You can always refuse the insurance company’s offer after a Georgia accident. If you find the settlement amount too low, you have every right to say no. Insurance companies often start with a low offer, hoping you’ll accept it quickly out of desperation. But remember, once you agree to a settlement, you usually can’t go back and ask for more money later.
This is why it’s so important to review every settlement offer carefully. If it doesn’t cover your medical bills, lost wages, and other accident-related expenses, you should consider refusing the offer and negotiating a better deal. Negotiating might seem daunting, but you don’t have to do it alone. A knowledgeable personal injury lawyer can fight for the maximum payout on your behalf. Your attorney will know the tricks insurers use to avoid paying their fair share and can demand the compensation you deserve.
Why Are First Settlement Offers So Low?
Insurance companies often start with low settlement offers simply because they want to save money. Like any business, insurance companies aim to stay profitable by keeping costs low. When you file a claim after an accident, their first offer might not fully cover your medical bills, lost income, or other losses. This is because they’re testing to see if you’ll accept a minimal amount, letting them close the case quickly and cheaply.
Insurers know that some people do not understand how much their personal injury cases are truly worth. Injury victims often feel pressured to settle because of financial needs or the desire to move on. Insurance companies count on this urgency to push for quick, low settlements. This strategy is effective for minimizing payouts and protecting bottom lines. However, it means that accepting an initial settlement offer is usually not in your best interest.
How Should I Respond to a Low Settlement Offer?
If you receive a low settlement offer, don’t rush to respond. Take your time to review the offer carefully. Understand what it covers and compare it to your own calculations of what you believe is fair compensation. Then, consult a personal injury attorney. A lawyer can give you reliable advice on whether an offer is fair and, if appropriate, negotiate on your behalf for a better one.
Your lawyer can also write a counteroffer letter for you. In this letter, they will explain why the initial offer is too low and state how much money you’re seeking. This can prompt the insurance company to continue negotiations. Remember, negotiating takes time and patience but can lead to a fairer settlement.
What Happens If I Decline an Insurance Offer?
If you decline an insurance offer, the negotiation process doesn’t end there. It’s actually a common part of the process. By saying no, you’re telling the insurance company that their offer isn’t enough to cover your needs. After you decline, you can present a counteroffer, which is a new amount you believe is fair for your claim. This starts a negotiation phase where both you, your lawyer, and the insurance company discuss and adjust the settlement amount.
During this time, your lawyer can negotiate on your behalf, using their knowledge and experience to fight for a better deal. If the insurance company refuses to provide an appropriate offer, your lawyer might suggest taking the case to court to demand the compensation you deserve.
Can I Counter an Insurance Company’s Settlement Offer?
If the insurance company’s offer is too low and doesn’t cover your needs, you have the right to counter with a new amount. To do this, your lawyer can help you calculate how much money you need to cover all your expenses. Then, they will write a counterdemand letter to the insurance company.
In your counterdemand letter, your attorney will clearly explain why the original offer falls short and how they arrived at your counterdemand amount. They’ll include specific evidence like receipts and medical reports to support your claim. Negotiating with an insurance company often involves a series of proposals and counterproposals like this. Your lawyer will handle the back-and-forth negotiation process, using their professional experience to advocate for a fair settlement.
When Should I Accept an Insurance Company’s Settlement Offer?
Deciding whether to accept an insurance company’s settlement offer is a big decision. Sometimes, accepting might be your best choice. You might want to say “yes” to a settlement offer if:
- The offer fully covers all your past and future medical expenses.
- You receive compensation for all lost wages due to time off work.
- The offer is close to or matches your own calculation of fair compensation.
- The evidence in your case is weak, making a higher offer unlikely.
- The insurance company’s policy limits won’t allow a higher payout.
- Expert opinions support the insurance company’s offer as fair and adequate.
- Your lawyer has advised you that the offer is reasonable, given the circumstances.
How Can a Personal Injury Lawyer Help Me with the Settlement Offer?
If you’re considering a settlement offer from an insurance company, having an experienced personal injury lawyer by your side can make a huge difference. A lawyer could help you handle your settlement offer by:
- Calculating the total cost of your medical expenses, both current and future
- Assessing the impact of the accident on your ability to work and earning potential
- Consulting with medical experts to fully understand your injuries
- Representing you in all communications with the insurance company
- Reviewing the insurance company’s offer to ensure it’s fair
- Evaluating offers based on similar cases and outcomes
- Explaining the legal terms and conditions of the settlement offer in simple language
- Advising you on the long-term implications of accepting the offer
- Negotiating with the insurance company for a higher settlement offer if necessary
- Preparing and filing any necessary legal documents to contest the offer
- Facilitating discussions to reach a mutually agreeable settlement
- Protecting your rights throughout the negotiation process
- Advising you on alternative legal actions if negotiations fail
Contact a Georgia Personal Injury Lawyer
Ready to fight for the fair compensation you deserve? Don’t let a low insurance offer hold you back. Contact Sherrod & Bernard, P.C. today for a free initial consultation. Our team has the knowledge and experience to help you through every step of your personal injury claim. We’ll work hard to pursue the settlement you need to cover your expenses and move forward with your life.
