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A Good Settlement Offer. Most cases settle out of court before proceeding to trial. Several factors can provide guidance on whether the settlement should be accepted. In general, if you can get close to judgment value of the case in settlement, then it should be considered a very good settlement.
Accepting an early compensation offer should therefore be seen as taking a gamble, as: If you recover from your injury sooner than expected, you could be better off. If your recovery takes longer than expected, you could be significantly out of pocket.
Generally it's not a good idea to accept the first insurance settlement offer from an insurance company. One of the most important things to remember is that insurance adjusters for the most part aren't looking out for the best interests of the claimant.
My advice always is that this first offer should not be accepted without speaking to a personal injury solicitor who can properly assess your claim. If you have sustained a whiplash injury, this rarely gets better overnight. There is every chance that you will need treatment.
Typically, it can take anywhere from one to two weeks for the insurance company to respond to your demand letter. Then it can take anywhere from weeks to months until you reach a settlement that you will accept. Some people accept the first or second offer, while others may accept the third or fourth counteroffer.
You do not have to settle for whatever paltry sum an adjuster thinks he or she can get away with offering you. You have the right to reject any settlement offer and respond with a counter demand for the payment you deserve. But you have to wait until a settlement offer is made to reject it and submit a counter demand.
That you will not accept the initial settlement offer. The reasons why you feel you deserve a higher settlement amount. Each of their low-offer reasons, and your responses. The higher settlement amount that you will accept.
If you cannot agree to settle, your reply should be a formal business letter that makes the case for your higher demand. Your letter should clearly: State that the offer you received is unacceptable. Refute any statements in the adjuster's letter that are inaccurate and damaging to your claim.
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