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How Long Does a Car Accident Settlement Take?

October 5, 2021

If you are involved in a car accident and sustain injuries, insurance companies and legal procedures should be the last things on your mind. You should focus on making a full recovery and getting back to leading the life you love.

If another driver was at fault for the accident, you may need a car accident settlement to receive full compensation for medical bills, lost wages, or property damages. However, car accident settlements can take months and even years, so it’s essential to have resources on your side to expedite the process and make it as painless as possible. 

This blog discusses the various influences that determine the length of your car accident settlement. Cases that go to trial often require an extended litigation process. However, there are several other factors that can affect the time it takes to reach a settlement. Having an experienced car accident attorney on your side will help you avoid the mistakes that cause settlement delays. 

The Paul Wilkinson Law Firm will help push your settlement to the quickest, fairest conclusion possible. We don’t settle for less than you deserve and we understand how to navigate legal technicalities to avoid delays. Continue reading to learn more about how long a car accident settlement can take. 

What Factors Increase the Amount of Time It Takes a Car Accident Case to Reach a Settlement?

Duration of Medical Care and the Last Treatment Date

In most cases, it’s wise to wait to file for suit until you understand the full extent of your medical bills and lost wages. Insurance companies often won’t offer a full settlement while the extent of your injuries and medical expenses are still up in the air. 

If the insurance company offers a settlement during the period when you don’t understand the full extent of your injuries, it will most likely be incomplete. Accepting a settlement before fully understanding your damages leaves you vulnerable to leaving settlement money on the table. 

The Amount of Available Car Insurance

When you have a substantial coverage amount, your case can take longer to settle. Insurance companies will take longer to settle if you have more coverage available than your damages require. 

For example, you might have a severe injury that costs $50,000 in damages and an insurance limit of $100,000. In such cases, insurance companies understand the jury will likely issue a judgment higher than the policy limit. The insurance company will issue a quick settlement offer to avoid paying the larger verdict issued by the jury. 

The Insurance Company or Defense Attorney

Some insurance companies have negative reputations, fighting virtually every claim filed against them. Defense attorneys can also carry this reputation. Insurance companies and defense attorneys can delay the process, bogging the settlement process down with laborious negotiations. 

Insurance companies might also have lawyers on retainer, meaning they don’t have to hire outside counsel. This motivates them to take their time with negotiations since it doesn’t financially hinder them. 

Cases Against the Local, State, or Federal Government

If a government agency was at fault in your case, you must file specific notices before the agency has to pay your claim. You will also need to adhere to strict requirements, and your claim might be denied or dismissed. As with most government agencies, there can also be bureaucratic delays. 

Cases Involving Medicare or Medicaid

If Medicaid or Medicare paid your bills, you would likely have to reimburse some or all of those payments. In these cases, you might need to dedicate a portion of your settlement to pay the lien. Most liens are negotiable, but having them will increase the time of your case settlement. 

When to Negotiate and When to File a Lawsuit

After the insurance company issues an offer, either accepting your terms or denying your claim, you have to decide how to proceed. You can choose from one of the following options:

  • Accept a claim offer 
  • Issue a claim denial 
  • Reject the offer and negotiate for a higher settlement amount
  • Reject the settlement offer and file a civil lawsuit for compensation

Because you most likely won’t be familiar with all of the legal details, you should consult a car accident attorney to help determine the best course of action. 

Phases of a Car Accident Lawsuit

Progressing your case to civil court requires ample preparation. You can separate the lawsuit process into five stages: 

  1. Pleading 
  2. Discovery
  3. Pre-trial 
  4. Trial 
  5. Post-trial 

These stages can take months or years to complete. Having a car accident attorney by your side throughout the process will put you in the best position to get the most out of your case. 

Determining Compensation for Your Injuries from the Car Accident

Various factors determine how much compensation you receive in your claim. One of the factors determining your compensation is the extent of your injuries. For example, if you have lingering injuries, calculating the full damages might take months or years.

What Causes Car Accidents to Settle Faster?

Quick Evidence Presentation

Adhering to the correct protocol following a car accident can help expedite your settlement process. Collecting the police report, photographs of the damage done to the vehicles, injuries, and eyewitness statements can all make the settlement process much less painful. 

The insurance adjuster will review all of the evidence and determine whether it’s worth it to fight your case in court. If they expect to lose, they will be less likely to drag the settlement process out. 

The sooner you present evidence to the court, the faster the insurance company has to decide whether they want to fight your case, and the less time they have to prepare a defense. Speedy evidence presentation puts the defense on the spot. 

Thorough Documentation

Because most insurance adjusters won’t issue a settlement until they have all of the necessary documentation, you need to send them the documentation, including medical records and proof of lost wages. Insurance adjusters use these documents to determine the worth of their settlement offer. 

Then they have to get their offer approved by their superiors. The larger the case, the longer it takes for the insurance adjuster to approve their settlement offer. 

The Insurance Company Having Enough Information to Set a Reserve

A case reserve is the amount of money an insurance company sets aside to pay your claim. If the adjuster sets the reserve too low, it takes time and effort to get the case re-reserved to a level that the insurance company can afford. 

Because this process can take a long time, you should notify the adjuster of the extent of your injuries as soon as possible. It’s worth noting that the amount on the insurance policy may limit reserves. 

Responsive Insurance Company

Reputable, responsive insurance companies are more likely to try and reach a fair settlement. However, even the best companies will wait for you to issue your medical bills and make a full physical recovery. Still, low-budget insurance companies make settlement offers for much lower than fair value. These companies hinder the settlement process. 

Conclusion- How Long Does a Car Accident Settlement Take?

Determining how long your car accident settlement takes doesn’t have a fixed answer. Aside from whether your case turns into a lawsuit and goes to trial, there are influencing factors that can either expedite or delay the process. 

Overall, car accident settlements can take anywhere from a few months to a few years. Because there are so many factors to consider in the settlement process, you should always consult a car accident attorney to help determine your best options throughout. 

Car accident attorneys don’t only have valuable experience in the legal process. They also understand which insurance companies and defense attorneys are more difficult to deal with and guide you through arduous negotiations. 

The Paul Wilkinson Law Firm understands how to get the most out of your car accident settlement. With over 20 years of experience fighting a wide range of personal injury cases, the Call Paul car accident attorneys know the ins and outs of car accident law and how to hold at-fault parties responsible if you suffer injuries. 

Contact us today to speak with one of our expert car accident attorneys and get the compensation you deserve. 

Personal Injury Lawyer at The Paul Wilkinson Law Firm | Website | + posts

The Paul Wilkinson Law Firm has been fighting for justice for over 12 years. We’re here to stand with you in your quest for fair and full compensation when you’ve been injured in an accident. We have recovered tens of millions of dollars in personal injury settlements and verdicts and have helped thousands of people get back on their feet after experiencing serious injuries.

Each of the attorneys at the Paul Wilkinson Law Firm specializes in personal injury accidents. All of our attorneys offer a hands-on approach to their cases and will aggressively fight in our quest for compensation. Feel confident that you are in the right hands with the Paul Wilkinson Law Firm.