“When should I accept a settlement from an insurance company?”
Plenty of people throughout the city of Denver and beyond have asked themselves this question, and for good reason. No matter what type of ordeal you’ve gone through, you want to ensure that you’re getting a fair settlement.
Settlements with insurance companies come in a variety of forms, from hail damage and auto property damage to flood damage and earthquake damage. However, at Law One, our primary focus is on personal injury cases and settlements with at-fault driver insurance companies, as well as companies covering under-insured motorists.
Our team will commonly base our valuation of a case on what a jury might do under the same set of circumstances. We often conduct jury verdict searches to find outcomes from actual jury cases tried in Colorado with similar fact patterns, injuries, and economic damages. These can provide the best guidance to determine whether or not an offer from an insurance company should be accepted.
When a jury is expected to render a decision, they are told to first decide whether there’s negligence, if the negligence caused the injury, and if so, to assign dollar value to the damages.
In Colorado, there are three categories of economic damages that the jury must consider if it finds negligence and causation:
Economic Damages
Damages such as medical expenses, loss of earnings, future medical expenses, and future loss of earnings. When adjusting a case, most insurance companies place a heavy emphasis on the economic damages and value based on the dollar amount of medical expenses.
Non-Economic Damages
Pain, suffering, and loss of enjoyment of life. At Law One, we spend time with each client to understand the effect that this event had on them, thus giving us the information needed to help the insurance company understand the effect on someone’s life and place greater value on the injury compensation.
Permanent Impairment
The juries are also asked to award a value for permanent impairment. Our team often speaks with the client’s medical treatment providers, normally MDs, to ask them to render opinions as to whether or not there’s permanent impairment, and if so the severity. We then also bring that to the insurance company for consideration.
In addition to the above information, part of the determination as to whether or not to accept an offer depends on a number of other external factors. The urgency (either of the client or the insurance company) to settle the case plays into whether or not to accept the settlement. Aggravating or mitigating factors can also play a role, such as aggravated liability in which a driver is intoxicated or distracted (often texting) while operating a vehicle.
We Can Help
The decision to accept or reject an offer from an insurance company isn’t one to be taken lightly. The Law One team has dealt with a wide range of cases with insurance companies, working with clients around Colorado on getting the best settlement possible.
Our team will work with you every step of the way, giving you honest advice about your potential settlement. If you have any questions about when to accept a settlement from an insurance company, feel free to call Law One at (303) 831-8313 to schedule a free consultation.
