Car Accident Claims
LexInter | March 17, 2023 | 0 Comments

Car Accident Claims 101: How Does The Settlement Process Work?

When a vehicular accident happens, victims experience stressful events in the aftermath. There are tasks to prove one’s innocence by gathering evidence and creating reports to support your claim. If you experience this unfortunate event, you can expect a challenging process, especially if you have not convinced the other party to provide the compensation you deserve. This article will discuss how settlement cases work and how it proceeds from the day of partial filing.

Settlement Agreement

Settlement Agreement 

When two parties have reached a compromise or an agreement, it means it’s settled. They are on the same page and are aware of the result or resolution. It is put into writing and signed.

In a personal injury case, the side of the victim and the insurance provider of the one at fault must reach a compensation agreement. When the case goes the court, the jury decides the outcome, wherein each group must reach a unanimous decision. The final decision is carried out by the parties, who must follow the settlement terms and payment.

The compensation is received through a check by the lawyer, who will deduct car accident lawyer fees, and the remainder will be sent to the victim or plaintiff. It will be for medical bills, living expenses while out of work due to sustained injuries, pain and suffering, and other related expenses while recovering.

Gathering Of Evidence And Filing

Once you accept the help of a personal injury lawyer, they will gather evidence by securing different types of evidence. They are photos of the area where the accident occurred, witness statements, physical evidence, police report, medical records, copy of CCTV videos, and personal accounts. The lawyer will then secure the evidence to help support your claims.

Your lawyer must establish negligence of the at-fault driver as the cause of the accident since most personal injury cases stem from negligent actions such as DUI or texting while driving.

Your lawyer will notify the at-fault party’s insurance company, stating why the policyholder has a legal responsibility to the plaintiff (you). It will also explain the injuries you suffered, the treatment you’re receiving, medical bills and other expenses, and income loss.

Car accident claims should take at most three weeks, and your lawyer must be following up with the insurance company. Once the other party responds, the negotiation for the settlement begins.

A Car Accident Lawyer Will Help You Avoid Financial Loss

The Negotiation

A meeting between the two parties is set once the at-fault side responds to the notice from your lawyer. The discussion begins with how both parties can resolve the case. Both sides will lay down factual issues, as well as other topics about options to take. Your lawyer will talk about the terms and the amount that both parties will try to agree on, with each party knowing how much the claim is worth.

Your lawyer must ask for a high amount in the letter or notice since you can expect the insurance claim adjuster to offer a lower amount. The insurance company will typically add that your claim is insufficient or lacking to dissuade your party from pushing the amount you want.

An inexperienced plaintiff would be discouraged and lower the amount if they handled the situation alone. But an experienced car accident lawyer will fight for you and the compensation you deserve. If both parties can agree on a compensation amount, you and your lawyer will accept it, concluding the settlement. Both parties will sign the settlement papers, and the dispute will end.

But if neither party can agree on how much the compensation should be, the settlement will shift into civil litigation, which only sometimes happens as it is expensive. The settlement agreement is then placed in writing, signed, and sent to the court. Your lawyer must build the best legal strategy even if you have strong evidence.

Why Aim For A Settlement Agreement

Both parties would want to reach a settlement agreement more than anything else because of the following:

  • When you and your lawyer can settle with the other party, that is already a win as it guarantees that you will receive the compensation as a lump sum or in a portion.
  • Rather than taking the case to court, it is the best course of action because it will use up resources (time and money).
  • Settlement agreements are private, unlike court records that anyone can easily search online.
  • Lawyer’s fees will be significantly lower.

A Car Accident Lawyer Can Wraggle With the Insurers

Once your party has agreed to the settlement and signed the necessary documents drawn by the insurance company, you will not pursue any more legal action. Settling out of court will mean you have accepted a lesser compensation than you would have won in a court battle. But as it will take time and money plaintiffs don’t have, they are also advised to avoid it.


A settlement process works once the plaintiff can gather evidence to establish the at-fault driver’s negligence in the car accident. The plaintiff’s lawyer will then file a claim and send a notice or letter to the insurance company. A meeting of the two parties will commence, and each will lay down the facts supporting their understanding of why compensation should be a certain amount. Once both parties reach a compromise, they have settled out of court.

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