Not all car accident claims get settled by the parties going to court. The involved parties can decide to settle the claim before or after their representatives file injury lawsuits. It is a more accessible and cheaper way to solve minor accidents and can resolve claims from any car accident type.
Most car accident settlement agreements include drunk, distracted, speeding, and reckless drivers. This article shares valuable information on car accident settlement agreements and how they work.
Car Accident Settlement Defined?
A car accident settlement is an agreement to resolve any claims or disputes between parties involved in an accident. The parties reach a common ground through negotiations with their legal representatives present before you file a claim for your injuries.
The settlement may include an agreement on compensation for medical bills, damages, lost wages, and the other costs incurred from the accident. Its primary objective is to resolve issues out of court, avoiding a trial’s expense, time, and uncertainty.
It would help to understand that a settlement is a way of bringing closure to the matter, not an admission of guilt. You can come into a car settlement agreement anytime, before, during, or after filing a lawsuit.
What to Know About Car Accident Settlements
Did you know you didn’t need a car insurance attorney to settle your car accident claim? However, there are several benefits to seeking the help of a professional. Here is everything you should know about car accident settlement agreements:
It Is a Binding Contract
Entering into a car accident agreement automatically and legally settles any disputed claim. It would help to note that settling a disputed claim with an agreement means neither party receives everything they want. Both parties compromised to reach a common ground.
The agreement binds you and the involved parties, and either party can request the court to enforce its terms once signed. Make sure you understand and agree to the agreement terms. It’d also help to see if your lawyer finds the settlement fair.
It Settles All Claims
Car accident settlement agreements apply to all car accident-related claims. Your attorney must investigate the cause of the accident to ensure all causes of action are identified and researched. Releasing a potential claim may lead to less compensation money.
It Releases All Parties
A car accident settlement agreement releases all liable parties for injuries and damages, even parties you aren’t aware of at the time of signing. Luckily, most insurance companies focus on entirely ending the claim by paying you the agreed settlement amount. Releasing all parties means you won’t file another lawsuit related to the accident in the future.
You Can Negotiate for Higher Amounts
You don’t have to accept the first settlement offer presented to you by the insurance company. Mostly, the first offer favors one party and is significantly lower than the accident claim’s value. Note that the insurance company doesn’t want to pay more than it must to settle your claim.
A personal injury attorney ensures you get a settlement offer in your best interests. The insurance adjuster might try to convince you to accept the presented request, but remember signing it ends all related claims.
You Don’t Have to Go to Trial
Opting for a car accident settlement agreement means you don’t have to go to trial even if you’ve already filed a lawsuit. As you prepare for trial, the discovery phase is where both parties exchange information and evidence.
Either party may decide settling the dispute serves their best interest instead of going to trial. There is a lot of uncertainty involved in court proceedings, and juries are unpredictable. You don’t have to go through your car settlement process alone. Find a reputable car accident attorney to help protect your best interests and provide worthy compensation.