When you have been in an accident and seek compensation, it is easy to underestimate the complexity of the settlement process. You may assume insurance companies will offer a fair amount, and negotiating with them will be straightforward. This is how it should be under policy guidelines. However, the reality is often quite different.
Insurance companies like to drag out the legal process for as long as they can because they believe it gives them an advantage over you. The claims process is a lengthy negotiation, and insurance companies want it to last as long as possible. They believe they have the money you want and need, and you will jump through their hoops to get it.
You should hire a personal injury lawyer soon after your injury to enhance your chances of success in the claims process. With an attorney on your side, insurance companies may be less inclined to try to make your life more difficult because they know there may be repercussions for them. Remember that insurance companies care most about their own money, and take threats to their legal position very seriously.
If you do not already have a personal injury attorney representing you, now is the time to speak with one. Personal injury attorneys offer free initial consultations to prospective clients, where they will review your case and explain your potential legal options. You never have to pay a personal injury lawyer from your pocket, and you owe them only for their time and services if you get money for your injuries.
A Minnetonka personal injury lawyer understands how insurance companies operate and can handle their tactics. They can assess the actual value of your claim, accounting for factors such as medical expenses, lost earnings, pain and suffering, and future damages. Armed with this knowledge, they can negotiate with the insurance company to ensure you receive fair compensation.
A personal injury attorney cannot give you an exact timeline for your legal case. Every attorney should tell you that the time it takes to get your check depends on the facts and circumstances of your case and the individual insurance company you are dealing with.
How the Personal Injury Legal Process Works
You need to know more about the legal process to understand why a settlement may take a long time. Consider filing a claim as soon as possible after you have suffered an injury in an accident. Even though you may be hurt and tending to your health, you still need to keep your eye on the legal ball.
When you hire a personal injury lawyer, they will need to do considerable legwork before they can even file a claim or lawsuit on your behalf. You have the burden of proof to demonstrate two things when you file an insurance claim or lawsuit:
- Fault: Someone takes on the legal obligation to pay you when you have evidence that shows they were negligent and the cause of your injuries.
- Damages: You must prove your medical condition, namely that you have suffered an injury, and your condition has affected your life
Your Personal Injury Lawyer Must Work to Put You in Position to File a Claim
It can take time for your personal injury lawyer to investigate your accident and gather proof to show negligence. They may need to speak with witnesses and even work with accident reconstruction experts to get their help proving the cause. If you do not have sufficient evidence, the insurance company will deny your claim immediately.
Then, your personal injury attorney may need to work with additional experts to estimate the extent of your damages. You may need future medical care and be unable to work. Your injuries can be severe enough that you may even require additional assistance in your daily life. Either way, you need a detailed and precise calculation because the insurance company will scrutinize your numbers once you submit a claim.
What Happens Once You File Your Claim
Insurance companies usually learn their policyholder was in an accident fairly quickly, as policyholders likely have a duty under their policy to report what happened. Since they already know what is coming, you may believe they will prepare to act and deal with you once they receive your claim. Unfortunately, the insurance company has another set of motivations that come into play.
Nothing will likely happen after you first submit a claim. Insurance companies are not necessarily under the same legal obligations to respond to a third-party claim as they are to answer when their policyholder seeks money. Even if the adjuster promptly reviews your claim, you can expect it to sit on their desk for some time. The insurance company is in no hurry to respond to you, and the average insurance company can take well over a month to respond to a claim. There is some investigation and work that insurance companies must do to be in a position to respond, but they often take far longer than necessary.
Demand Letters May Mean an Even Longer Waiting Period
Your timeline may draw out even longer when your personal injury attorney files a demand letter on your behalf. Insurance companies know it must be thorough because they face a potential lawsuit if they do not meet your demand. However, they may use a demand letter as an excuse to take even more time to respond to you, and some insurance companies can take more than three months to give an initial response.
The Settlement Offer Is Just the Start of Negotiations
You can look at the insurance company's settlement offer as its opening gambit in the negotiation process. The only thing the settlement offer tells you at first is that the insurance company wants to resolve your claim eventually. However, it is not in a hurry to do it at first.
Depending on how they gauge the risk to them, the insurance company may feel like it has all the time in the world to move the legal process forward. They may sit in a reactionary position and consider the strength of your legal efforts.
