When you file a personal injury claim after being hurt in an accident, you probably expect that the at-fault party’s insurance will pay for your medical bills, lost wages, and ongoing medical care. However, you may be surprised when you get the initial settlement offer from the insurance company. Often, it barely covers payment for your immediate bills.
The Kansas City trial lawyers at Peterson Law Firm understand that negotiating a settlement offer takes time, but sometimes, the insurance company makes an offer so low, that it can’t be taken seriously, especially considering the clear negligence of the at-fault driver. While most car accident claims settle without going to court, sometimes it’s necessary to protect your rights and help ensure you obtain the compensation you deserve. Here, our trial lawyers discuss the pros, cons, and risks of choosing litigation after an accident.
Recognizing an Inadequate Settlement Offer
Most insurance companies start with lowball offers, hoping you'll accept less than your claim is worth. Their first proposal rarely reflects the true value of your case. Our lawyers are skilled at recognizing this type of offer. They know a reasonable settlement should cover all your medical expenses, including future treatment needs and account for lost income during your recovery and any reduction in your earning ability. The settlement should also provide compensation for your pain and suffering, which can be substantial after a serious car accident.
Insurance adjusters often minimize certain losses, particularly those related to pain and suffering or emotional distress. They might downplay the severity of your injuries or suggest they resulted from pre-existing conditions rather than the accident. So, it’s important to remember that when you accept a settlement and sign a release, you can’t seek additional compensation later, even if you develop other conditions related to the accident. So, it’s important to understand the pros and cons of rejecting that offer and choosing to go to trial.
Benefits of Filing a Lawsuit
Filing a lawsuit offers several possible advantages when settlement negotiations fail to produce fair results:
- A lawsuit gives you access to the discovery process, which allows your attorney to obtain evidence that may not be voluntarily shared during negotiations. This includes internal insurance company documents, the other driver's full statement, and witness depositions.
- The court process provides procedural protections that don't exist in informal negotiations. A judge oversees the exchange of information and ensures both sides follow the rules, creating a more level playing field.
- Filing a lawsuit can significantly change the dynamics of settlement discussions. Insurance companies often make better offers once litigation begins because they face the prospect of court costs and potentially larger verdicts if they continue to be unreasonable.
Drawbacks of Filing a Lawsuit
Even if you and your attorney believe you have a strong case to take to court, litigation comes with challenges, including the following:
- Lawsuits generally take longer to resolve than settlements, sometimes extending over years, depending on court schedules.
- The litigation process requires more of your time and participation, including responding to discovery requests, attending depositions, and potentially testifying in court.
- Court cases involve additional expenses, such as filing fees, deposition costs, and expert witness fees. While these costs may be recovered if you win, they represent an investment in your case.
- Court cases can create additional emotional stress. It’s possible that a lawsuit will require that you relive and testify about the accident and your injuries. You may not realize how difficult this can be. It can be challenging to be emotionally ready for a lawsuit and deal with the ups and downs of litigation.
- Lawsuits can sometimes motivate defendants and insurance companies to implement safer policies and practices. Successfully holding an at-fault party liable delivers a message that negligence has consequences. While it’s never guaranteed that legal action will have an impact or spur positive change, it’s possible a lawsuit can help prevent future accidents and injuries.
- Comparative negligence rules in Missouri can reduce your recovery if you're found partially at fault. If a jury determines you were 40% responsible for the accident, your compensation will be reduced by that percentage. Insurance companies often use this rule to justify lower settlement offers, and a jury might agree with their assessment.
- Problems with evidence can sometimes emerge during litigation. Witnesses' memories can fade, evidence may be lost or damaged, or witnesses might be unavailable. These developments can weaken your case compared to what you and your attorney initially expected.
- An appeal is possible, and a favorable verdict might not mean the end of the case. The defense can appeal and possibly extend the process by years, delaying your compensation. During this time, you won't receive any payment despite having "won" at trial.
The most significant risk is jury unpredictability and the uncertainty of trial outcomes. There's always a possibility that you’ll receive less than the final settlement offer—or nothing at all if the jury finds in favor of the defendant. Juries value each type of case differently, even if they have the same circumstances.
Let Our Kansas City Trial Lawyers Help You Make an Informed Decision
Making the decision to file a lawsuit requires careful consideration of many factors specific to your situation. An experienced trial lawyer can provide invaluable guidance through this process.
At Peterson Law Firm, we conduct a thorough analysis of each case before recommending litigation. We evaluate the strength of your evidence, assess the opposing party's likely defenses, and calculate the potential value of your claim. We compare settlement offers against what similar cases have yielded in court to determine whether litigation makes financial sense.
We believe in keeping clients fully informed about both the potential benefits and risks of going to court. Our Kansas City trial lawyers will explain each step of the litigation process so you know what to expect if you choose to file a lawsuit.
We also understand that the decision is ultimately yours. Some clients prefer a faster resolution and certainty over potentially larger but uncertain court awards. Others feel strongly about having their day in court after being treated unfairly by an insurance company. Read our case results to see how we’ve helped other clients with their personal injury claims and decisions to file a lawsuit.