A settlement offer in personal injury law is a proposal from the at-fault party’s insurer to resolve a claim outside of court, aiming to cover the injured party’s losses, like medical bills, lost wages, and pain and suffering.
Settlement offers are typically calculated based on factors like the severity of the injury, the cost of medical treatment, and the impact on the injured person’s life. However, initial offers are often low, as insurance companies aim to minimize their payouts.
Settling for less than what you deserve could leave you struggling to cover medical expenses, lost income, and other impacts of your injury. At Lytal, Reiter, Smith, Ivey & Fronrath, our West Palm Beach personal injury lawyers understand the importance of fair compensation and want you to feel confident deciding whether to accept or reject a settlement. Here’s a look at what happens when you reject an insurance settlement offer and how a strategic approach can often lead to a stronger outcome.
Why you might consider rejecting a settlement offer
Insurance companies often offer quick settlements in personal injury cases, but these initial offers may be low, aimed at minimizing payout rather than fairly compensating the injured party. If the offer doesn’t cover your medical expenses, lost wages, and other damages, it’s worth considering a rejection. By working with a seasoned law firm like Lytal, Reiter, Smith, Ivey & Fronrath, you’ll have the support to assess whether an offer represents a fair resolution.
The immediate steps after rejecting a settlement offer
When you reject an offer, your attorney will usually enter negotiations with the insurance company on your behalf. This can involve presenting further evidence of your injuries, medical expenses, lost wages, and pain and suffering. Sometimes, your attorney may bring in expert witnesses, such as medical professionals or accident reconstruction specialists, to support the claim’s value.
Rejecting an offer sends a message to the insurance company that you’re serious about obtaining fair compensation and are willing to fight for it. However, this can also mean a longer process, as negotiations might require additional evidence gathering, which your legal team can handle.
Potential outcomes after rejecting a settlement offer
After a rejection, several paths are possible:
- Counteroffers from the insurance company: Insurers often respond to rejections with counteroffers. Negotiations involve back-and-forth offers until both parties reach an acceptable amount.
- Proceeding to litigation: If negotiations don’t result in a satisfactory offer, you can file a lawsuit against the at-fault party. In Florida, filing a lawsuit can be a powerful step, especially in cases where evidence strongly supports your injuries and losses. Statutes in Florida, such as the statute of limitations, impose time limits on filing personal injury claims, so acting promptly is essential.
- Preparing for mediation or arbitration: Many personal injury cases in Florida go through mediation or arbitration before reaching trial. These methods can help parties agree without needing a full court case, saving time and expenses.
Risks and benefits of rejecting a settlement
A fair settlement considers medical costs, lost income, future rehabilitation, and other damages, so the main benefit of rejecting a settlement is the potential for a higher payout. Risks include the possibility of a prolonged legal process and, in some cases, the risk of receiving a lower award if a court or arbitration panel rules in the insurer’s favor.
Working with experienced attorneys to maximize compensation
When rejecting a settlement offer, knowledgeable legal support is essential. Lytal, Reiter, Smith, Ivey, and Fronrath understand Florida’s personal injury laws and insurance practices and can evaluate whether a settlement offer meets your needs or if pursuing further negotiations or litigation is in your best interest. We’re committed to helping clients secure compensation reflecting their injuries and losses.
Contact us for a consultation
Navigating a personal injury claim can be challenging, especially when faced with complex decisions like rejecting a settlement. If you’re considering rejecting a settlement offer or want to know more about your options, Lytal, Reiter, Smith, Ivey & Fronrath can guide you through each step. Contact us to ensure you receive the compensation you deserve.
