The hours, days, and weeks spent on a personal injury case can feel like being stuck in bumper-to-bumper traffic, unsure of the outcome and when you’ll be able to move freely again.
The moment your case is settled and the compensation you’ve been seeking is set to arrive, it can finally feel like you can put your foot on the gas pedal and GO…
All for your personal injury settlement check to get delayed, and you’re back to square one.
If delays are leaving you uncertain about what comes next, you’re not alone. Our North Charleston personal injury attorneys are here to help you understand what could be causing the holdup on your compensation, and steps you can take to help you move forward with confidence.
How Are Personal Injury Settlements Paid Out?
The path to a personal injury settlement may seem straightforward: you file a personal injury claim, it is approved, and you receive the compensation you deserve.
Unfortunately, the road between “approval” and “compensation” is often wrought with administrative and legal red tape.
Here are the key components of a settlement payout:
- Signing the Release: This document is signed by you, officially ending your claim and confirming that you will not pursue any further legal action in exchange for your funds or compensation.
- The Insurance Review: Once you sign the release, the document goes to the insurance company. At this point, the team will review the document and begin the internal process to issue the payment to you.
- Negotiations Begin: You may have thought all negotiations end once the claim is complete, but your attorney still has some work to do. Before funds are issued to you, your lawyer must negotiate and settle any outstanding medical bills or liens so you won’t get charged later.
- The Check is Sent…to Your Lawyer: By law, the settlement check must go to your attorney’s office, where it is deposited into a special account called a trust.
- Disbursement of Funds: Once the check clears, your personal injury lawyer will prepare a final settlement statement, documenting the amount, attorney fees, resolved liens, and the final amount you will receive.
What’s Taking So Long? Common Reasons for a Settlement Delay
The more hands your settlement check passes through, the more opportunities for delays there are. From insurance companies acting in bad faith to medical evaluations, here are some of the most common reasons your settlement check might be delayed.
A Complex Case
Personal injury claims can be complex, both in the accident itself and in the severity of the injuries sustained. In a car accident case, multiple drivers or passengers can delay settlement because more coordination is needed among all parties.
Car accidents can vary in terms of the injuries they leave behind. From simple cuts and bruises to a spinal injury, the more severe the injury, the more extensive medical treatment and evaluations may be required.
Bad Faith in Action
Unfortunately, sometimes the delay in your settlement is not always by accident. Insurance companies may, in some instances, act in bad faith to reduce, or even avoid, payouts.
Some “bad faith” practices by insurance companies may include delaying negotiations, requesting extensive documentation, twisting policy language, and refusing to settle, among others.
In these circumstances, it is critical to your claim to have a skilled personal injury attorney on your side to help battle bad faith practices.
Medical Treatment
Medical evaluations and treatment protocols can often extend the settlement timeline. Settlements are usually delayed until Maximum Medical Improvement (MMI) is reached, ensuring that all present and future medical costs are accounted for.
For severe injury cases, ongoing treatment and evaluations can extend the settlement until the full extent of the injuries is documented and a recovery plan is in place.
How A Personal Injury Lawyer Can Help You During a Settlement Delay
As one of the leading personal injury law firms near you, our highly qualified team is prepared to help you address settlement delays and get you the compensation you deserve.
In the event of a delay, we can help escalate the issue through the following courses of action:
- Formal communication: an attorney will send a formal letter of demand to the insurer, serving as official notice that the delay is noted and will not be tolerated in the long term.
- Filing a motion: If the insurer fails to respond to the formal demand letter, an attorney on our team will file a court motion seeking a judge’s intervention to order the insurance company to comply with the settlement agreement.
- Bad faith claim: If the insurer is believed to be operating in bad faith, legal action can be taken against the insurer for improper conduct.
Your Case is Settled–Leave it to Hoffman to Help Get it Paid
At Hoffman Law Firm, we believe in seeing your case through from start to finish–and that includes ensuring you receive the full scope of your settlement payout.
Located in Georgetown and Charleston, SC, our personal injury law firm proudly advocates for accident victims throughout the Palmetto State. As the locals’ trusted personal injury law firm, we have extensive experience handling a wide range of cases.
We have established a reputation for success and excellent service! To meet with a member of our team, schedule your free consultation today!
