Once negotiations start, they do not stop, even if one of the disputing parties has filed a personal injury lawsuit. Claimants that so choose, have a right to take part in such negotiations.
What events lead up to the negotiations?
The claimant’s doctor tells the patient that he/she has reached the stage of maximum medical improvement. The claimant-lawyer team prepares and sends a demand letter. The document makes its way to the adjuster’s office. The claimant’s letter could be attached to significant documents, such as photos of a damaged vehicle.
The demand comes at the end of the letter. The adjuster studies that demand and makes an initial bid/offer. That action marks the start of negotiations, as per personal injury lawyer in Red Deer.
How a claimant could judge the level of progress, while negotiating?
Smart claimants keep in their mind a figure that represents the minimum acceptable settlement figure. Yet, claimants should feel free to change that figure, after viewing the adjuster’s opening bid.
Smart claimants do not panic if they receive a reservation of rights letter. That does not mean that the insurance company has stopped negotiating with the opposing party. It is just a reminder that there has been, at least at that point, no promise to pay any compensation. A refusal to accept the adjuster’s first offer and ability to handle a low offer represents progress.
How should a claimant handle a low offer?
First, the claimant’s response should take the form of a question. That question should inquire about the reasoning behind the low figure. Claimants usually call the adjuster’s office, in order to make that inquiry.
The adjuster’s answer might list the weaknesses in the claimant’s argument. That list should motivate the recipient (claimant) to strengthen those weak points. The stronger points could be explained in another communication, one that should be mailed to the adjuster. Ideally, that action should trigger a re-starting of the give-and-take (negotiations).
Steps to take, as negotiations come to an end, and yield an agreement
Get written confirmation of any settlement figure, one for which both sides agree. Also ask when the promised funds should arrive at the office of the plaintiff’s lawyer. Obtain the release form from the insurance company. Have plaintiff sign that release form. Send signed release form to the insurance company.
At that point, the plaintiff should rest easy, because the insurance company has promised a fair compensation. The insurer should rest easy, because the insurance company would never be charged with future medical costs for any new medical problems that might develop in or on the plaintiff’s body. That agreement should supersede any other agreement between the insurance company and the plaintiff’s lawyer. It should conclude the negotiations.