QuestionAnother car hit me pushing me into oncoming traffic where I was hit by 2 other vehicles. His co. Travelers has accepted total liability; he was cited with failure to yield. All involved in all cars were taken to local medical center.
I'm alive & uninjured due to the sturdiness of my car (Acura MDX SUV 2001, excellent condition, I've had only a year) which they have now totalled offering me $20000, they said based on a price scan in the area. I am checking with the dealer I bought it from to ascertain any non-standard options. They are paying for my rental and give me a week more in it.
I didn't have any lingering injuries--just abrasion & bruise on my arm. He offered $1500 plus payment of med bills--I asked for $5500 based on the nature of the accident, pain & suffering, and that if I had been in a car, I would be dead or in hospital. He said he could do no more than $2500. Semi-retired, I didn't miss work, but I had family in the car staying with me for an event to which we were travelling.
I have no experience in this, and I have no problem retaining a lawyer if need be. I'm just trying to figure out what's usual.
AnswerDear Tana McDonald,
DO NOT SETTLE YOUR PERSONAL INJURY CLAIM UNTIL AT LEAST SIX WEEKS POST-ACCIDENT.
You also have work to do on your totaled foreign-made car inasmuch as those "price scan" contractors are notorious for giving low, low values. That is why the insurance industry loves them. More on this later. I will first address the BACKGROUIND OF INSURANCE ABUSE in getting personal injury settlements as soon as possible after the accident. Second, I will tell you why I believe you will have soft tissue injuries later on. And third, I will return to the topic of your car—how to get full value and payment for improvements you have made.
1. Background of Insurance Tactics Regarding Inducing Early Settlement of Injury Claims.
I am starting with the topic that really bugs me: insurance adjusters trying to scam injured persons by inducing a quickie settlement when the injuries have not yet become fully known. Because of my passion on this abusive tactic, I am going to give your question a lot more time than I normally would. I want you to think very carefully about what I am going to give you, and I hope you do not settle the claim for six weeks.
You are being given the rush to settle your personal injury claim inasmuch as the adjuster full well knows that any accident that causes over $20,000 in damage will SURELY result in personal injuries.
Please see my website wherein we show tricks of insurance adjusters:
http://www.settlementcentral.com/page0092.htm
Insurance companies like to settle early because the general damages—claims for pain and suffering—are always minimal in the first few weeks but continue to grow with continued medical/therapeutic care over the months. Therefore, the insurance adjuster will try to settle before your claim merits a larger pain and suffering element. This makes good sense for the insurance company. A claim that is still active after 12 months, with an injured claimant still undergoing treatment, will settle for a lot more pain and suffering money than a claim that is settled after a month or two of treatment.
The full extent of most injuries is not known immediately, because the injured person has to undergo some of the wear and tear of everyday life, including the pounding her body will receive from a day's work. Even jobs that appear not to be physically demanding can be hard on an injured body.
For example, have you ever stood all day with few breaks, as a store checkout clerk or a jewelry salesperson does? Or sat all day at a computer, as a secretary or phone service center employee does? Many jobs will interfere with healing, and you have no way to know how your body will respond until you have experienced sufficient physical exposure to load-test the scar tissue as you heal.
Who will pay for your medical care incurred AFTER you settle? What if you were to settle now for the $5,000 and three weeks later when the pain starts to become noticeable, you go to a chiropractor only to discover that you can expect a course of treatment that will cost a lot of money? After you settle your claim, all further treatment is your responsibility. Except in specific, unusual situations, you cannot go back and re-open a settlement: when you cash the check, you agree to close your claim in all aspects.
Here is another page from my website that shows in detail why you should never make an early settlement of personal injury insurance claims:
http://www.settlementcentral.com/page0211.htm
2. Why I believe you will have soft tissue injuries later on.
I know that you introduced this as not being a true personal injury claim, but with that big of a hit to your car, there is a probability that your body did suffer trauma sufficient to cause soft tissue injuries. Your car took a tremendous trauma, and that was transferred to YOU. Bragging about your car's structure is warranted when one gives thanks that you were not crushed. But even though the car did not collapse on you, the force was fully transferred to you as an occupant.
Often people do not report soft tissue injuries until weeks have passed. These types of injuries can sometimes start out as nothing, but within a week or so one might start to notice aches and pains. Pay attention, as this is the first sign of delayed onset of soft tissue injury pain.
So you should be on the lookout for signs of injury that may manifest in the coming weeks. Even if you do not see a doctor until a month following the accident, DO NOT EVER SHY AWAY FROM SEEING A DOCTOR AND ATTRIBUTING YOUR PAIN TO THE ACCIDENT inasmuch as often soft tissue pain will worsen in time. What was an occasional ache may turn into a frequent pain and then you will have to see the doctor, whether medical doctor or chiropractor.
Here is a page from my website that tells you it IS NEVER TOO LATE TO REPORT PERSONAL INJURIES FROM A CAR ACCIDENT:
http://www.settlementcentral.com/page0104.htm
Managing Your Medical Care after an Auto Accident:
http://www.settlementcentral.com/page0203.htm
3. Get full value for your car—DON'T ALLOW ANY CREEDENCE TO "PRICE SCAN" reports.
So your adjuster pulled out the old price scan report, did he? Hey, a lot of people are intimidated into settling by any written report. But just nine months ago the provider of those reports had to settle numerous class action lawsuits because they were committing fraud. Read the postings below the article to see that they are still grossly undervaluing cars. http://www.insurancejournal.com/news/midwest/2005/07/15/57309.htm
I sense you have not done your own homework to go back against their first offer. Hey, what they say was not written in stone was it? Of course not: so you can go back to them with your own research and make your own counter-offer.
You can use information from local papers, advertising flyers, car dealerships, and the Internet. My favorite sites for valuation are www.Edmunds.com, www.autotrader.com, http://www.carsdirect.com/home and http://www.livedeal.com/index.jsp
They want to know your zip code, and then they ask for a range in miles to search. Don't limit yourself to your city: it is reasonable that someone could go up to 300 miles to pick up a used car. That way you will get a lot more information.
Do your own research to counter what they provided to you on the fair market value. BE FIRM that what you get is fair market value (FMV), NOT WHAT A DEALER would give you on trade-in.
SECOND, have you made major item replacements, above and beyond normal maintenance? For example, a rebuilt transmission or the like will add value to a used car. How about new tires or a new stereo system? The issue is: how much (if any) did they increase the FMV or actual cash value of the car. See this link and scroll down for more information on that topic.
Car Accident Directory: What to do After the Accident
http://www.settlementcentral.com/page0007.htm
Communicate with the adjuster in writing, showing your own print-outs of value. It is fine to meet with 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 replacement 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 this information has been of value to you, and thus I respectfully request that you locate the feedback form on this site and leave me some feedback.
Best Wishes,
Dr. Settlement, J.D.
www.SettlementCentral.Com
