At-fault parties are responsible for damages caused to a person when they cause personal injury claims. Case by case, the settlement time for personal injury cases varies.
The settlement of a personal injury case may take a few months to several years. Settlement timeframes for personal injury claims depend on a number of factors.
You should notify your personal injury attorney's insurance company of your representation from the very beginning of your claim, along with requesting the disclosure of all insurance coverage. For insurance companies in Florida, they have a deadline of 30 days to respond. In addition, other parties in the case receive letters of representation. Police officers may be interviewed, witnesses contacted, and photographic evidence collected. A personal injury lawyer may hire an investigator to assist with the initial investigation if necessary.
The personal injury attorney will obtain your medical records and bills as soon as you have completed your medical treatments and reached maximum medical improvement (MMI) so that he can send a demand letter to the insurance company explaining how the other party is at fault and what damages the injured claimant has suffered. During the thirty days following receipt of the documentation to support the claim, the insurance company will review it and make a settlement offer. It is customary for insurance companies to give a thirty-day limit for evaluating a claim. An offer will usually be made by the insurance company to the injury lawyer. You will have to negotiate for a higher offer if the offer is not acceptable to you. If there are disagreements over the extent of the injuries, cause of the injuries, and/or liability, the negotiation process could last several months. The case may need to be taken to court if your personal injury attorney cannot settle it in pre-suit for a fair amount. In this article we'll discuss further why a Personal Injury claim may take a long time to settle.
A personal injury case may take longer than expected for three main reasons:
- Difficult legal or factual issues,
- the case involves a significant amount of money, or
- you have not reached a point of maximum medical improvement.
As a result, the case will take time to settle, unless you are willing to take pennies on the dollar in order to settle it. Let's examine this further.
Problematic Issue With the Case
Liability (the person who was at fault) and damages (how badly the plaintiff was injured) are two of the most important components of a personal injury case.
Liability is hard to prove (for example, both parties are testifying differently), the insurance adjuster is less likely to offer a reasonable settlement offer until the plaintiff's lawyer shows a willingness to fight by filing a personal injury lawsuit and hiring liability experts to prove negligence. If your case involves legal issues (e.g., the insurer believes you are ineligible to sue), the insurer is unlikely to make a significant offer until a judge has ruled on your right to sue.
Damages may also be a problem. For instance, the treating physicians might not be certain the plaintiff's injuries were caused by the defendant's negligence. Insurance companies will not make an adequate settlement offer until they have a doctor on record to testify to the fact that the defendant's action (or inaction) caused your injury.
The Case Involves Significant Money
A case with significant damages (lots of money) can take longer to settle. Insurers simply will not pay big money on a settlement until they have done their due diligence. They must investigate every aspect of the case until they are convinced that:
- They don't have an adequate defense to your claim
- that the injuries you claim are severe, and
- your credibility cannot be questioned.
In addition, insurance companies will sometimes delay settlements in order to see if the plaintiff will give up and accept a lesser settlement. It may be impossible for some claimants to wait a long time for compensation. The insurers are aware of this and will do their best to wait it out.
You Have Not Reached Maximum Medical Improvement
There is another reason you might wait a long time to settle your lawsuit: You are still undergoing medical treatment. The best time to settle a personal injury case is after you have reached your point of maximum medical improvement (MMI).
A maximum medical improvement means that you are as good as you can get, and your lawyer and you know the value of your case. When you are still in treatment, the full extent and nature of your injuries (and their impact on your life) isn't as clear as it should be.
Timeline For Settlement Negotiations
There are two ways to resolve your case: By settlement with the insurer of the at-fault party or by verdict from a judge or jury. In many cases, the speed at which your case can be settled out of court depends on the willingness of the insurance company to make a reasonable settlement offer.
A serious injury and a really strong case could result in someone settling your claim within days or weeks. It is possible that the insurance company is prepared to pay out the policy maximum as a settlement offer. By accepting this offer, you can receive your compensation without delay after signing the release of liability.
Insurance companies can press you into settlement talks for a period of time if they feel that you have a weak case, believe that you are exaggerating your injuries, or believe that they can convince you to settle for less. Occasionally, a mediator will be needed to assist in resolving the case through settlement.
Settlement offers that are too low or that do not cover your losses in full should never be accepted. After you settle, you cannot change your mind and ask for more money. It is important not to be pressured by an insurer to give up your rights early.
Ensure you are aware of the full extent of your damages and injuries before you settle. Never accept an offer without a definitive medical diagnosis.
Timeline for Court Action
In the event that your case isn't resolved through settlement, it will be resolved through litigation. In addition to being notified when your lawsuit is filed, the defendant will have time to respond. The court will schedule preliminary hearings. There will be a trial date set. Each side will gather evidence and construct a case during the discovery process. A court will also have to rule on motions that your lawyer and defense lawyer will file. Often, all of this takes a long time to complete - especially if the court is extremely busy.
The most important thing when trying to move forward with your court case is to respond promptly to court actions, to always comply with deadlines, and to show up on time. It is your attorney's responsibility to move your case forward as quickly as possible so that delays are kept to a minimum.
Obtaining a Settlement Check
A settlement check is obtained in the following steps:
- Signing a release. A release form, stating that the defendant will not be taking legal action to pursue additional damages for the incident in question, must be signed before the defendant's insurance company (or defendant alone) will issue a settlement check. Upon signing the release, you effectively protect the liable party from future claims resulting from the same injury or accident.
- Processing the release. Once you've signed the release form, the insurance company processes the data and issues you the settlement check. Usually, your personal injury attorney receives a check payable to both of you from the settlement.
- Depositing the check. The check will be deposited into an escrow account or special trust within days of being received by your attorney. Upon clearing the check, your injury lawyer will distribute the settlement funds. If there is an outstanding debt or lien, your attorney may have to allocate some of the settlement money to it. Make sure that you discuss with your lawyer whether any liens or unpaid debts exist in your case so you can be prepared.
- Deducting legal fees and paying you directly. Personal injury lawyers generally work on contingency, which means they don't charge you up front, but instead deduct their fees from the final settlement award. Your settlement money will be distributed to you when your attorney has paid off any remaining liens and deducted the cost of legal services (such as time spent on your case, court reporting, expert witness fees, private investigator fees, etc.). A client's contingency fee may differ depending on the attorney they choose to represent them. Because of this, it is always important to discuss a percentage deduction from your final settlement amount before the final settlement is approved. You should always confirm these details before engaging an attorney, even if they both have similar experience and past success rates. For example, one attorney charges a 45% contingency fee whereas the other charges 33%.
If you've recently been injured in an accident, contact us at 1-888 DOCS4PI and we'll match you with the best doctors or lawyers available in Broward County Florida. Learn more about how we can help here.
