Usually, you should not accept the first settlement offer from an insurance company without careful examination of its adequacy to cover your full damages. Initial offers are often made before you know the total duration of medical treatment, lost income, future expenses, pain and suffering, and fault. Once you sign a settlement and release, further recovery for the same accident may be precluded.
If you’ve been injured in a motorcycle accident in Winter Park, FL, consider having an insurance offer reviewed before signing it. At Abercrombie P.A., our motorcycle accident lawyer in Winter Park can help you analyze the evidence, insurance coverage, damages, and possible issues of comparative fault.
Why Insurance Companies Make Fast, Low Offers
An insurance company will likely want to “close out” a motorcycle accident claim as quickly as possible for an early settlement offer shortly after the crash, because the damages are not fully known or established. During this time, you’ll still be undergoing treatment, and the full extent of your injuries may not yet be clear.
Traumatic injuries that commonly result from motorcycle accidents include road rashes, broken bones, traumatic brain injuries, and spine injuries. These treatments can last several months to even years.
An insurance offer will likely not take into account future considerations such as:
- Rehabilitation and future medical treatment costs
- Reduced earning capacity and ongoing lost income
- Repair or replacement value of the motorcycle and any destroyed property (e.g., riding gear)
- Permanent impairment or loss of functionality (disability)
- Pain and suffering
- Emotional damages, loss of enjoyment of life, etc.
Don’t judge a settlement offer by how it compares only to your current medical bills. It should account for the full value of your claim.
What You Give Up by Accepting (the release, and why it’s final)
What a Release Entails
The most crucial part of an insurer’s settlement offer is understanding what you “give away” when you agree to and sign it. An insurance company will require you to sign a release document before paying you. By signing a release, you agree to settle the claim and absolve the insurance company, its adjusters, and other involved parties from liability for your injuries resulting from the accident.
If you later discover that:
- Your injury requires a second or even third surgery
- Your condition has become a permanent disability or chronic problem
- You will require physical therapy for the rest of your life
- You are no longer able to work in the capacity you previously did
Seeking further compensation after signing a release is likely impossible. Never treat an initial settlement offer as partial compensation you can later try to increase.
Has Your Florida PIP Coverage Been Properly Accounted For?
You should also make sure the insurance company correctly addressed Florida’s PIP benefits. PIP is no-fault insurance in Florida and generally covers a percentage of medical bills and lost income arising from an auto accident for all drivers in a vehicle. Never assume your Florida PIP applies the same way on a motorcycle as it would on a standard four-wheeled vehicle.
Insurance coverage in a motorcycle crash can vary greatly based on specific policies, other applicable third-party insurance policies (Bodily Injury Liability, UM/UIM, Medical Payment, etc.), and the specific legal requirements for motorcycles compared to cars.
Before accepting any settlement payment from an insurance carrier in Winter Park for a motorcycle accident claim, be sure you have carefully addressed what sources of insurance benefits might be available and how all applicable coverages and payments already made by any insurer were properly calculated and utilized within the settlement.
Does the Offer Align with the Facts, Considering Comparative Fault?
Comparative fault is a critical issue in many motorcycle accident cases. Your total damages for the claim will be reduced by a percentage representing how responsible you were for causing the crash. In Florida (see 768.81 Fla.Stat.), you can never recover damages if you are deemed 50% at fault for causing the accident.
This is a point of dispute for insurance adjusters. They may argue that your excessive speed, improper spacing, failure to signal properly, or a variety of other driving mistakes made you at fault for initiating or prolonging the crash. You should not automatically accept the adjuster’s blame estimate in many situations.
Physical evidence, witness statements, accident reports, black box data, and even an accident reconstructionist’s testimony will provide substantial evidence concerning what caused the accident to occur in your Winter Park motorcycle crash case.
You Likely Have More Time Than You Think (Florida’s 2-year deadline)
You should never feel pressured into taking the first offer presented, even if you feel pressed for time. In most personal injury cases occurring in Florida, you have a two-year limitation for filing a negligence action. That time limitation is pursuant to Florida Statutes 95.1; however, there are very few exceptions.
So the insurance company and would-be tortfeasor can deal with the claim; the witnesses are still available, and the evidence is useful. Delay is, and always will be, a problem. The time limits, however, aren’t so tight that you must automatically accept the tender.
Take time to investigate, gather all documentation, consult with experienced counsel, and gather proof related to your claim and your future needs, and let them give you their perspective as to the worth of the claim and not the first dollar presented by the insurer. In Winter Park and surrounding areas, if you are struggling to decide whether to accept a Winter Park motorcycle accident offer, then consult a motorcycle lawyer to review it.