• Auto Insurance Settlement: A Definition

    Financial experts claim that the vast majority of auto accident claims eventually get resolved through an auto insurance settlement. Many insurers and consumers define an auto insurance settlement as the resolution of a claim related to an auto accident, where a settlement with some other party might be referred to as simply an auto accident settlement.

    Types of Auto Insurance Settlements

    In some cases, a consumer is settling with his or her own insurance company over the size of a claim payment. In other cases, an individual is settling with the insurance company of some other driver who was at fault in an accident. Either way, attorneys are likely to be involved, especially if the claim includes an injury, where the victim is seeking compensation for medical bills from their healthcare provider, lost wages, and pain and suffering after a personal injury. In some auto insurance settlements, a driver is settling with his or her own insurer for the costs of an accident caused by another driver. That’s because new insurance systems include what’s called uninsured/underinsured motorist coverage, where the company agrees to pay costs in the event of an accident where the money can’t be received from the at-fault party.

    Going to Auto Insurance Settlement

    In these kinds of cases, it’s important to be able to prove fault in an accident, to know the details of your insurance policy, and to know your rights. An attorney will help, but another way to win is to have detailed knowledge of what insurers are compelled to pay, often by documenting the terms of your agreement long before there is a claim. Doing this will help avoid vague denials of payment from an insurer at claim time.