There are several ways to respond to a lower personal injury settlement offer. While it can be far from what you were expecting, you must remain professional when talking with an insurance company about its offer. Negotiating a fair settlement takes time, so it helps to stay calm as talks continue.
It is common for insurance companies to offer you less compensation for your claim just to see if you will accept it. However, you are not obligated to accept an insurer’s settlement offer. You may choose to accept or reject the offer—or negotiate. Please keep in mind that a lowball insurance settlement offer is often the first step in a series of negotiations. We advise that you do not respond to the insurance company until you have spoken with your injury attorney.
You Have the Right to Reject and Negotiate a Better Offer
There may be several offers and counteroffers before you reach an acceptable compromise with the insurance company. However, most people do not have the time or legal experience to fully protect their rights as a personal injury plaintiff. Our personal injury lawyer can assess the offer and negotiate for you.
Factors to Consider when Responding to a Personal Injury Settlement Offer
It is important that you consider certain factors when responding to a low personal injury settlement offer. Your personal injury lawyer can evaluate your current physical, mental, and financial well-being after you are injured.
This assessment may include:
- Your out-of-pocket expenses, such as medical bills, property repairs or replacement, and other injury-related costs
- The severity of your injuries and complications or long-term health issues
- If you have made a full recovery or are expected to soon
- Number of working days lost because of the injury
Services Your Personal Injury Lawyer will Provide to Negotiate a Settlement
In addition to reviewing your medical bills and health prognosis, your lawyer will communicate with the insurance company to understand why it made a low offer.
It is possible that the insurance adjuster does not have copies of all your medical bills. They might need more information about your injuries. Whatever reasons the insurance adjuster gives for a low settlement offer, your personal injury attorney can counter these claims.
Respond in Writing why the Settlement Offer Is Too Low
Medical bills and pay stubs are two ways to show damages from your injury. However, you and your lawyer should also describe, in writing, your non-economic damages because of the injury.
For example, because of your injuries, you:
- Cannot pick up your young child due to a broken bone or torn ligament
- Suffer anxiety attacks because of the accident
- Cannot work at the same job because you are temporarily or permanently disabled
What Your Written Response Should Include
A written response is a formal one that your attorney will draft. You should review this letter before sending it to the insurance company to make sure it represents your voice and the tone you wish to set with the insurance company.
Here are a few tips for handling your rejection letter to the insurance company about its settlement offer:
- It should be clear that you are not accepting the insurer’s initial settlement offer.
- You will want to address the insurance company’s position on why it made its offer. Address each of the insurer’s points individually to explain why you disagree with its findings. Be as neutral and matter-of-fact as possible.
- If the insurance company made any error in its assessment of your claim, you should be clear when addressing that in your written communication.
- State the settlement offer you are willing to accept and the reasons why. You can repeat the position you stated in the first demand letter. Your attorney can advise you on whether you should stick with the amount stated in your first demand letter or if you should present a counteroffer. This figure is usually less than the original amount requested.
- Always be courteous and professional.
Include any Overlooked or Omitted Information in Your Written Response
Your letter should be sure to include any details and information that was left out or overlooked in your initial demand letter. You can also include any recent information you have that supports your initial claim. Be sure to get a copy of the formal response before your lawyer sends it to the insurance company.
Let Your Personal Injury Lawyer Advocate on Your Behalf
You should not have to deal with insurance companies after an accident. This is particularly important if you are taking medications that can temporarily cloud your judgment. Your personal injury lawyer can negotiate on your behalf.
- Miller & Associates, PLLC™ has helped many injured people with an acceptable settlement offer. While our past success does not guarantee an outcome, we will do all we can to recover potential compensation.
No Recovery, no Fee
Sometimes people are reluctant to call their personal injury attorney to help with an insurance claim or settlement because they think it is too expensive. Our personal injury lawyers work on a contingency basis only.
You do not pay us unless and until we recover a financial award for you. This allows you to concentrate on feeling better as you recuperate from your injuries.
What to Expect if You File a Personal Injury Lawsuit
Texas law allows you two years from the date you were injured to file a personal injury lawsuit. Please keep in mind, however, that taking a case to court does not guarantee financial recovery in your case.
Civil trials may take months to resolve. Depending on your health, this might not be the right choice for you. You also tend to receive compensation from a settlement faster than through a verdict.
You Cannot Negotiate After You Accept a Settlement Offer
When you accept a lowball insurance settlement offer, you must realize that this is a legally binding arrangement. You cannot renegotiate, send a new claim, or file a lawsuit.
That is why you should have your personal injury lawyer review the terms and conditions before you respond to a low personal injury settlement offer. Your lawyer can answer your questions if you choose to accept or reject the offer.
Call Us to Start on Your Free Case Evaluation
A personal injury lawyer from D. Miller & Associates, PLLC™, can help you respond to a low personal injury settlement offer. The right settlement offer for you is the one that helps you meet your needs so that you can move forward with your life after an accident. We want to help you get what you need and deserve.
Our firm accepts many types of personal injury cases, including auto accidents, truck accidents, workplace injuries, medical malpractice, and more. We will evaluate your case for free and advise you on any legal options you have. Please call (713) 850-8600 today.