Why Do Some Personal Injury Cases Fail To Settle?

By Lance Williams


Victims of motor vehicle accidents in Gastonia, NC may be eligible to receive compensation, in the form of a settlement, from the insurance company of the at-fault driver. What many people don't know is that most Personal Injury cases settle outside the courtroom. There are two reasons why most don't go to trial: first, because taking PI cases to trial is both costly and time consuming for all involved and, second, because it's easier for the victim and insurance agency to agree upon a fair price for compensation. However, some Personal Injury cases aren't reached through settlement. Here's why some Personal Injury cases in Gastonia, NC fail to settle.

One of the most common reasons personal injury cases fail to settle is that the insurance company handling the claim decides to deny the claim. Typically, this means that the insurance adjuster assigned to the claim believes that the insurance company is not legally required to pay any amount of money to the victim. Because of this, the insurance company refuses to negotiate a settlement and the victim decides that it is not worth the time and money required to pursue the claim further. Generally, this decision will be made after the insurance company conducts an investigation. However, this investigation is not always flawless. Because the investigator is an employee of the insurance company, the investigator has an incentive to help the insurance company instead of the victim.

Another reason personal injury cases fail to settle is due to an inadequate settlement amount offered by the insurance adjuster. Typically, extending a low settlement offer is a common first step in negotiations by an insurance adjuster in order to limit the payout. However, most insurance adjusters will use that number as an initial offer and are willing to negotiate up to an amount that works for both parties. In certain rare situations, either due to the adjuster's attitude or negotiation style, the adjuster will refuse to budge and offer a reasonable settlement. Because of this, the insurance company refuses to negotiate a reasonable settlement and the victim decides that it is not worth the time and money required to pursue the claim further.

When an insurance company either denies a claim or fails to offer a reasonable settlement, the victim of the accident must decide how to proceed. Although these actions by the insurance company make the case more difficult, the actions could just be an elaborate bluff by the insurance company to see if the victim will go away. Generally, if the victim wants to proceed and the attorney believes there is a legitimate claim, a personal injury attorney can and will file a lawsuit to begin the legal process of bringing a personal injury case to a trial. Because filing a lawsuit will require the defendant and the insurance company to respond and begin preparing for a trial, this tactic may result in further negotiations or settlement offers that may resolve your case.

If you or someone you know has been involved in a car accident, don't hesitate to Contact Us at Minick Law, P.C. for a free consultation with an experienced personal injury attorney about your case.




About the Author:



Popular Posts