QuestionQUESTION: I was involved in an accident yesterday - tractor-trailer crossed center line on a curve on a secondary road, hit/pushed my vehicle with me in it off the road. Luckily neither of was was going fast. The t/t driver was at fault - however, I anticipate problems collecting because of out-of-state insurance, etc. What are appropriate things to consider when settling pain and suffering part of accident. No real physical damages to person - just lots of aches all over entire body; however, will probably miss a couple of days work. The car is possibly totaled - not sure about that. Thanks for your help.
ANSWER: Hi Liz,
In order to be compensated for pain and suffering, you need to prove that you suffered injuries. The only acceptable proof is medical bills. If you carry medical payment coverages under your own policy, then they will pay the bills incurred during 1 year after the accident up to the policy limits. You might decide to visit ER for a complete check-up, followed by a visit to a Medical Doctor. He may discover that there is a serious problem and order a MRI or CAT scan. Many times there is a need for Physical Therapy to help you recover from the pain. If you specifically state to your Doctor that you feel a need for Physical Therapy, then he will write you a prescription for such treatment. He may also write you a prescription for pain medication.
I strongly recommend that you do not treat with a Chiropractor. Insurance Companies are very anti-chiropractor and will only consider 50%-60% of their bills in total toward determining your compensation. They will consider 100% of the charges made by a Medical Doctor and Physical Therapist. Keep a record of the mileage for each trip you make for any doctor visits, therapy visits and trips to the drug store. If you miss time from work, you will need for your employer to prepare a wage loss statement based on your hourly wages or monthly salary.
If you reside in a state other than Tennessee or Kentucky, the Statue of Limitations on settling a Personal Injury claim is at least 2 years (a very small number of states allow 3 or more).
You need to start building 2 separate identical files, one for yourself and one for the insurance company. Keep a copy of each and every incured bill plus your medical log and lost wages report.
Once you have fully recovered from your injuries, Total all your 'specials'. These are doctors medical bills,ER bill, therapy bill for each visit, prescription drugs, lost wages and mileage at $0.43 per mile.
Now it's time to start negotiating with the other insurance company. They usually ask you to make a demand instead of their initially making an offer. This is why the quality of your record keeping is so important. Depending on the severity of your injuries, your initial demand should be 3-3.2 times your total specials. Now the negotiating process begins which will last for several weeks to several months.
They will probably counter offer with 2 x your specials and you will counter back with 2.9 x specials. You will probably wind up with their best offer being between 2.5 and 2.75. This amount is considered acceptable and you should be willing to settle anywere within this range.
If you have not come to an agreement within 16-17 months after the accident, then you need to consult with a Personal Injury Attorney who has trial experience.
The first consultant is usually free in all states.
After this consultation, you can make the decision to hire him to handle the case, which he does on an expenses plus percentage basis or simply hire him to legally prepare a lawsuit that you can file with the court at about the 22nd month. This will usually extend the statue of limitations for 1 year. You must settle this case before your 2 year statue expires or file suit. There is absolutely no excuse acceptable by law if you miss doing one or the other by the statue date. You would lose all rights for any recovery.
I hope this is of help, please write again if I can be of more assistance.
Your feedback by rating this answer will be appreciated.
Sincerely,
Bennie
San Francisco Bay Area 10-23-07 12:45 PM PST
---------- FOLLOW-UP ----------
QUESTION: Bennie - in follow-up.....The insurance company in question has told me they are going to give me the option whether to total or repair the vehicle. The apparent damages are 7,000.00. That's not counting what they get into when the actually start working on it.
She is now waiting for another department to offer me a cash settlement. Going by the book value of my vehicle - which is only 18 months old, and since I still am still paying on it - I would probably just break even - that is just with speculating that they offer me the full book value.
My concern is that since this is a relatively new vehicle, and I only break even if that - am I permitted to negotiate a higher amount because of the inconvenience, inasmuch as I will have NO vehicle to trade in on another one, and I will have to put another down payment on another vehicle - since probably won't be offered a higher value??? After all, I didn't ask for their tractor-trailer to hit me before my car was paid off; but I will still end up paying more because of it??? I have asked my claims office of my personal insurance, and they have said I can try to negotiate a higher settlement, but that they aren't permitted to advise me. He said they may offer me the value and nothing more - and if I'm lucky, it will be enough to pay it off.
I just think that is terrible when I was minding my own business and get hit, that I have to suffer monetarily because of it. Anyway - your ideas or advice would be greatly appreciated. Thanks again!!!
AnswerHi Liz,
You never, under any circumstances, have a legal right to recover for inconvenience.
You are only entitled to the fair market value of your car.
No vehicle ever has a value full of high book and no new or used car ever sells for the initial asking price.
These are simply DREAM amounts that the seller would love to get for the car, but is just a number to start negotiating downward from. Mentally every dealer has a 'willing to sell for' price. This is the lowest amount he can sell for and still make a reasonable profit.
The adverse insurance will use a service that will survey a radius of 25-50 miles for a car similar to yours and have the dealer state his 'willing to sell for' price. they will even be willing to give you a copy of this survey showing the location, condition and price.
They will average these totals and make you an offer on the average 'willing to sell for' price. This amount is not engraved in stone, it's a starting point for negotiations.
You immediately need to start purchasing various newspapers and keeping the ones that advertise a car similar to yours.
You also need to visit used car lots and find similar cars.
Explain to the owner that this is an insurance situation and you need a signed letter describing his car and it's condition and his lowest 'willing to sell for' price. You need as many of these as possible (try for at least 5).
You now have information to dispute the offer that you will be made by the adverse company and ask for a higher amount.
You are now in the negotiation process, only this time you are selling and they are buying. These negotiations may be settled in one visit or they make take several visits with each side making offers and counter offers.
You will eventually come to the best possible compromise, which may or may not be adequate to pay the balance owed on your car.
I trust that this answer has been helpful, please write again if I can provide more help.
Your feedback for my answer will greatly appreciated.
Sincerely,
Bennie
San Francisco Bay Area
10-29-07 10:17 AM PST
