QuestionHi, back in February I was in an accident with my 3 children. We were heading East and other driver made left turn directly in front of us with a green light. Our vehicle was traveling approx 45 mph when we hit, other driver was cited. Our vehicle 2002 Chevy Cavalier was totaled and insurance paid. My 4 year old son in back had nothing wrong and $700 medical bills (all taken to ER via ambulance). My other son 10-year old in back had $3000. med bills and suffered bumps and contusions on both legs just below knee at the growth plates. My 14 year old daughter in front suffered chemical burns on face from air bags, and she also suffered "scapular dyskenisis" as told by the ortho dr. she did intense physical therapy and has recovered. She is also a softball fastpitch pitcher and this has affected her immensely also affected were her grades and slight depression. Total medical bills were $5500. My injuries were sore neck back pain, contusions on my left hand and sprained left knee. My pain has now been diagnosed as TMJ and I am currently on medications, physical therapy and have an appt with a dentist next week. For my children what sort of settlement amount should I be asking for? I live in Goodyear Az the airbags did deploy and we were all wearing our restraints.
AnswerPersonal injury insurance claim minors
Insurance injury minor settlement
Court approval kids' insurance claim settlements
Guardian ad Litem (GAL) children's insurance settlement
"GAL report" minor personal injury insurance settlement
Policy limits insurance claim multiple injured
Free legal information insurance adjuster
Doctor narrative reports settle insurance injury claims
Dear Francine,
You have a question regarding just valuation, but because of the minor claims and the extent of injuries, your question will require me to address EIGHT potential topics, which I will answer in the following order. As for valuation, I can tell you at the outset that no one could (OR WOULD) take a shot at valuation with such little information. You and your children went through a lot of trauma and I wonder if sufficient time has elapsed to know the full extent of their injuries.
Here are my eight topics for you:
1. Personal injury insurance claims for minors; GAL and court approval process
2. Can parents settle children's insurance claims? What about the process for court approval for minor's insurance injury claims?
3. Do NOT settle all of your soft tissue personal injury claims too soon; MORE TIME to live with injuries; better doctor workup of medical aspects of claims.
4. Consider a policy limits situation for tortfeasor, resulting in an Underinsured Motorist Claim (UIM) against your policy.
5. Arm yourself to deal with the insurance claims adjuster: learn about personal injury insurance claims and insurance settlements.
6. Why not take a shot at making your own personal injury insurance settlement instead of hiring a personal injury attorney?
7. Consider asking for NARRATIVE LETTERS to assist in settling the insurance claims.
8. Valuation computation and factors that influence valuation of personal injury insurance claims
1. Personal injury insurance claims for minors; GAL and court approval process
A parent may NOT SETTLE her child's personal injury claim UNLESS it is small, or until a court approves the settlement AND the investment protection for the funds. The reasons for that are sound, and if you want you can read an exposition on the entire process to settle minor insurance claims http://www.settlementcentral.com/page8017.htm Guardian ad Litem (GAL) will interview you and your children, investigate the accident facts, review the medical records and talk to doctors, write what is called a "GAL report", and present it to the court. The order will be entered and filed with the clerk. Thereafter, the GAL may become involved in setting up the "blocked accounts" in their names, or verifying that the funds were disbursed as ordered by the court.
But to summarize here in my answer, if your child does have a very small claim (possibly the youngest child you mentioned), it can be worked out with the insurance company to settle the claim yourself, to sign the release yourself, and to guarantee the settlement for the security of the insurance company.
The insurance company will forego the court approval process only on SMALL insurance settlements, and ONLY if the parent gives it a hold harmless agreement in exchange (i.e. to protect the insurance company should the minor later try to repudiate the insurance settlement agreement and release). But this is unusual, inasmuch as the insurance adjuster is instructed to get a full and effective release of the claim.
Since there are examples of former minor settlements being reopened when done without court approval, most adjusters do not have authority to let a parent sign a release on behalf of her child unless the claim is very small.
