There is no set timeline for an auto accident claim.
This is because no two car accident cases are quite the same.
Settling a claim can take a few weeks, months, or even years to finally reach a resolution.
What matters most is the complexity of the circumstances. Simpler cases can usually be settled relatively quickly.
However, when a case can’t reach an out-of-court settlement agreement, you must go to trial.
So, how long will your car accident claims process take?
5 Basic Steps in the Auto Accident Settlement Process
Once you have received medical assistance and begun recovering from your injuries, it’s time to start building your accident settlement claim.
Your attorney can conduct much of the legal process on your behalf, keeping you updated regularly so you don’t wonder what is going on.
There are always exceptions to the rule, but you can generally anticipate that you and your lawyer will need to go through the following five steps:
1. Contact the Insurance Provider
In Texas, motorists must carry auto insurance coverage.
Most policies require you to report any accident immediately, although the exact amount of time you have to report your crash may vary depending on your provider and policy terms.
Texas law requires all vehicle owners to carry auto liability insurance of at least these minimum amounts:
- $30,000 for injuries per person
- $60,000 per accident
- $25,000 for property damage
When you speak with the insurance company, it’s important to avoid giving too much detail or admitting any fault.
Don’t discuss liability when you report the crash because your lawyer won’t have gathered evidence showing who is at fault yet.
Simply state the facts of the accident and inform the insurance adjuster that you are seeking medical treatment and that your attorney will be in touch.
Your lawyer will need to investigate the car crash, identify the at-fault driver(s), police reports, and your medical records.
If there was a multi-car accident, the driver was uninsured or underinsured, or you were injured in a hit-and-run accident, your case will become more complicated.
However, finding out every person or entity who is at fault allows your attorney to maximize your compensation to cover all your losses.
2. Calculate Your Compensation Demands
Before you can request compensation from the liable party’s insurance company, you need to figure out exactly how much you are owed.
This usually involves waiting to see how long you need to treat your injuries until you fully recover or reach Maximum Medical Improvement (MMI). The more severe your car accident injuries, the longer this process will take.
An auto accident can impact a person’s life in various ways.
You may be out of work, need to find childcare services while you recover or experience mental health challenges following your crash.
All these and many other factors will impact your compensation award.
Your personal injury attorneys must fully understand the various economic and non-economic ways your life was altered by your accident.
When your car accident lawyers have a complete list of your losses, including medical bills, and lost wages, they can ask for maximum compensation during the settlement negotiations.
If you try to settle too quickly, you may not know about an added medical complications, for example, serious injuries that could arise a few weeks after your initial injury and require ongoing treatment.
Car Accident Victims Often Seek These Types of Damages
Your car accident attorney should carefully assess your case to find all losses you may have overlooked.
You may have unique expenses for your claim, depending on your needs. However, there are many common damages clients request in auto crash cases, including:
- Medical care costs
- Lost income
- Lost earning capacity
- Future medical expenses
- Property damage
- Pain and suffering
- Loss of enjoyment of life
- Permanent disability
- Transportation costs
- Domestic services
- Out-of-pocket expenses
3. Send a Demand Letter
When you have begun to recover from your injuries and your lawyer has calculated a fair and reasonable settlement amount, the next step is to notify the insurance company.
This is usually done with a legal document called a demand letter.
Your personal injury lawyer will write and send a demand letter that specifies how much compensation you are requesting for your car accident settlement.
The letter will include:
- arguments for why the insurance company is liable for compensation,
- the facts of the collision,
- why you are entitled to the compensation amount requested, and
- supporting evidence.
A legal document like a demand letter has a mandatory format and provisions, so your attorney is best suited to craft it on your behalf and have you approve the details.
4. Negotiate With the Insurance Company
Many times, the insurance company will not agree to the amount specified in the demand letter, which opens the negotiation period.
The company will argue for a lower amount, often demanding more evidence and documentation to support your claim.
They may offer a smaller amount of money than you truly need, hoping you will take the offer quickly and close the claim.
It’s critical that you are represented by a skilled negotiator during this process.
A well-qualified and experienced lawyer will see through tricky insurance tactics and know where to secure the evidence to prove your claim.
With our guidance, you can avoid being taken advantage of and losing out on the compensation you need to cover your bills.
5. Reach a Settlement or File a Car Accident Lawsuit
With the help of a good lawyer, you will usually be able to reach a fair settlement offer. Few auto accident claims go to trial.
However, should the insurance company refuse to play fair, your only option may be to file a personal injury lawsuit.
At The Mejia Law Firm, we prepare all our cases for trial.
We expect to reach a pre-trial settlement but are fully prepared to advocate for you in front of a judge and jury if the insurance company does not treat your claim with the respect it deserves.
How Long After Settlement Will I Receive Compensation?
The final step in the auto accident settlement timeline is the goal you’ve been working toward—obtaining financial compensation.
Yet, you won’t be handed cash the second your claim is settled.
After a settlement has been reached, both parties will need to sign forms, and the insurance company will need to make funds available and issue a check to you and the attorney representing you.
In Texas, the funds must first go through a client trust account used under state safekeeping property laws. This is to help ensure that funds belonging to you are kept separate from the lawyer’s finances.
Your attorney takes their fees as a percentage of the total amount you received from the insurance company or trial award.
They also pay any outstanding debts to experts for their testimony or assistance in supporting your case. Once these costs are paid, you can receive your financial compensation.
This whole process may take an additional few weeks to complete, but your legal advocate will continue to expedite the process to make sure you receive your settlement check as quickly as possible.
It’s Critical to Act Quickly After Your Accident
Negotiating with the insurance company can take a long time.
They are usually more interested in protecting their profits over paying what you deserve. It can be frustrating if you try to handle the claim on your own because you don’t have the knowledge they do.
You may be unsure when an offer is the highest they will go, adding to your stress while you’re trying to recover from your injuries.
Another concern is that the Texas statute of limitations for filing a car accident lawsuit (the next step after insurance negotiations fail) is only two years from the date of the crash.
This might seem like a long time, but gathering the right evidence and building a powerful case can take several months, meaning you could lose your right to put the justice system to work for you.
Instead of waiting to see if you can fix it yourself, it’s wise to speak with a car accident attorney as soon as possible after your wreck. We have the skill and knowledge to help you speed up your case and get you the settlement you deserve so you can focus on getting better.
You have nothing to lose and potentially a lot to gain by taking the time to talk with a Texas car accident attorney at our firm. We offer decades of experience and are always on the side of injury victims.
Contact our Houston car accident lawyers for a free consultation to discuss the specifics of your car accident claim. There is no obligation or fee associated with learning more about your personal injury claim. Contact us today for a free case evaluation.