Jill Kolodner | December 23, 2024 | Personal Injury
People injured by another’s actions face many hardships. They often require medical care, yet their injuries likely prevent them from working and thus earning enough to afford said care (or their insurance copays). In addition to dealing with these specific costs, they must also figure out how to pay their living expenses without a steady paycheck.
One way accident victims can address these challenging circumstances is by filing a personal injury claim. The goal of a personal injury claim is to place the financial burden of a victim’s injuries squarely on the at-fault party. A settlement or damage award can ensure the injured individual has the resources necessary to meet their current and future needs.
Factors That Affect Settlement Amounts
There is no average settlement across all personal injury cases. Every claim has unique factors that affect its value, which include the following:
Injuries Suffered
Your injuries will have the greatest influence on the value of your injury claim. More severe injuries will typically result in greater medical costs, as they are likely to require hospitalization, surgeries, and long-term physical therapy. You may even need to modify your home to accommodate your injuries more, such as by installing wheelchair ramps.
Severe injuries may also have a greater impact on your earning potential. You will miss more time from work during your recovery. You may need to change jobs or quit working, depending on your job duties and the effects of your injuries.
Type Of Claim
The nature of your claim can also affect its value. Businesses often have more resources, including insurance policies, surety bonds, and assets, to pay legal claims against them. For example, trucking companies must have at least $750,000 in financial resources to pay for truck accidents if they carry non-hazardous material and upwards of $5M if they carry hazardous materials.
Insurance Coverage
Most injury cases start with an insurance claim. Any settlement your lawyer negotiates will involve the other party’s insurer. Some common types of insurance that may cover a personal injury claim include the following:
- Homeowner’s insurance
- Renter’s insurance
- General business liability insurance
- Business property insurance
- Professional liability insurance
Liability insurance is a contract between the insurer and its policyholder that obligates the insurer to pay any covered liability committed by a covered party. The insurer’s exposure is capped by a “policy limit,” which varies based on the type of insurance and the premiums paid by the policyholder.
For example, Maryland requires vehicle owners to carry car insurance. The minimum policy limits for bodily injury liability (BIL) coverage include at least $30,000 per crash victim and at least $60,000 per accident. Conversely, a typical homeowner’s insurance policy includes $300,000 in liability coverage for slip and fall accidents and other on-premises injuries.
Once your losses surpass the insurer’s policy limits, you must decide whether to pursue additional compensation from the other party. It is often a difficult process, however, because many people do not have the assets to pay a judgment.
For example, suppose that you suffered $50,000 in losses after a car accident, but the other driver only had $30,000 in insurance. You might settle your case for $30,000 simply because the driver does not have a bank account, home, or vehicle they can use to pay the remaining $20,000.
Injury Claim Settlement Process
After filing an insurance claim, a claims adjuster will investigate your accident. If liability is clear, the adjuster will accept the claim and negotiate a settlement with your lawyer. Your lawyer will negotiate with the insurance defense attorney with the goal of maximizing your payout, but both sides will likely need to compromise to reach an agreement.
However, insurers can also deny claims and force your lawyer to file a lawsuit. Your case may still be settled after filing a lawsuit, but it is also possible that both parties may need to litigate the case until a settlement is reached.
In either outcome, a settlement’s terms involve a straightforward exchange. The insurer pays you, and you release your claims against its policyholder. Your claim ends, and you waive your right to assert it in the future.
You are entitled to pursue compensation for your economic losses, which encompass all the financial costs of your injuries, including your medical bills, lost income, and out-of-pocket expenses. Importantly, your compensation can cover both past and future costs.
You can also include non-economic losses in your injury claim. These losses account for the impact of the injuries on your life, including pain, mental anguish, and disabilities that erode your happiness and satisfaction.
Your Role In Getting A Fair Settlement
You can take several steps to improve your chances of getting a fair settlement. First, document the accident as thoroughly as possible. An insurer is more likely to accept your claim if you have strong evidence of liability. Take photos of the accident scene and get contact information for any witnesses. Most importantly, do not apologize or admit fault.
Second, keep records of your losses. Financial records, such as receipts, bills, and bank statements, can prove the economic costs of your injuries.
Third, consider visiting a hospital or doctor promptly after your injury. Your medical records will prove the nature and cause of your injuries. They will also help you establish any future losses you anticipate. For example, you might use your doctor’s records to prove your injuries may require future surgery.
Finally, remain patient. Insurance companies often use delays as a means of frustrating you into accepting a low settlement. Consult with your Baltimore injury attorney regularly to stay up to date on your case and determine whether your assistance is needed to keep the case moving.
Understanding The Value Of Your Case
Your case is unique, and the settlement you obtain will account for the losses you suffered. A lawyer can assess the value of your case based on the relevant factors and fight for the compensation you rightfully deserve.
Contact the Baltimore Personal Injury Law Firm of WGK Personal Injury Lawyers Today For Help
For more information contact the Baltimore personal injury law firm of WGK Personal Injury Lawyers to schedule a free initial consultation.
WGK Personal Injury Lawyers
14 W Madison St, Baltimore, MD 21201, United States
(410) 837-2144
WGK Personal Injury Lawyers – Dundalk Office
7329 Holabird Ave Suite 3, Dundalk, MD 21222
By appointment only
(410) 970-3080