Plus, who is to guarantee that the parent will invest the proceeds in a blocked account for the minor instead of using the money herself to buy things that she would like her child to have but cannot afford on her own?
2. Can parents settle children's insurance claims? What about the process for court approval for minor's insurance injury claims?
We believe that in many cases, parents CAN AND DO make good settlements of their child's insurance injury claim. There is no reason that a parent cannot negotiate a fine settlement for her minor child. The only catch is that the insurance settlement and the investment of the insurance proceeds MUST BE APPROVED by a court of general jurisdiction in your state.
It is possible for the parent, with guidance and proper forms, to present the case yourself for approval. However, in most jurisdictions, an independent Guardian ad Litem (guardian for the litigation—most often an attorney) will be appointed to review the settlement and report to the court whether the terms and conditions are satisfactory. THE GAL REPORT will NOT RECOMMEND approval of settlements if it does not include consideration of long term consequences to the child. The court will then give approve the settlement, issuing a formal order approving the settlement and requiring investment of the proceeds in a safe and prudent manner.
A common question from parents is whether or not the money can be used to buy something that the child really wants, but which the parent cannot afford. All the cases I have seen the parent's request to use the child's money is refused, excepting in two instances: first, where the child wants a car and has a job that is so far that he requires a car to get to and from the job; and second, where the child is in poor physical and mental condition and the expenditure would, according to the child's doctors, go a long way in cheering him up and thus promoting his healing.
Other than those two kinds of examples, the court is not going to allow any parent to use the child's money for any other purpose.
Read about Guardian ad Litem for the minor, his attorney's fees, procedures for court approval of minor insurance settlements, paying fees and court costs, and asking for insurance company payment of all fees and costs http://www.settlementcentral.com/page8017.htm
3. Do NOT settle your soft tissue personal injury claims too soon; MORE TIME to live with injuries; better doctor workup of medical aspects of claims.
You are not even half a year after the accident, and what is the rush to settle the claims? This was a VERY HARD HITTING TRAUMA that you and your children suffered. As to those with the more serious injuries, your bodies cannot possibly have healed by now.
I am worried that if you were to go through even half of your children's summertime outdoor activities, they (at least two of them) will SUFFER A LOT OF PAIN AND WORSEN their condition. Let's see how they fare after a full summer of physical activity under their belts.
And, of course, once you settle, that is it: no one will be there to pay for your kids' future medical care; nor will you or they ever see another dime in pain and suffering money. By the way, did you know that getting an early settlement is a favorite trick of the insurance adjusters? Please see my website wherein we show Insurance Claim Adjuster Secret Tactics http://www.settlementcentral.com/page0092.htm
Managing Medical Care After Auto Accident: http://www.settlementcentral.com/page0203.htm
In YOUR particular case, we have no idea of how long you will suffer the consequences of the TMJ. Some clients went on a soft food diet and had splint appliances made. Eighteen months later they were recommended for surgery. So we have to wait for your doctors and dentists to work with you for at least six months.
I am particularly worried about the 10 year old and the 14 year old. What is the prognosis for your son? What long term consequences are there from his injury? If the doctor just has her notes only on this, you may want to ask her to be sure.
With respect to your daughter, do you even know whether or not the doctor has determined a cause or etiology for his diagnosis or scapular dyskinesis? If he says it is from trauma, that could mean muscle damage, or, worse, nerve damage. One needs to get a narrative letter (see below).
So, you cannot really evaluate your daughter's claim until and unless you know what the doctor is saying. You might look at some websites that discuss her condition. Here is a doctorly exposition, but at least it does have pictures and drawings to help. http://scottsevinsky.tripod.com/pt/presentations/inservice_scapular_dyskinesis.p...
By the way, one hopes that the doctor is an orthopedic surgeon, not just her general practitioner. If not, please consider getting her to a specialist for diagnosis and treatment.
