How Car Accident Settlements Work in Texas

A car accident settlement is a negotiated agreement between the injured person and the negligent party (usually an at-fault driver) or their insurance company. The insurance company pays a certain amount of compensation in order to resolve the victim’s claim. Settlements are an alternative to taking the case to trial and pursuing a jury verdict.

The important thing to remember about personal injury settlements is that once you accept the insurance company’s money, your case is settled. You can’t go back for more money later, even if your expenses turn out to be higher than expected. That’s why it’s critical to work with a car accident attorney who can ensure that your settlement covers all your injury-related expenses.

There is no simple answer to this question. According to the Insurance Information Institute, the average settlement for a car accident causing injury is $22,734 as of 2021, but that is an average, not a guarantee. An individual claim may be significantly more or less, depending on the circumstances.

A car accident injury settlement should include compensation for all your expenses related to the accident, including but not limited to:

• Past, present, and future medical expenses, including hospital bills, ambulance fees, surgery, physical therapy, medication, medical devices, and other costs.
• Lost wages and lost future income if you are unable to work due to your injuries.
• Modifications to your home or vehicle to accommodate a permanent disability.
• Loss of quality and enjoyment of life.
• Loss of consortium.
• Pain and suffering, mental anguish, and emotional distress.
• Property damage.

The value of your settlement may also depend on who was at fault for the accident and how much insurance was available to pay for your damages. Ultimately, only an attorney can tell you how much your settlement may be worth.

Unfortunately, there is no simple answer to this question either. The average time is between 9 and 18 months, but some cases can settle faster than that, and others drag on for much longer. There are several factors that can affect the timing of your settlement, including:

• How long your medical treatment takes, and how long it takes to either fully recover from your injuries or reach maximum medical improvement (MMI) – the point at which your condition has stabilized and further improvement is unlikely.
• Whether liability (fault) for the accident is disputed.
• The potential costs of your injuries.
• How difficult the insurance company decides to be.
• Whether you have to file a lawsuit (in Texas, you typically have up to two years to do this).

Remember, your case can settle at any point in the legal process, before or after a lawsuit has been filed. Even a case that goes to trial can still settle at any point before the jury reaches a verdict. If there are multiple defendants (for example, if two other drivers were partially at fault for the accident), then you may have separate settlements with each one, which might be on very different timelines.

If you’re wondering “why is my car accident settlement taking so long?”, there are several potential answers. Your case may be medically complex or involve other legal issues that take longer to resolve. Or, the insurance company may be deliberately stalling in order to put pressure on you to accept less money.

As with all parts of the car accident settlement process, ultimately, only an attorney can advise you on how to proceed.

While it’s theoretically possible to negotiate a settlement with the insurance company on your own, it’s not recommended. The insurance companies have extensive experience negotiating settlements. They do this every day, and they’re not on your side. They have teams of attorneys and adjusters working to protect their bottom line. With an experienced car accident lawyer on your side, you can level the playing field.

An experienced attorney can thoroughly investigate your accident, determine full compensation for your injuries, and handle settlement negotiations on your behalf. If the insurance company won’t make a fair settlement offer, then your attorney can take additional steps to put more pressure on them to settle. And because car accident lawyers work on a contingency fee basis, you won’t have to pay anything up front or out of pocket. The attorney’s fee is a percentage of the settlement, if you win. If you don’t win, you don’t pay.

If you’ve been injured in a car accident anywhere in Texas, your first step should be to get legal advice. The sooner your attorney starts their investigation, the better the position you will be in to reach a fair settlement. Contact a verified car accident lawyer in your area today.