When Might an Insurer’s Settlement Offer be Adequate?
Once you sign a settlement agreement with the insurance company, you forfeit your right to pursue any more compensation from the at-fault driver or his or her insurance company. That means the settlement needs to provide you with all the compensation you need for future medical expenses and other damages.
How can you be sure a settlement will provide what you need? What do you need to consider before deciding to accept the offer and sign it?
Below, the experienced attorneys at Phillips Law Group discuss the factors that should be considered when the insurance company makes a settlement offer. There are questions you or your attorney should be able to answer before deciding to accept it.
As this is a complex issue, injury victims should give serious thought to working with a licensed attorney with significant experience in these cases. The attorneys at our firm have been managing auto accident cases for decades and have recovered millions on behalf of our clients. We also take cases on contingency, which means no upfront fees.
Does the Settlement Cover Out-of-Pocket Costs You Have Already Incurred?
Your lawyer needs to make sure the settlement pays for all the out-of-pocket costs included in the demand letter, including:
- Injury-related medical bills
- Lost wages
- Vehicle repair costs
- Property damage
- And other out-of-pocket costs created by the crash
Before making a settlement demand, your vehicle accident lawyer in Phoenix should make sure your out-of-pocket costs have all been accounted for. It is important for injury victims to keep track of bills and receipts they receive during the claim. Make sure to keep everything in one place so it is easy to find. You do not want to be scrambling trying to find something when your lawyer is putting together a demand letter.
Will the Settlement Offer Provide for Future Out-of-Pocket Costs?
Typically, lawyers do not know what the potential future damages may be until the victim reaches the point of maximum medical improvement. That is why you should be highly suspicious of settlement offers made before that point. Unless healing has stopped and your injuries have been assessed by a licensed medical professional, there is no way to know the potential long-term effects.
With rare exceptions, you cannot reopen a claim once a settlement offer has been signed. You need to be sure the settlement provides you the compensation you will need after the legal process has concluded. Otherwise, you may be left trying to pay for things you cannot afford, which could result in you not being able to get the medical treatment you need.
Does the Settlement Cover Pain and Suffering and Other Non-Economic Damages?
One of the reasons car crash victims should hire an attorney is because they do not know how to calculate the value of non-economic damages like pain and suffering. There are a few ways this is commonly done, and you should make sure to hire an attorney who has significant experience calculating non-economic damages.
While it is true that money cannot make up for pain, psychological issues and an injury’s impact on your relationships or enjoyment of life, compensation is the law’s way of trying to put you back in the position you were in before your injury. Compensation could help pay for counseling to help work through the psychological damage done by your injuries.
Sometimes crash victims suffer from depression and anxiety, but these issues can be mitigated with medication. If your lawyer recovers compensation for these costs, you have one less thing to be concerned about moving forward.
At Phillips Law Group, our lawyers know how to calculate the value of non-economic damages. We know what factors to account for and can explain how you can help us in evaluating these damages.
What About Loss of Earning Capacity?
It is possible you will never be able to return to the same job you had before the accident. Your physical or psychological injuries may make that impossible. Even if you can go back to the same job, you may need to work less or change the way you do your work, which could hurt your future earning capacity.
A settlement offer needs to include compensation for damage to your future earning capacity, so you have the money you need to take care of yourself and your family. Various factors need to be considered when determining what loss of earning capacity may be worth. This may include education, training, skills, current position, potential for advancement, etc.
What Does Your Lawyer Think of the Settlement?
The attorneys at Phillips Law Group are committed to seeking maximum compensation for damages suffered by crash victims. When a settlement offer is made, it is very important to discuss it with your lawyer and learn what he or she thinks of it. If your lawyer thinks you should get more, ask why and what a fair settlement offer may look like.
At our firm, we are committed to responding quickly to questions and carefully explaining things, so you know what is happening with your claim.
Injured in a Crash Caused by Another Driver? Call for Legal Help
Car crashes can result in severe injuries that permanently alter victims’ lives. If the accident was caused by another driver’s negligence, victims may be eligible to seek compensation for past and future damages related to the crash.
The insurance company is going to be working against you, seeking to pay out as little as possible. Fortunately, you can hire an attorney to assist you. Phillips Law Group’s experienced attorneys are ready to help crash victims seek maximum compensation at no upfront cost.
No risks or upfront fees. Call 1-800-706-3000 .
Phillips law group is the best around!
Jasmine Delgado is an amazing paralegal. She was patient, kind and extremely knowledgeable. Highly recommend Phillips law group
Sophia H is a pleasure to work with! Thanks for all you do.
My Attorney Sean Davis and his paralegal Hannah Dustin worked on my case. They listened to the problems that I was having with my case and they both got right to work. First they found me a doctor that actually listened to my problems from my car accident and worked quickly to form a plan that was comfortable for me and the doctor. The doctor was the best and after a couple of procedures the pain in my neck was gone. Behind the scenes Sean and Hannah were working hard to get my case settled with the insurance company. They kept in contact with me on all aspects of my case. They settled my case much faster than I expected and for more than I was expecting. If you want two real professional legal people to work on your case, I would highly recommend Sean and Hannah to you. I cannot say enough nice things about these two. Thank you so much, Rickey Hart .
Definitely recommend! Awesome
Phillips Law Group does so much for the community!!! I especially enjoy seeing Juan Roque out there. This gentle giant always has a smile on his face and is a part of a caring and giving team.
A friend of mine recommended Phillips Law and I’m so grateful, because they were so wonderful, so down to earth, so professional. I felt like they were family.
Positive: Professionalism, Quality, Responsiveness, Value As someone who is familiar with the inner workings of the auto insurance industry I can whole heartedly endorse Steven J. Jones and Phillips law group as someone I would want on my side should litigation take place. They handled my case professionally, honestly, and with satisfactory results which I would not have expected without enlisting their help.
Jasmine , did a great job . Highly recommend!!!!!
My review is for Kathy Hudson a legal assistant at the law firm. She is great! She is very professional and a fair based person. She was never rude to me and always called me back. She listened to me and had my best interest as number 1. Mr Nasir who is a supervisor at law firm also was very professional and helpful. Not sure if spelling his name correctly but sorry if not. As far as mr Ross and the lady that runs the front desk reception I would say they are the most unprofessional and rude people I have met at a law firm in my life especially beings they were representing me. But Kathy made it overall a better experience. Thx Kathy.