Make darn sure their doctors have updated full information in their records, or the adjuster may not give them credit for all that they been through. For example, if you just ask for a narrative letter now regarding the youngest, then you had best go in for another appointment first and document for the doctor all of those nagging signs of soft tissue injuries your son is noticing following a full day of physical activities. Personal Injury Medical Records http://www.settlementcentral.com/page0114.htm
4. Consider a policy limits situation for tortfeasor, resulting in an Underinsured Motorist Claim (UIM) against your policy.
This could EASILY BE A POLICY LIMITS INSURANCE CLAIM just as it sits today if there are serious consequences to the injuries suffered by the two older children. Let me explain.
What if the tortfeasor has coverage of only your state minimum liability policy limits http://www.settlementcentral.com/page8008.htm? It looks like Arizona requires only 15/30. That means that $15,000 is the bodily injury liability for one person in an accident, and $30,000 is bodily injury liability for all people injured in an accident.
If that were all the insurance that is available, then you surely would be in a policy limits situation. Take a moment and become familiar with some of the issues in policy limits insurance claims http://www.settlementcentral.com/page0451.htm
Both you and your 14 year old could have VERY SIGNIFICANT VALUATION of your personal injury claims. I am not hoping for serious consequences, but I have handled enough TMJ and shoulder injury cases that I can tell you that often those injuries can be long term problems if they are not treated properly.
Thus, the GAL would work with you to help apportion the total available in accordance with the degree of seriousness for each of the four of you who sustained injuries. Does that make sense? You and the GAL would take the total available, let's say that they had $60,000 total insurance, then that is the amount that would be divided among the four of you.
The balance of the claims would be paid out of your (UIM) policy, up to the limits of your policy or the value of the claims, whichever is higher.
5. Arm yourself to deal with the insurance claims adjuster: learn about personal injury insurance claims and insurance settlements.
Here is some easy reading for free to brush up on the tort system and to help you deal with the insurance adjuster.
Overview Tort Law Personal Injury Legal Claims http://www.settlementcentral.com/page3000.htm
Establish Firm, Professional, and Positive Relationships With the Insurance Injury Claims Adjuster http://www.settlementcentral.com/page0059.htm
"No medicine: no money"; medical costs increase worth of personal injury insurance claims http://www.settlementcentral.com/page0045.htm
Without having to join my website, I have given a lot of free information on handling insurance claims without having to join as a member. Read the module at "5 Easy Steps to Do-it-Yourself Insurance Claim Settlement" http://www.settlementcentral.com/page0102.htm
6. Why not take a shot at making your own personal injury insurance settlement instead of hiring a personal injury attorney? (Assuming you were not in any way at fault in the accident.)
I see from your question that you are a good writer, and it could be easy enough to put together some demand letter language and to try to do the first part of this yourself.
Write Effective Personal Injury Insurance Demand Letter http://www.settlementcentral.com/page0170.htm
Why should you pay someone one-third to do what you can do yourself? Do-It-Yourself Personal Injury Claims; Eliminate Personal Injury Attorneys' Fees; Save Thousands of Dollars Settling Your Own Insurance Claim http://www.settlementcentral.com/page3011.htm
What if you get only two-thirds the way to your settlement goal? Well, you can get as big a settlement as you can and then turn it over to an attorney and save a lot of fees. Thus, you could go it alone just to get an insurance settlement offer, and then take that insurance settlement offer to a personal injury attorney, thus exempting the amount of the offer from her fees. Do It Yourself Personal Injury Settlement Offer Reduces Personal Injury Attorney Fees http://www.settlementcentral.com/page0109.htm
7. Consider asking for NARRATIVE LETTERS to assist in settling the insurance claims.
Have you seen any of the doctors' records that went to the insurance adjuster? If not, it is easy enough to get a copy so you can make sure that everything of importance you discussed is included therein IN READABLE FASHION.
Cryptic notes may be medically significant, but why make the insurance adjuster struggle to figure out the significance of the injuries?
