How Are Personal Injury Settlements Paid Out?
If you secure compensation through a personal injury settlement, how and when you get paid depends on certain factors.
It is the insurer claims adjusters and attorneys that will handle your settlement negotiations and payouts, and so if you bypass legal representation, you risk undervaluation of your case.
Once victims sign settlement releases, insurers close cases permanently. No second chances exist to recoup further compensation from the claim. Our experienced Atlanta Personal Injury & Car Accident attorneys have the skills to maximize initial settlement value, accounting for all present and future accident-related damages.
The Process of Getting a Settlement Payout
To receive compensation after an accident, injury victims must file claims against the at-fault party’s insurance provider. For car crashes, either your own collision insurer reimburses damages then subrogates from the negligent driver’s liability insurer, or you directly claim against the at-fault motorist’s policy.
With slip-and-fall incidents on private property, the property owner’s insurance covers injuries if they failed to maintain safe premises. Defective product cases involve claims against manufacturers’ insurance for releasing hazardous items.
Regardless of the accident’s cause, the negligent party’s insurer ultimately provides compensation once the liability investigation is completed. Payout timing depends on claim complexity. Small claims may resolve quickly, while severe damages warrant lengthy review.
Claimants enhance their position by retaining legal representation to demonstrate proof of fault and losses. Insurers initially offer conservative settlements to limit payouts. With attorneys fighting for their full owed compensation, claimants recover greater damages.
Determining How Much Your Case Is Worth
Your attorney will use two types of damages to determine how much settlement you’ll get. The first is economic damages, which represent actual costs from a defendant’s wrongdoing. These expenses can include property damage, lost wages, and medical costs.
The non-economic damages include pain and suffering and are a bit complicated to put a value on. But it’s possible with the right formulas and expertise.
How Your Settlement Will Be Paid Out
- Lump sum or installments – You can take the full settlement upfront or opt for multiple installments over time. Installments provide predictable income.
- Medical liens – Any pending medical bills related to the incident may be directly paid out of the settlement to your healthcare providers.
- Attorney fees – Your lawyer’s contingency fee percentage will be deducted from the total settlement amount.
- Timing – Smaller settlements may disperse quickly. Cases requiring court approval can take months, with installments distributed on a schedule.
- Structured settlements – These involve compensation through an annuity, which provides tax advantages and guaranteed fixed income over many years.
- Location – State laws affect distribution timing and installment payment regulations. Georgia has specific structured settlement procedures.
The personal injury settlement process can take anywhere between a few months to a few years. Often, filing a personal injury lawsuit shows that you mean business and can hasten the process.
Contact Atlanta Personal Injury & Car Accident Lawyer Today
If you or your loved ones have been in an accident, it is important to understand the options for maximizing your settlement value depending on your needs.
Our Atlanta personal injury attorneys at Spaulding Injury Law guide clients through the payment process and ensure your rights are safeguarded. Contact us today to start the claim process.
When you become our client at Spaulding Injury Law, you’ll be represented by a thoroughly experienced Atlanta personal injury attorney like Theodore A. Spaulding. For over 15 years, Mr. Spaulding has helped victims of negligence across the state of Georgia resolve personal injury cases, and he’s received a remarkable number of awards and honors from the legal community recognizing his commitment to clients and to the metro-Atlanta area.
Mr. Spaulding has been named one of the Top 100 trial lawyers in Georgia by the National Trial Lawyers for six successive years.
He is honored as a lifetime member of the Million Dollar Advocates Forum ® by the Top Trial Lawyers in America ®.
Charter Member of the Distinguished Justice Advocates.
Member of the Atlanta Bar Association.