Personal Injury

 

• 1Personal Injury FAQ
• 2First Steps in Settling Your Injury Claim
• 3Notify People Who May Be Responsible For Your Injuries
• 4Do I Need a Personal Injury Lawyer?
• 5Who is at Fault for an Accident FAQ
• 6Dealing With Insurance Companies FAQ
• 7First Steps in Settling Your Injury Claim FAQ
• 8Helpful Books & Resources by Nolo

[top]Personal Injury FAQ

How Much Is Your Personal Injury Claim Worth?

Here's the formula used by insurance companies to determine the value of your personal injury claim.

Figuring out how much your accident injuries are worth is a critical aspect of any accident claim. And it is the part of a claim about which it is most difficult to generalize; the amount depends on your very particular circumstances. Here we try to give you a basic understanding of how insurance companies determine the value of a claim.


What an Insurance Company Must Compensate

To determine what your claim is worth, you must first know the things for which you are entitled to compensation. Usually, a person who is liable for an accident -- and therefore his or her liability insurance company -- must pay an injured person for:

• medical care and related expenses
• income lost because of the accident, because of time spent unable to work or undergoing treatment for injuries
• permanent physical disability or disfigurement
• loss of family, social, and educational experiences, including missed school or training, vacation or recreation, or a special event
• emotional damages, such as stress, embarrassment, depression, or strains on family relationships -- for example, the inability to take care of children, anxiety over the effects of an accident on an unborn child, or interference with sexual relations, and
• damaged property.


The Insurance Company's Damages Formula

When determining compensation, it is usually simple to add up the money spent and money lost, but there is no precise way to put a dollar figure on pain and suffering or on missed experiences and lost opportunities. That's where an insurance company's damages formula comes in.

At the beginning of claim negotiations, an insurance adjuster adds up the total medical expenses related to the injury. These expenses are referred to as "medical special damages" or simply "specials." That's the base figure the adjuster uses to figure out how much to pay the injured person for pain, suffering, and other nonmonetary losses, which are called "general" damages.

When the injuries are relatively minor, the adjuster multiplies the amount of special damages by 1.5 or 2. When the injuries are particularly painful, serious, or long-lasting, the adjuster multiplies the amount of special damages by up to 5. (The multiplier may be as great as 10 in extreme cases. For information on exactly how an adjuster determines the multiplier, see How to Win Your Personal Injury Claim, by attorney Joseph L. Matthews (Nolo).)

The adjuster then adds on any income lost as a result of the injuries.

That's all there is to the formula. However, this figure -- medical specials multiplied by a number between 1.5 and 5, then added to lost income -- is not a final compensation amount but only the number from which negotiations begin.


Percentage of Fault

The extent each person is at fault is the most important factor affecting how much the insurance company is likely to pay. The damages formula gives you a range of how much your injuries might be worth, but only after you figure in the question of fault do you know the actual compensation value of your claim -- that is, how much an insurance company will pay you.

Determining fault for an accident is not an exact science. But, in most claims, both you and the insurance adjuster will at least have a good idea whether the insured person was entirely at fault, or if you were a little at fault, or if you were a lot at fault. Whatever that rough percentage of your comparative fault might be -- 10%, 50%, 75% -- is the amount by which the damages formula total will be reduced to arrive at a final figure.

For an extensive discussion of determining the value of your claim -- along with many examples -- see How to Win Your Personal Injury Claim, by attorney Joseph L. Matthews (Nolo).

Copyright © 2007 Nolo

Nolo is the nation's oldest and most respected provider of legal information for consumers and small businesses. Since 1971, Nolo has offered affordable, plain-English books, forms and software on a wide range of legal issues, including wills, estate planning, retirement, elder care, personal finance, taxes, housing, real estate, divorce and child custody. For more information visit the Nolo's website at Nolo: Law Books, Legal Forms and Legal Software

[top]First Steps in Settling Your Injury Claim

Make Notes About Your Accident and Injuries

Writing down the details is far easier -- and more accurate -- than relying on your memory.

One of the first things you should do after you are injured is write down everything you can about your accident, including details of your injuries and their effect on your daily life. These notes can be very useful two or six or ten months later, when you put together all the important facts into a final demand for compensation. Having notes to remind you of the details of what happened, and what you went through, is both easier and more reliable than counting on your memory.

Get into the habit of taking notes on anything you think might possibly affect your claim and carry it through the entire claims process. Whenever you remember something you had not thought of before -- while you're in the shower, just before you fall asleep, as you're biting into a pastry -- write it down and put it with your other notes. Here are some specific things about which you should make notes.


The Accident

As soon as your head is clear enough, jot down everything you can remember about how the accident happened, beginning with what you were doing and where you were going, the people you were with, the time and weather. Include every detail of what you saw and heard and felt -- twists, blows, and shocks to your body immediately before, during, and right after the accident. Also include anything you remember hearing anyone -- a person involved in the accident or a witness -- say about the accident.


Your Injuries

In the first days following your accident, make daily notes of all pains and discomfort your injuries cause. You may suffer pain, discomfort, anxiety, loss of sleep, or other problems which are not as visible or serious as another injury but for which you should demand additional compensation. If you don't make specific note of them immediately, you may not remember exactly what to include in your demand for settlement weeks or months later. Also, taking notes will make it easier for you later to describe to an insurance company how much and what kind of pain and discomfort you were in.


