Questionhow dose the payoff work on a death case does the insurance pay the full amount off the policy or do they try to be look for a way around it and want to settle for less
AnswerHi Mark, Dr. Settlement here--back to work after a LONG sickness.
Sorry to leave you with no help for the past week, but I have been out of the office with a nasty “double-ended” flu. SCC’s own Morgan Jacobsen said that she wrote to you about it, with the offer to get an early response via my website, I hope my sickness did not cause you any inconvenience.
I am sorry to hear that you are dealing with a death, and I hope that you and all concerned are able to receive healing and to go forward.
I take it that you are involved with a case in which a tortfeasor caused the death of another through negligence. Insurance only pays in cases of negligence, not intentional torts. Hence, make sure not to be making allegations about the actions of the tortfeasor as being intentional, or you will give the insurance adjuster a way out of the claim.
The value of a claim that involves a death is complex, and varies from state to state. You may need an attorney to help you since the fact there is a death does not automatically mean that money will be paid out. I am going to give you some examples so that you can see how necessary it may be to hire an attorney. There is just too much at stake.
BUT BEFORE YOU HIRE THE ATTORNEY, WRITE TO ME AGAIN GIVING THIS INFORMATION. Mark your answer for private so our communication cannot be seen by others. To do that you will need to ask a new question—not a supplement to this one—since it is already open for others to read.
Here is what I need to know: your state, the cause of death, did the decedent live after the accident, what is your relationship to the decedent, what other heirs are there, how much are the policy limits, how much Underinsured Motorist (UIM) coverage is available, plus whatever else you want to tell me.
Here is why: WE WILL FIGURE OUT THE ATTORNEY CONTRACT IN ADVANCE of your contacting her. What I do not want you to do is to just walk in and sign away money that you could get yourself. We will just show you how to contract with the attorney to get what you need help with.
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OK, Mark, on with some examples of why one cannot give a simple answer to your question. Wrongful death is a complex area of the law, and always controlled by state statute. I am giving you these examples just to show how complex it is. You are not supposed to learn these, or even to follow them. But I want to expose you to some of the considerations in a wrongful death claim.
To start with, since the victim died, he cannot sue the tortfeasor. Hence, there is no need whatsoever for the tortfeasor’s insurance company to pay a dime unless a personal representative of his estate or a representative of his statutory heirs brings a claim in accordance with the wrongful death statutes.
Each state has its own set of wrongful death statutes, and each defines who is a statutory heir and what elements of the damages suffered by the decedent or by the statutory heirs can be the subject of a wrongful death claim.
For example, there is no claim allowed for pain and suffering unless it can be shown that the decedent actually survived the accident. In that case, pain and suffering can be presumed. And in some states, pain and suffering is an element of the decedent’s estate (recovered by the personal representative), whereas in other states, it can only be recovered by statutory heirs (i.e. usually limited to spouse and children).
Statutory heirs are defined by the proximity to the decedent in terms of lineage and marriage. For example, a spouse or child would be at one level, but not a parent. More remote heirs are also identified, such as siblings in some states. Hence, a spouse or a child could recover for the “loss” of the decedent THAT THEY PERSONALLY SUFFERED (i.e. loss of companionship). Not so with the parents.
In many states, there may be no recovery whatsoever for the loss of the decedent if there is no statutory heir. Take, for example, the case of a 22 year old single person with no spouse or children. In most states, there is no recovery for the loss to the parents of the companionship of their child (unless the parents were dependent upon the child for support).
With no surviving heirs but his parents, .a decedent leaves only the net value of his estate. And that is what the parents can collect as heirs of the estate (assuming of course no surviving spouse or child—since they take first). This would be only the expected lifetime value of the estate, given his occupation, training, and expenses of living. Then extrapolate that over his lifetime expectancy and take the present value to get the value of his estate.
And, as I noted above, if the decedent survived the crash, then pain and suffering is presumed, and many states count that as an asset of the estate—hence something that could be claimed by the parents, or more remote statutory heirs.
I trust that this introduction has been of some value to you in learning why your question has no simple answer. Feel free to ask again with the details I set forth above.
Best Wishes to you and any family,
Dr. Settlement, J.D. (Juris Doctor)
http://www.SettlementCentral.Com
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Doctor Settlement has been out all week with a vicious "going at both ends" flu, and he is not going to return until Monday, at the earliest.
He says is sorry he did not get to your question, but he is committed to answering you this weekend.
If you need any emergency help, write to him at our website, below, and put in the title "allexperts.com question".
One of us at the staff will answer you ASAP. Otherwise, if you do nothing, Dr. Settlement will answer your personal injury insurance claim question this weekend.
Best wishes,
Morgan Jacobsen, J.D.
www.settlementcentral.com
