Settlements: Should You Accept Right Away?

Insurance companies are always out to make money. To do this, they will often try to award the smallest amount of money possible in an auto accident settlement. In all likelihood, you could get more money if you took your case into court. The question then becomes whether or not you should accept a settlement. The following are some things to consider when making your choice:

Should You Accept the Offer?

The choice is yours, and there is no cookie cutter answer for all people. Accepting a settlement is certainly the easiest way to get some money quickly. This money can be used to pay your medical debt, pay for your expenses, and the like. However, it is not always the best option for you in many cases.

When you accept a settlement offer from an insurance company, you will have no further recourse. This means that if you need more money to cover damages due to your accident, you will be out of luck. The only reason the insurance company is offering you a settlement is so they do not have to pay you more money later. Under the law, you are entitled to be paid for all of your losses sustained in an accident which will include all current and future medical bills that stem as a result of your injury.

Most people are completely unaware of how much money they can get in a personal injury case. That is why settlements are accepted so quickly. You should not even consider accepting a settlement until you have completed all therapies and treatments for your injuries so that you know how much money you will be out.

How Will You Know When an Offer is Too Low?

As a general rule, all initial settlements are going to be low no matter what number they throw at you. You need to think about the value of your claim. This will include the damage to your vehicle, the total of your medical bills, permanent injuries, your disability stemming from the accident, time away from work, and anything else you had to pay for.

Is a Better Settlement an Option?

If you are offered a low settlement and you do not want to go through the process of a lawsuit, you can negotiate a better settlement. However, unless you have some sort of leverage, you will not likely see a major change. In fact, it could damage your ability to get more later if you choose not to go forward with the settlement. For instance, if you counter a settlement offer, they will now have you on record willing to accept a lower amount than what you could get later if higher expenses are discovered.