evaluating your case and negotiating a favorable car accident settlement offer with an insurance representative who negotiates for a living can be a daunting task. It can be especially stressful as you struggle to regain your health and get back on your feet. For this reason, most personal injury victims turn to a trusted attorney to review all the facts and advocate on their behalf.
Houston car accident lawyer, Richard Schechter, has over 35 years of experience negotiating with insurance companies and obtaining the best possible settlements for his auto accident clients. Contact us today to schedule a free consultation.
