While That First Offer From Insurance Is Tempting, Our Texas Car Accident Lawyers Encourage You to Wait
The pain from your injuries is just starting to set in, but your mind is already racing with worries about medical bills and lost wages. Then, the insurance company for the negligent driver calls with a settlement offer. It's tempting to grab it, eager for some financial certainty in this chaos. But before you say yes, take a deep breath.
At Dortch Lindstrom Livingston Law Group, we have extensive experience fielding the first offers from insurers after a car accident—and know they’re not always in your best interests. Here’s what we advise instead.
Why Insurance Companies Make Low Initial Offers
As for-profit businesses, their primary goal is to maintain a strong bottom line. So even when their policyholder is 100% at fault, an insurance adjuster is still instructed to offer low initial settlements to accident victims. There are several reasons why:
- They're betting on desperation. Insurance adjusters know you're facing mounting bills and may be out of work. They hope you'll accept quickly to avoid further hardship.
- They're testing your resolve. By offering a low amount, they're gauging how willing you are to fight for fair compensation.
- They think you don't know the full extent of your injuries. Many conditions, especially catastrophic spine or brain injuries, can take weeks or months to fully manifest.
- They want to settle before you hire a lawyer. Insurers know that accident victims with legal representation typically achieve better results and higher settlements.
Serious Consequences You Might Face Accepting the First Offer
Now, we’re not trying to make your circumstances seem worse. We simply know, as former insurance company defense attorneys, how insurers assess injury claims. This insight helps us anticipate what might happen in your car accident case and help prepare you accordingly. Here are some key points to keep in mind.
It’s critical for your health care providers to acknowledge what’s called your maximum medical improvement (MMI). This benchmark is important in personal injury cases, as it indicates your condition has stabilized and is unlikely to improve with or without further treatment. By accepting an early offer before MMI is determined, you risk settling for far less than you'll need for complete care.
And once you accept a lump sum settlement offer—whether it’s the first or the final—you’re required to sign a release that waives your right to seek additional compensation later, even if new symptoms surface.
Also, initial offers from an insurer often focus on immediate medical expenses. But what if your injuries require further rehabilitation? Or you need to be out of work for recovery longer than anticipated? Or you have accident-related pain and suffering that complicates life?
While a quick settlement might provide short-term relief, it can lead to long-term financial strain if it doesn't cover all your accident-related expenses.
What to Do When an Insurer Extends a Settlement Offer
If you haven’t arranged for a free consultation with us yet, it’s okay. Here’s what to remember:
- Don't accept immediately. No matter how enticing, resist the urge to accept on the spot. You have the right to review any offer carefully.
- Get it in writing. Ask for a breakdown of what the settlement covers. This allows you to review it thoroughly and discuss it when you come into our office.
- Don't give a recorded statement. Adjusters may try to get you to give a recorded statement, stating that it’s just part of the process. Politely decline and tell them your attorney will be in touch.
How Our Skilled Car Accident Legal Team Works For Your Fair Settlement
Don't let the first offer from an insurer shortchange your future. At Dortch Lindstrom Livingston Law Group, we understand insurance companies' tactics and how to counter them effectively. It’s our duty to make sure your claim includes all aspects of accident-related expenses such as:
- Current and future medical costs
- Lost wages, PTO, and bonuses
- Property damage to your vehicle and personal belongings
- Physical pain and emotional distress
- Long-term or permanent disability
Whether you’re in Texas, Oklahoma, or elsewhere in the country, we can help you pursue a proper compensation package.