Negotiating Your Settlement After a Personal Injury Accident in California

The purpose of negotiating your settlement in personal injury cases is to justify your damages to the defense in such a way that you receive the maximum amount of compensation available for your injuries and damages. Numerous factors can determine what your personal injury accident is worth, but partnering with a reputable Personal Injury Attorney is the first step to reaching a successful settlement.

How Settlement Negotiations Begin

In most personal injury cases, the negotiation process begins with a demand letter. A demand letter is normally written by an attorney and includes:

• The time, date, and location of the accident
• The name of the person/company/government entity at fault, along with their contact information (if applicable)
• Details of the injuries you’ve sustained directly from the accident
• Summary of damages incurred, which include medical bills, lost wages, and non-economic damages
• Supporting documents, which may include X-rays, MRIs, and other photos or videos of the accident if you have them

After a demand letter is sent, negotiation can begin. At the beginning of negotiations, either party will make an initial settlement offer. If your initial settlement offer is low, do not be surprised. The first settlement offer is intentionally low and it is recommended to never take the first offer. If you do end up accepting a settlement offer, it is important to note you will be giving up your right to pursue additional damages and claims against all parties involved in your accident.

Before you decide to settle, it is important to consult with an attorney. An attorney will help you:

• Protect your right to negotiate for a higher settlement
• Pursue damages against all liable parties through a lawsuit
• Manage your claim with the insurance if they refuse to negotiate a fair settlement

Factors that Can Reduce Your Settlement

Just like there are factors that can maximize your settlement, there are also those, which will reduce how much compensation you can receive for your settlement. These factors include:

1. Comparative negligence: if you are found partially at fault, your settlement can be reduced by your percentage of liability. This is made clear in California’s Comparative Negligence Law which states:
   1. “Under the pure comparative negligence rule, the state allows the plaintiff to claim damages for the 1% they are not at fault even when they are 99% at fault.”

2. Pre-existing conditions: pre-existing medical conditions unrelated to the accident could complicate and potentially decrease the settlement.
3. Lack of strong evidence: the inability to prove the liable party’s fault or carelessness in the accident can undermine your case and reduce your settlement.
4. Delayed medical treatment: delays in seeking medical treatment after the accident may count against you as it implies your injuries were not that severe.
5. Inconsistent statements: inconsistencies in your statement or re-telling of the incident can hurt your credibility and diminish settlement prospects

What NOT to Do For a Successful Personal Injury Settlement

Personal injury lawsuits will require you to provide lots of information. Whether it is through depositions, interrogatories, or in a courtroom, you will be recounting details of your incident under oath. So, it is important to know what you should not do leading up to these events and during them. In a personal injury case, you should not:

• Admit fault: avoid statements that can be construed as admitting fault.
• Neglect medical attention: Insurance companies will use delayed medical attention against you, saying your injuries were not that severe.
• Discuss the case on social media: you should keep your case private. The defense may use your posts against you and challenge the severity of the injury based on things you’ve said online.
• Settle too quick: it is recommended to avoid rushing into a settlement without fully understanding the long-term impact of your injuries. Quick settlements often do not consider future medical treatments or permanent damage.
• Surrender information or recorded statements without legal advice: you should always be wary of giving out recorded statements without an attorney present. These are often used to trick you into taking blame for your injuries.
• Misrepresenting your injuries: Honesty is crucial in personal injury cases and any inconsistencies may harm your credibility and settlement prospects.
• Ignoring insurance policy details: understanding the liable party’s insurance party is an important part of setting accurate expectations for your settlement. Ignoring the insurance policy can cause you to misconstrue the value of your case.

When Can I Receive My Settlement Payment?

After negotiations and agreeing upon a settlement, you will typically receive your settlement payment within about 6 weeks time after the liable party has received your release form. However, depending on the circumstances, certain issues can delay your settlement payment. These delays include:

• Bank holidays and banking delays
• Weekends
• Medical lien negotiations
• Subrogation payments to Medicare, Medicaid, or other programs that assisted with your medical expenses will have a legal right to a portion of the settlement.
• Wrongful death claims can also be delayed as a judge is required to approve the settlement

Steps to Receiving a Personal Injury Settlement After Negotiations in California

The outcome of each case varies widely depending on the circumstances. The specific details of each case will determine whether a settlement can be reached, however, there are standard processes each personal injury case must follow in order for a settlement to be paid out. These steps include:

1. Signing the release form: once a settlement proposal is made, an attorney will go over the details with you. If you approve, then the attorney will prepare a release form. This release form releases the defendant from any future liability in exchange for a specific sum of money. Both parties will sign this form, legally confirming the agreed-upon amount and that no one can sue for more money in the future.
2. The insurance company issues a check: the insurance company must pay the agreed amount and issue a check within 30 days from the day both parties have signed the release form.
3. The personal injury lawyer deposits the settlement check: an attorney will deposit the settlement check into IOLTA (Interest on Lawyers’ Trust Accounts). This account holds your money while the case is awaiting a final conclusion. The funds in this account will be used to pay for any outstanding medical bills, liens, and other expenses related to your case.
4. Medical bills and other debt negotiations: you will not be able to receive any compensation until your medical bills are paid. A personal injury attorney will negotiate your medical treatment with the medical providers to ensure you’ve received adequate care while also getting the compensation you deserve from the settlement. Medical bills are usually taken into account when discussing a fair settlement. This is so the injured party will not have their entire settlement spent one medical bills alone.
5. You receive your settlement: an attorney will provide you with a written invoice, detailing the settlement amount minus liens and legal fees such as attorney’s fees and contingency fees. Once you sign off on the invoice, you promptly receive your settlement check in the mail.

Get Legal Help with Your Personal Injury Accident

If you or a loved one have been involved in a personal injury accident in California, Maison Law is here to get you the compensation you need. Our team of experienced accident attorneys understand how to exercise every avenue of the law to aggressively pursue the liable party for the full extent of your medical damages. Contact Maison Law today for a free consultation and case evaluation. There are no hidden fees and you will not be charged a cent until we’ve won your case.