DON’T TAKE THE FIRST OFFER THE INSURANCE COMPANY GIVES YOU
If you have been injured in a car accident, you have medical bills you may not be able to pay, especially if your injuries have kept you from working. The situation can be stressful. All you want to do is get the bills paid and move on. That can make the first offer proffered by the insurance company to settle your claim extremely tempting.
The auto insurance industry has a value worth $316 billion in this country. That is largely because they are extremely adept at underpaying the value of bodily injury claims or avoiding the need to pay them at all. It is vital for you to resist the temptation to accept that first offer.
At Jose Orihuela, Attorney at Law, I help injury victims like you negotiate insurance settlements in Houston, Webster, South Houston, Pasadena, League City, Clear Lake, Friendswood, Kemah, Dickinson, Bacliff, Alvin, Santa Fe, and Seabrook, Texas. My clients deserve fair compensation for a car accident, whether the insurance company likes it or not.
HOW DO INSURANCE COMPANIES RESPOND TO ACCIDENT CLAIMS?
If you file a claim against the bodily injury liability coverage included in the negligent driver’s auto insurance policy, the adjuster will open a claim. The insurer will request a copy of the crash report and conduct its own investigation to see if liability can be assigned to you or anyone other than its insured. That investigation will include a request to conduct and record an interview with you about the crash.
The adjuster will ask you to sign releases, authorizing them to obtain copies of your medical records, medical bills, copies of your employment file, and payroll records. They will be looking for ways to tie your injuries to pre-existing conditions and discount the cost of your medical expenses.
Then, the insurance company is likely to respond in one of two ways. It may go silent. Your calls, emails, and letters will go unanswered because the insurer hopes you will give up on pursuing your claim.
Or the insurer will quickly send you a settlement offer, and it will be a minimal one. The company will hope you will accept the offer.
WHY SHOULD THE FIRST OFFER BE REFUSED?
The initial settlement offer from an insurance company, if you get one at all, will be too low. It may not fully compensate you for the damages you have incurred to date. Because acceptance of an offer means you cannot ask for more money, the sum will certainly not compensate you for additional medical bills, absences from work, and long-term health issues you may suffer.
It takes time to ascertain the severity and extent of your injuries following a car accident. Although it may be tempting to “take the money and run,” you will not be receiving just compensation.
WHEN WILL I KNOW THE FULL COST OF MY DAMAGES?
At some point following a car accident, your doctor will determine that you have reached “maximum medical improvement” or “MMI.” This does not mean you are back to the physical condition that you were prior to sustaining injuries in the crash. It means that you have recovered to the highest extent you can, given your injuries, even if you will never be the same.
If you suffered a whiplash injury in the accident, you may continue to have headaches and neck pain for the rest of your life, even if you have received all the medical treatment possible. That is a maximum medical improvement.
Likewise, if you fractured your ankle in the crash, underwent surgery, and completed physical therapy, you have reached MMI, even if you continue to have limited range of motion and develop painful arthritis in the joint.
Only when you reach MMI can you value the extent of your damages. If you continue to struggle with pain or disability or need future medical intervention, your damages will include future medical expenses, as well as pain and suffering. Your cumulative medical expenses and the value of your non-economic damages cannot be ascertained until you reach MMI.
You should know that the statute of limitations in car accident claims is only two years in Texas. That does not mean you must accept the insurer’s offer before the two-year deadline. We can stop the clock by filing a personal injury lawsuit and give you the time you need to reach MMI.
WHAT HAPPENS AFTER I REFUSE THE INSURANCE COMPANY’S FIRST OFFER?
The insurance company’s initial offer puts the proverbial ball in your court. Once you know the full value of your damages, which may take a long time, you will need to submit a settlement demand letter to the insurer. The demand letter must be accompanied by all documents which substantiate the value of your damages.
In most cases, the insurance company will not agree to your initial demand. Instead, settlement negotiations will begin and continue until you and the insurer agree to a settlement sum or reach an impasse. In case of the latter, you can file a personal injury lawsuit against the negligent driver. Attorneys for the insurance company will defend the at-fault driver in the lawsuit.
As you can see, doing all of this without hiring an experienced car accident attorney to represent you would be difficult. Your attorney will know how to gather evidence, value your damages, time submission of a demand letter, and give you the information you need to decide whether any offer from the insurance company is just compensation or not.
LEGAL GUIDANCE YOU CAN TRUST
You can count on my experience as a personal injury attorney in Houston, Webster, South Houston, and Pasadena, Texas. I have helped hundreds of clients injured by others’ negligence practice the patience they need to achieve the best results possible.
If you have been injured in a car accident, call Jose Orihuela, Attorney at Law, now to schedule a free case consultation. Talk to me before you talk to the insurance company.