The initial settlement offer will not be enough to resolve your case in practically every circumstance; its numbers may seem unrelated to reality. It may be shocking to learn the exact amount of the insurance company's initial settlement offer, especially when your personal injury lawyer has told you that your case is worth far more.
You Will Likely Continue to Negotiate with the Insurance Company
When the initial settlement offer is so low, you must choose how to proceed in the legal process. In all likelihood, your personal injury lawyer will advise you that it is in your best interest to continue negotiating with the insurance company to resolve your claim informally. At this point, you will reject the settlement offer, and your personal injury lawyer may advise you that now is the time to send the insurance company a demand letter.
Even still, insurance companies may wait to act, and they may respond by raising their offer after some time. However, they may only raise their offer incrementally. Your attorney may have to force insurance companies into doing the right thing, and it may happen glacially. They may only raise their offer into a more appropriate ballpark after multiple exchanges of offers and counteroffers. Remember you always have the right to submit a counteroffer as part of the claims process, and this is what often happens.
You Never Have to Accept a Low Settlement Offer
Once you can prove negligence, you have a legal entitlement to money. Not only that, but you are due compensation sufficient to pay for the entire extent of the damages you have suffered. The insurance company cannot impose a settlement offer on you because you always have the right to say no.
However, your personal injury lawyer must also pressure the insurance company, which takes time. Your personal injury attorney will use their legal experience as leverage to make insurance companies realize there may be consequences for their obstinance. Specifically, you always have the right to file a personal injury lawsuit that the insurance company must defend. A lawsuit is the last thing the insurance company wants or needs. Still, you should have a strong case before your attorney can be in a position to make any filings with the court.
Patience Is the Key to a Successful Legal Outcome
For you, the key is to be patient for as long as possible. Insurance companies are banking on the fact that you may get frustrated and want the legal process to end as soon as possible. They will place a settlement offer in front of you that you may want to accept in light of your difficult financial situation. This strategy is something insurance companies employ as part of many settlement negotiations because they believe time is on their side and not yours. However, being patient is the insurance companies' worst nightmare because they cannot push you around or bully you in the legal process.
You Can Get Financial Help During the Claims Process
If you are experiencing financial distress, there are ways you can get money for your claim while you are waiting for a settlement. If you have a strong case, a litigation finance provider may advance you money for a stake in your claim. They will get paid back if and when you receive money for your case, and you will have some money to use in the meantime for your medical care and to pay your bills. You will only owe the litigation finance company if you receive something for your case.
This assistance can help you overcome the critical, rough financial patches and continue fighting to get what you deserve.
You Only Get One Chance to Settle a Personal Injury Claim
Insurance companies will require you to do one thing in exchange for a settlement check. Before receiving payment for your injuries, you must sign a settlement agreement. One clause in the agreement states you release the insurance company from any further liability concerning the claim. The amount of your settlement does not matter because once you have accepted money from the insurance company and signed a release, you no longer have the right to return for more money. Thus, it is best to take the time to fight to get every dollar you deserve now because you cannot get it later.
How You Can Control the Personal Injury Claims Process
Unfortunately, there is much that is outside your control when you are filing a personal injury claim. One way to help yourself is to hire a personal injury lawyer as soon as possible after you have suffered an injury. Your personal injury lawyer will immediately begin to investigate your accident and gather the proof you must include with your claim. They can gather evidence, interview witnesses, and consult with expert witnesses to strengthen your case.
Even though your finances may be tight, you do not need to fear what a personal injury lawyer may cost you. The contingency law system means you do not have to pay a personal injury attorney out of your own pocket at any time. Not only is the initial consultation completely free, but you do not owe a personal injury lawyer anything if you do not receive a settlement in connection with your case. Your personal injury lawyer gets paid directly from the proceeds of your settlement, should you receive one in your case, eliminating any financial risk to you.
The insurance claim settlement process can be more complex than initially anticipated. To level the playing field and maximize your chances of a favorable outcome, hiring a knowledgeable and experienced lawyer from Fields Injury Law is crucial. They will serve as your advocate, negotiating on your behalf and ensuring you receive the compensation you deserve. Do not leave it to chance - hire a lawyer to guide you through this process and achieve the best possible result.
Steve Fields
Founder | CEO | Principal | Attorney
Steve Fields founded Fields Law in 2001 and quickly established a reputation with his Personal Injury clients for being a lawyer who truly cares. After more than 20 years, those clients continue to refer their friends and family whenever they have been injured or become disabled.
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