After a serious car accident a victim may find themselves confronted with hefty medical bills, a wrecked vehicle, and the inability to work. This can be a tragic combination for a Kentucky resident who depends on their income to keep a roof over their head and food on the table for their family. In the days following an accident, a victim may be contacted by representatives of the party whose negligence caused the relevant crash. Those representatives may offer the victim money in order to settle their potential accident-related claims.
A settlement is an agreement between two parties. It generally provides the aggrieved or victim-party with compensation for the harm they suffered due to the other party’s actions. In exchange for compensation, the aggrieved party usually has to forego any legal claims they may have against the party that hurt them.
A settlement may look something like this. A week after a victim suffers broken bones and tissue damage in a car crash they receive a letter from the other party’s insurance company. That company offers the victim $100,000 in exchange for the victim releasing their rights to sue the other party for damages. In the moment, the victim may be tempted to accept the offer, but it is important that they carefully consider their options before agreeing to such a proposal.
This type of deal may leave a victim with a short-term financial influx but not enough money to fully compensate them for their losses. The $100,000 they receive may only make a dent in their medical bills and may be insufficient to cover their lost wages. Not all settlements will serve the complete needs of motor vehicle accident victims, and for this reason, victims should discuss their settlement and litigation options with car crash attorneys before proceeding.