Settlement negotiations are inevitable if the injured party is in a personal injury case and tend to be complex and time-consuming.
An individual involved in an accident may be entitled to compensation for losses incurred due to the accident. However, more often than not, one has to negotiate a settlement with the at-fault party or parties to obtain said compensation. Very few personal injury claims are settled through trial verdicts. In most cases, the injured voluntarily either agrees to dismiss the case or decides to settle out of court.
The amount of money involved in such settlements varies, with some ranging in millions of dollars, while the lawsuit only takes about 53,000 dollars. Minor claims, however, range from 3,000 to 10,000 dollars, depending on the severity and nature of the injury sustained. Other factors, such as the gravity of the fault of the parties involved, also determine the amount paid as compensation. This is why the expertise of legal professionals, like those at Felix Gonzalez Accident and Law Firm, proves invaluable in navigating the intricacies of settlement negotiations.
How Does the Insurance Company Come In?
Most of the time, the party at fault in an accident will have liability insurance, where their insurance company pays for the injured party’s awarded damages. When the injured party makes a claim, the insurance company will investigate the extent of the injuries in order to determine the amount to be paid in damages. The insurance company then offers a settlement amount, which may not always cover the injured party’s losses. In this case, the injured party can reject the offer and ask for a higher settlement. Meanwhile, the insurance adjuster is only concerned about getting rid of the file quickly and settling for the smallest amount possible.
What Role Does the Personal Injury Lawyer Play?
A personal injury lawyer plays a critical role in settlement negotiations in a personal injury case. They can help the injured party understand the value of their claim and gather and present evidence to support it. They are very familiar with the tricks and strategies used by insurance companies to minimize settlement amounts and, hence, also help the injured party negotiate with them for a fair settlement. Personal injury cases tend to be complex, and each state has its own rules and statutes of liberty for making claims. Such intricacies may prove too difficult to navigate alone and without any legal experience. This is where a personal injury attorney comes in; they take care of all the legal matters, helping the injured party get their due.
How Are Settlement Negotiations Conducted?
Settlement negotiations in personal injury cases are typically conducted through “mediation,” a form of alternative dispute resolution through a mediator. The mediator, typically a neutral third party, helps the victim and at-fault parties to reach an agreement. During the process, the insurance company and the injured party will let the mediator know their respective positions.
Then, the mediator will work with both, helping them find common ground and reach a settlement acceptable for both sides. Meanwhile, the injured party must provide evidence of the losses for which they claim compensation, including medical bills and lost wages. The insurance company must also present its position and tendering documentation, such as medical and accident reports.
What Happens Next After an Agreement Is Reached?
Once the two parties have reached a settlement agreement, they will put the agreement terms in writing and sign. The terms of the agreement will typically include the settlement amount agreed upon and other terms like a confidentiality clause. Once signed, the case is settled, and the injured party releases the insurance company from its liability. However, if both parties do not agree, the judge or jury will step in.
Conclusion
Settlement negotiations are inevitable if the injured party is in a personal injury case and tend to be complex and time-consuming. Therefore, hiring a personal injury attorney is essential, as they help the injured party get a fair settlement.
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