According to the report by the Michigan State Police, there are a total of 312,978 car crashes across MI in 2018. It accounts for about 857 accidents in a single day, in Michigan alone. Of these crashes in 2018, about 974 individuals died, 75,838 got injured, and 256,553 caused property damages. These statistics does not include all the financial and emotional costs that the victims of the car accidents face.
As a fast and easy way to get money, many people would turn to insurance companies. These insurance companies offer a convenient way to get you covered for such car accidents. However, many of these transactions have vague and hidden agreements that you may overlook until it is too late.
What Are Car Accident Settlement Agreements?
Car accident settlement agreements are the result of the transaction between you and the insurance company. These agreements often include your right to claim settlement money. In turn, the insurance company will be freed from all insurance responsibilities. Included in these contracts are all terms, conditions, and resolutions that both parties have agreed on. These would also include terms of dismissing your claims and releasing their liabilities. And once both parties signed the agreement, the settlement is enforceable.
Things To Know About Car Accident Settlement Agreements
Note that insurance companies are businesses whose primary goal is to earn money. That being said, they use all means possible to avoid the responsibility of compensating for you. In these circumstances, the best thing to do is to have a car accident attorney on your side. With their help, you can better negotiate on your settlement agreement.
Here are six things lawyers want you to know before you enter a car accident settlement agreement.
- Insurance agreements are often one-sided, and they aren’t on your side
At first glance, this settlement agreement seems so mutual. You get the money you badly needed at the moment of the accident. The insurance company will also be absolutely released from their responsibilities. Once you get what you agreed on, however, you cannot go back and get your claims from them. Because the insurance companies wrote these settlement agreements, you would often get the short end of the stick.
- Once signed, there is no turning back
As said earlier, both parties should sign the contract. Once signed and notarized, the agreement is irrevocable. That means that they cannot be taken back. Insurance companies use this tactic to trap you in a position where you will get the least amount they can legally give. They can even make use of unclear statements in the agreement and use them for their benefit.
- Insurance companies would offer the worst settlement offers for you
Preying on the idea that car accident victims need urgent cash, insurance companies would exploit the situation. In the most legal way they possibly can, that is. After all, quick and easy settlement money would seem very helpful in the short-term. But in the long term, going into settlement agreements would necessarily take away your insurance claims.
- Most agreements disregard your rights
For the most part, the settlement agreement focuses on the two basic things. These are the amount of settlement money you will get, and the insurance company’s release of responsibility.
But there may be other provisions and conditions of the agreement that could influence your decision before you sign. For example, you have to consider the terms of the timing of the settlement payment. Also, you may watch out for arbitration clauses, which may stop you from suing the insurance company. An expert car accident lawyer is mindful of these provisions and would advise you which ones are bad for you.
- The settlement agreement will depend on the full extent of your damages
When faced with the car accident itself, you will deal with lots of financial responsibilities. You will have to think about your current and future medical, rehabilitation, and psychological care. The vehicular repairs, as well as other property damages, is another crucial thing to consider.
You might also consider the income you would have gotten from work. If the settlement money they want to give is not enough for all these damages, then you might reconsider before signing the agreement.
- Expert car accident lawyers help you turn up your odds
Hiring an expert car accident attorney to help you in negotiating with insurance companies will be a great help. They would clarify vague statements in the agreement. These experts will also advise you whether or not the agreement is worth getting into. The skilled car accident lawyers can even have statements in the agreement changed to prevent insurance companies from exploiting your basic needs.
Thinking Twice About Signing A Car Accident Settlement Agreement? Call a Car Accident Attorney Today!
The Clark Law Office is a team of dedicated car accident lawyers knowledgeable in the tricks of insurance companies. Never give a recorded statement to the insurance company before reading this. Contact us now at +1(517)347-6900 or email email@example.com, and let’s find out what course of action is best for you.