Car crashes often mean tens of thousands of dollars in costs right away, as well as long-term losses caused by lowered income. It can cost hundreds of dollars just to tow your vehicle to a repair shop.
If you require medical care after the crash, your hospital bills could quickly start adding up to a significant amount, and your injuries could also affect your earning potential and lead to lost wages. When the other driver is at fault, their insurance provider may offer you a settlement to cover your losses and end their liability.
Once you sign settlement paperwork or cash a check, you will typically waive your right to future compensation even if you realize that you have costs that the settlement won’t cover. Before you approve a settlement agreement, you need to carefully evaluate it to make sure it is enough.
How much will insurance cover?
You can potentially claim coverage for all of your property damage and injury-related expenses up to the maximum policy limits. Property damage coverage can replace your phone pay for repair costs. It can also reimburse you for the diminished resale value of the vehicle after significant repairs.
Bodily injury coverage can pay for hospital bills and lost wages. There could be other secondary expenses that increase your overall claim value. Before you accept a settlement, you need to have a realistic understanding of your current expenses and also what future financial expenses you will have because of the crash.
Negotiating a settlement can be difficult
If you realize that the initial settlement offer is too low, you may have an uphill battle in front of you. Many people struggle to effectively advocate for themselves when dealing with an insurance company for a large crash-related claim.
You may need professional help both to determine the value of your claim and to handle the communication with the insurance company. When you have the right professional help, you will be less likely to accept a low settlement or to fall victim to high-pressure negotiation tactics. Understanding your rights following a motor vehicle collision can help you get the compensation you need from insurance companies or the other driver.