If another party in Arizona injures you, you may be entitled to compensation for your damages. It is helpful to understand the steps for obtaining a fair settlement for your personal injury claim with an insurance company and how to avoid mistakes that may hurt your claim.
File an Insurance Claim
The liability insurance company handles most personal injury claims for the party who caused the victim’s injuries. For example, all drivers must have mandatory insurance coverage for motor vehicles operated on roads. Hence, if a person causes a car accident in Phoenix, their automobile insurance company will handle the claim.
The insurance company might contact you because their insured notified them of the accident. If not, you can file a claim with the insurance company. An insurance adjuster will be assigned to investigate your claim to determine whether the other driver caused the crash.
Notify the Insurance Company
First, notify your insurance company as soon as possible. Your insurance policy likely has a policy that requires you to report incidents within a short period of time after they have occurred.
Second, be careful when talking to insurance adjusters and other parties representing the insurance company. Do not agree to provide a recorded statement. The company may “twist” what you say to allege comparative fault, which can lower the amount you receive for damages.
Gather and Preserve Information and Evidence
You have the burden of proving your claim. Therefore, you need solid evidence proving each legal element of your case.
If possible, begin gathering evidence at the accident scene, including:
- Photographs of the accident scene, including vehicles, hazards, skid marks, signs, etc.
- A video of the entire accident scene to capture anything you may have missed when taking photos
- The names and contact information for eyewitnesses and bystanders
- The name and badge number of the police officer investigating the accident
- Physical evidence, if applicable
For instance, after a car accident, the police will prepare an accident report. Request a copy of the report for your records.
Document Damages and Calculate Their Value
Arizona personal injury laws provide damages for injured parties to compensate them for their losses. You can recover money for your economic damages and non-economic damages.
Examples of damages in a personal injury claim include:
- Medical bills and expenses
- Scarring and disfigurement
- Physical therapy and rehabilitative care
- Lost wages and benefits
- Emotional distress and mental anguish
- Diminished earning capacity
- Pain and suffering damages
- Out-of-pocket expenses
- Loss of enjoyment of life and quality of life
- Impairments and disabilities
Careful documentation of damages will likely increase the value of your personal injury claim.
Keep copies of all medical records, receipts, invoices, bills, wage statements, and other evidence proving you incurred expenses and lost wages because of the accident. Your economic damages will equal the total of all monetary losses. However, you must have proof of the loss to include it in damages.
Non-economic damages cover your pain and suffering. Proving pain and suffering is more challenging. Make photographs of your injuries as you heal to “show” the severity of your injuries. Keep a pain and suffering journal with detailed notes about how you suffered during recovery, including emotional problems and tasks you could not perform.
Consider the Insurance Company’s Settlement Offer
The insurance company may make a settlement offer when it completes its investigation of your claim. Typically, an initial settlement offer will be lower than the value of your claim. However, consider the offer based on the value of your damages.
If you accept the offer, you will sign a settlement agreement. Beware: insurance companies prepare settlement agreements to benefit them. Before signing, read and understand the entire agreement, including the fine print.
Remember, a settlement agreement includes waiving your right to pursue further claims related to this case, which means you give up your right to file a lawsuit. Generally, the waiver releases all parties from all claims, even if you are unaware of a claim or party.
If you settle your claim before you complete medical treatment, you may receive much less than your claim is worth. You cannot know the total of your financial losses and the extent of your injuries until you complete your medical treatment.
Writing a Settlement Demand Letter
If the insurance company does not make a settlement offer, you can do so.
After you complete medical treatment, prepare a demand letter to the insurance company that includes the following:
- A list of the parties involved in the case
- A summary of the accident or incident that caused your injuries
- A discussion of the laws that hold the other party responsible for your damages
- A description of your injuries and losses
- A valuation of your damages
- An amount you agree to accept to resolve the case
You should include copies of medical records, proof of financial losses, and other evidence to support your settlement demand. However, be careful that you do not include items that are irrelevant to your case.
Negotiate a Settlement With the Insurance Company
The insurance company may take one of three actions in response to your settlement demand:
- It may accept the offer and pay the claim
- It may decline the offer and deny the claim
- It may issue a counteroffer for a lower amount
Typically, parties in a personal injury case negotiate back and forth to settle the claim. Each party will increase or decrease its offer until it can accept an amount. The company will prepare a settlement agreement and pay the amount you agreed to for settlement.
Should I Accept a Settlement Offer From an Insurance Company?
Each personal injury claim is unique. Therefore, the factors you use to determine whether a settlement offer is fair and reasonable could differ from another case.
However, you may want to consider a settlement offer seriously if:
- The offer pays for most of your damages
- The insurance company has a justifiable reason for denying some of your damages or lowering the amount of the damages
- You were partially to blame for causing your injury and could lose money if you go to trial
However, there are situations where rejecting the offer might be in your best interest. For example, the insurance company makes a settlement offer for much lower than your claim is worth.
Get Help With a Personal Injury Settlement in Phoenix, AZ
Settling a personal injury claim can be challenging if you are unfamiliar with personal injury laws, insurance claims, and the value of damages. Many people who settle their claims receive less than it is worth.
Before you accept a settlement offer, schedule a free consultation with our Phoenix personal injury lawyers at Runion Personal Injury Lawyers. Let our experienced accident attorneys review your case to determine if you are being treated fairly by the insurance company. Call us today at (602) 600-9000.
