Car Accident Insurance Claims: What to do when you receive a settlement offer

If you’re involved in a motor vehicle accident in South Australia whether you’re a driver of a motor vehicle, cyclist, motor bike rider or even a pedestrian, you may be able to make a claim under the compulsory third party insurance scheme. Any claim will be against the driver of the other vehicle, through that compulsory third party insurer. If your claim is accepted, you may be entitled to damages as a result of that. When you’re negotiating, you’re doing it with the compulsory third party insurer, their interests don’t always align with yours. At the end of the day, the claims are very complicated and can involve a lot of legal issues, and therefore its well worthwhile getting legal advice before you agree to any settlement to make sure your entitlements are being met and are what you require from that settlement. You don’t have to accept the first offer: Once you begin the negotiation process with the compulsory third party insurer, either you or they can make the first settlement offer. Often it will be the insurer that will make that first offer of settlement. In most instances, that’s a first offer only and it doesn’t reflect the true value of your claim. In our experience, most of those offers are significantly under what the claim should actually settle for. Seek advice from a specialist CTP Claims Lawyer: If you get a settlement offer from an insurer, or you’ve just had an injury and you’re not sure of your entitlements, best advise is to get advice and recommendations from a specialist in compulsory third party insurance motor vehicle accident claims. If for nothing else, just for peace of mind that you make sure you know your entitlements, you’re getting what it is you require out of that claim because you only get one shot at being able to settle these. If you agree to an amount, that’s all you’ll get so you can’t go back on that. If your injuries are ongoing, don’t accept an offer: Often the insurers will come to an injured person with an early settlement offer, it may not necessarily reflect the nature of the injuries, and quite often they’re made whilst the person is still recovering and getting treatment for those injuries. In our opinion, you can’t easily settle a claim whilst your injuries are still ongoing and you haven’t fully recovered. The issue is you don’t know what the injuries are going to be like in the future whilst you’re still recovering. You may improve more, they may get worse with time; until they’ve reached as good as they’re going to get, often called stability or maximum improvement, the recommendation is not to negotiate or settle a claim until you’ve got the doctors independent reports confirming you’re as good as you’re going to get and what those permanent restrictions are going to be. Seek legal advice before settling your offer: At Andersons we offer a thirty minute first free interview with no obligation, so there’s no harm in you coming in, having a chat, getting independent professional advice about your matter. If we can assist, we can then help you ongoing, if not, it may just be some simple advice to you so that you can move on with your claim. In most matters, we’re also able to claim back from the insurer, a contribution to your legal fees so that there’s only a small out of pocket amount coming from it. So most of the fees won’t be paid by you, it’s covered by the insurer. Again, that’s something they won’t tell you readily. For more information and to read the full transcript visit andersons.com.au