Plus, narrative letters can tie together the trauma and its after-effects in the lives of you and your children in a way that is authoritative.
We recommend that claimants almost always include some type of typewritten medical information to accompany to computer coded medical records and/or handwritten records.
We have a lot of free legal tips on insurance claims settlements using doctor narrative reports http://www.settlementcentral.com/page8003.htm You can get information there as to how to ask for a narrative letter and what it might cost. Talk to the doctor's office manager about it. NOTE: as for the minor claims, any money you pay out of pocket for a narrative report is going to be reimbursed to you at time of settlement; it will be a deduction from that particular child's insurance settlement.
8. Valuation computation and factors that influence valuation of personal injury insurance claims
OK, Francine, I know this is all you really asked for, but I hope you can see from what I have prepared for you that there is a lot to be done before you try to settle this claim. I am going to give you just a bit on valuation of an injury claim, and then ask you to get in touch with me later after you have done some of the things I have suggested above and ask me again.
Valuation is not like going to a drive-in for a fast food meal. It takes time and study of many factors, including liability, all medical records, and an evaluation of the qualities of the claimants—how well will they sell to the jury?. The "rule of thumb" is just that: a gross estimate.
SHORT ANSWER: A common theme among those who still think a formula will put you in the valuation ballpark is to multiply the medical specials times a number from TWO to FIVE (depending upon factors, some of which I will give you later—or all of which are listed in the members' side of my website, www.SettlementCentral.Com). Then that figure is the total value of the personal injury portion of the claim. Of course there is a long list of factors to consider for adding or deducting from the total.
The only claim of the four that we could work with something like a formula would be that that of the youngest one,. But in the case of the older two kids, and certainly with a TMJ for you, that formula will not work if you all will have injuries that will bother you in the future. So, that is one point we need to clear up with an orthopedic surgeon for your daughter and your dentist. Plus, the loss of work to date, if you have any. Valuation depends upon factors like that, as well as some things most of us never think of.
Let's start with geography. Values differ from state to state, and within each state. City values are often different than rural values on claims.
Next, the seriousness of the injury, and of course, whether or not the injury can be proven by objective evidence (your daughter, for example, may have an radiographic image, and your dentist, IF HE KNOWS TMJ, can have a radiographic image from numerous angles), or whether the only proof is subjective (your statements that you feel pain).
Three more factors in your favor are:
(A) the social disapproval of the tortfeasor's actions, which in this case runs high inasmuch as we do not like people who cause injury to a family of young children.
(B) the favorable impression of the plaintiffs, which in this case is good, partially because you present yourself well, but mostly because of the kids—you have the empathy of the jury with you and your children.
(C) the fact that your injuries and those of your daughter can be CHRONIC and also VERY PAINFUL and resistant to treatment. And NO ONE WANTS TO EVEN THINK ABOUT years of pain from an injured shoulder or a jaw joint that manifests as headache.
Thus, your claim should be on the high end of things, but it is WAY TOO EARLY TO TELL. Let's see how a few months of work and physical activity impact your jaw joint disc and your daughter's shoulder, then you can come back and ask me again. OK?
FINAL TOPIC:
Always communicate with the adjuster in writing, showing your own analysis of value. It is fine to call him or her, but have your ammunition in writing to give to the adjuster.
Let him know that you are FIRM IN YOUR RESOLVE to get what you are demanding (NOT "asking", since that invites a counter-offer, but instead "demanding" as fair and reasonable compensation) by asking him what the options are to resolve the matter fairly should he not agree to a reasonable claim value. In other words, let him know that you will go through with a court filing if need be.
Remember these tips, do your homework, print out your evidence, show resolve to get your fair settlement, and you will DO JUST FINE.
I trust that my extra time here has produced some information that has been of value to you, and thus I would respectfully request that you locate the feedback form on this site and leave some feedback for me.
Best Wishes,
Dr. Settlement, J.D. (Juris Doctor)
http://www.SettlementCentral.Com
