How Personal Injury Settlements Are Paid Out
How personal injury settlements are paid out depends on the agreement you make with the at-fault party. You could receive the entire amount all at once, or you could receive several payments over a designated amount of time. A personal injury attorney can help you work out an advantageous agreement.
Which Personal Injury Settlement Payout Method Is Best?
You and your lawyer should discuss whether receiving a lump-sum payment or multiple payments is right for you. One choice is not inherently better than the other, and you may end up making a decision based on:
- Tax laws or other relevant laws
- When you expect to need the money most
- The liable party’s settlement offers
- Your personal preferences
These guidelines apply no matter what type of accident caused your personal injury. You could qualify for a settlement if you were involved in a:
- Motor vehicle accident
- Workplace accidents, including construction accidents
- Premises liability accident
Why Seek a Personal Injury Settlement?
Personal injuries can be expensive. If someone else caused your injury, you should not have to pay for it all by yourself. No matter what payout method you select, a settlement can ease the financial burdens you face after an accident.
Getting Your Personal Injury Settlement Takes Work
Before you start considering how you want to receive your settlement, you must get the liable party to offer a settlement agreement. Doing this often involves:
- Figuring out how much your pain and suffering, medical expenses, and other damages are worth
- Collecting evidence to prove the liable party caused your accident and should therefore pay your damages
- Collecting as much evidence as possible to prove you deserve the damages you are requesting
- Negotiating a settlement that meets your needs and that the liable party will agree to pay
- Sending and receiving paperwork to share evidence, make sure the right court accepts your case, and get your settlement
A personal injury attorney can do all of these things for you, so you can focus on recovering from your injuries. You should consult a lawyer as soon as possible after you were injured. This is because:
- You want to give them enough time to investigate and build a case.
- It may be difficult to find evidence if too much time has passed.
- You can focus on healing if you let your lawyer handle everything from the start.
What if I Cannot Get a Settlement?
If a settlement with the liable party can’t be reached, another option is to sue the at-fault party.
Your attorney can prepare your case for trial. If a jury awards you money, you may have similar payout options: receiving a lump sum or multiple payments. Your lawyer can help also you decide which payout option is best for you.
Time Limits on Seeking Personal Injury Settlements
If you want to sue the at-fault party after you suffered a personal injury, you have a limited amount of time in which to do so.
Each state sets its own statute of limitations that dictates how long you have to take legal action against a liable party. If you miss this deadline, the court could dismiss your case.
You can preserve your right to pursue compensation by:
- Starting on your case immediately
- Working with your attorney to decide on a course of action that meets all legal deadlines and requirements
- Providing your attorney with any pertinent materials (e.g., photos or medical bills) you have collected since the accident
Even if you miss the deadline, however, it may still be worth speaking to an attorney. The courts are sometimes willing to extend the statute of limitations in certain situations.
Getting a Wrongful Death Settlement
If you lost a loved one from injuries they sustained in an accident, it does not mean the liable party is freed of financial responsibility. If you are the victim’s representative, you can seek a wrongful death settlement on your loved one’s behalf.
While there are some differences between personal injury and wrongful death cases, you could still have the chance to decide how you wish to receive payment. A wrongful death attorney can tell you more about your options.
We Help Clients Seeking Personal Injury Settlements
If you still have questions about how personal injury settlements are paid out, Shulman & Hill would be happy to answer them. We can take on your personal injury case and fight for the compensation you deserve. That way, you can focus on recovering from your injuries.
To get started, call 866.932.5558 and get a free case review from a member of our team today.
WE WORK WITH YOU
TO GET YOU COMPENSATED
Everyday working people often struggle to afford top-tier legal representation. To ensure equal access to justice, we work on a contingency-fee basis. You pay no attorneys’ fees unless we achieve a settlement or verdict in your case.
More practice areas
Over 400 million dollars won