Parties involved in personal injury claims can choose to negotiate or agree on common ground without a trial. This situation is usually referred to as an out-of-court settlement. An out-of-court settlement is usually done when both parties want to avoid incurring excess expenses or time in court.
The person who files a claim may choose to accept a sum of money or other forms of compensation. Meanwhile, your legal attorney should ensure a written agreement is signed by both parties for future reference. Other factors that should be considered before agreeing to an out-of-court settlement are further discussed below.
-
The Extent of Injury Caused
The first thing to consider before filing a personal injury claim is to examine the effect of the accident. This helps identify the damages caused and the required compensation, including lost wages and medical bills. Hiring a personal injury attorney will also ensure you get the right compensation. Your lawyer may also postpone the out-of-court settlement, especially when the injury is more serious than expected. Thus, don’t hasten to sign an out-of-court agreement during recovery.
-
The Expected Liability
Understanding the liability for economic and non-economic damages will help determine the offer to settle with. The degree of pain and suffering, and the value placed on losses, will be used to calculate how much a plaintiff gets in return. You need to carefully examine the situation to know if you have a higher chance of winning a court case. If a court case will most likely be in your favor, you may request a higher settlement offer.
-
Emotional Effect of the Injury
Some cases are withdrawn from the court due to the magnitude of their emotional effect. Thus, you should consider putting emotional and psychological effort into a settlement agreement. Psychological compensation also extends to families and friends affected by the accident. A doctor or therapist may be hired to examine the effect of the injury on every individual concerned.
-
The Reputation of the Insurance Company
Most defendants hire insurance companies to compensate on their behalf, with a belief to minimize the liability claim. In this case, your lawyer is expected to conduct background research about the insurance company and its reputation within the industry. You may proceed to a court settlement if the insurance company or defendant has a bad history of delaying settlement.
Rounding Up
A professional personal injury attorney will not hesitate to consider the essential factors needed for an out-of-court settlement. This will also help the defendant or insurance company to understand they can’t cheat you of your rightful claim. Research the legal counsel’s reputation for solving a similar case to get the best result.