In addition, writing down your different injuries may help your doctor diagnose you. For example, a relatively small bump on the head or snap of the neck may not seem worth mentioning, but it might help both the doctor and the insurance company understand why a bad back pain developed several weeks after the accident. Also, by telling the doctor or other medical provider about all of your injuries, those injuries become part of your medical records that will provide evidence later that such injuries were caused by the accident.


Economic or Other Losses

You may be entitled to compensation for economic loss and for family, social, educational, or other losses, as well as for pain and suffering. But you will need good documentation. Begin making notes immediately after the accident about anything you have lost because of the accident and your injuries: work hours, job opportunities, meetings, classes, events, family or social gatherings, vacation, or anything else which would have benefited you or which you would have enjoyed but were unable to do because of the accident.


Conversations

Make written notes of the date, time, people involved, and content of every conversation you have about your accident or your claim. In-person or telephone conversations worth noting may include those with any witness, adjuster, or other insurance representative, or with medical personnel.


Next Steps

You may want to return to the scene of the accident to take notes or pictures or locate and talk to witnesses who may help your case. For more information on what to do, see Preserve Evidence of Fault and Damages.

See also... How to Win Your Personal Injury Claim by Attorney Joseph L. Matthews

Copyright © 2007 Nolo

Nolo is the nation's oldest and most respected provider of legal information for consumers and small businesses. Since 1971, Nolo has offered affordable, plain-English books, forms and software on a wide range of legal issues, including wills, estate planning, retirement, elder care, personal finance, taxes, housing, real estate, divorce and child custody. For more information visit the Nolo's website at Nolo: Law Books, Legal Forms and Legal Software

[top]Notify People Who May Be Responsible For Your Injuries

If you intend to file a claim for your injuries, it's important to notify potential defendants after the accident.

You don't have to know who was at fault for your accident; you must simply think about who might have been at fault. And in the beginning, you don't have to give the people involved, or their insurance companies, any detailed information about the accident or your injuries. All you have to do is notify them that there was an accident at a certain time and place, that you were injured, and that you intend to file a claim.


Determine Who Might Be Responsible

Before you can notify those responsible for an accident of your intention to file a claim, you must decide whom to notify. Notify all those who might be responsible. This usually depends on the type of accident in which you were involved. For example, in a vehicle accident you'll need to notify the drivers of all vehicles involved, the owners of the vehicles, the employers of the driver if the car was on company business, and your own insurance company -- and there may be others, depending on the circumstances each type of accident -- vehicle or slip and fall -- requires you to notify different sorts of people. For more about who to notify, see How to Win Your Personal Injury Claim, by Joseph Matthews (Nolo).


Write Notification Letters

Once you have determined those who might be responsible for your accident, your next step is to write letters telling each of them that the accident happened and that you were injured. You may need to send more than one letter -- for example, one letter to the business where you fell and another to the person who owns the property.

Write a letter of notification even if the others involved have assured you that they will notify their insurance companies. Your notification should be a simple, typed letter giving only basic information and asking for a written response. It should not discuss fault or responsibility, or the extent of your injuries; you will get to those things later on.

For detailed information about what to include in a letter of notification, and sample letters, see How to Win Your Personal Injury Claim, by Joseph Matthews (Nolo).


Don't Delay in Giving Notice

The important thing about giving others notice and starting your claim is to not delay too long. While you need not give notice within any specific number of days following an accident (except for claims against government entities), it is always best to start early, within the first couple of weeks after the accident.

Also note that filing a notice of an injury accident with people or agencies does not obligate you to file a claim against them. But if you do file a claim later, they will not be able to say that the claim has unfairly surprised them.

Copyright © 2007 Nolo

Nolo is the nation's oldest and most respected provider of legal information for consumers and small businesses. Since 1971, Nolo has offered affordable, plain-English books, forms and software on a wide range of legal issues, including wills, estate planning, retirement, elder care, personal finance, taxes, housing, real estate, divorce and child custody. For more information visit the Nolo's website at Nolo: Law Books, Legal Forms and Legal Software

[top]Do I Need a Personal Injury Lawyer?

When You Can Handle Your Own Personal Injury Claim

It's often smart to handle your own injury insurance claim.

With basic information about how the accident claims process works, a bit of organization, and a little patience, you may be able to handle your own personal injury claim without a lawyer -- and without your insurance company's unfairly denying or reducing your compensation. If so, you can wind up with considerably more compensation for your injury because you won't have to pay costly lawyers' fees.

Types of claims you can often handle on your own include those involving:

• automobile, cycle, or pedestrian accidents
• slip or trip and fall accidents
• home accidents, and
• accidents with defective products.

Of course, there are times when a lawyer's services can be helpful or even necessary, especially in situations involving severe or permanently disabling injuries and certain types of complicated accidents, such as those involving medical malpractice or toxic exposure. (To learn more, read When You Need a Lawyer to Handle Your Personal Injury Claim.)

But because of the four following reasons, in many cases you can represent yourself.


The Claims Process Is Simple

Despite what the insurance industry and some lawyers would like you to think, settling an injury claim with an insurance company is usually quite simple. Most claims involve no more than a few short letters and phone calls with an insurance adjuster who has no legal training, so you don't need to know technical language or complex legal rules. In fact, your right to be compensated often depends on nothing more than commonsense observations about who was careful and who wasn't, and how serious your injuries are.


The Compensation System Is Structured

The amount of fair compensation in any given case does not come out of a crystal ball that only lawyers and insurance companies know how to read. Rather, a number of simple factors -- type of accident, injuries, medical costs -- go into figuring how much any claim is worth. The amount an insurance company will be willing to pay usually falls into a fairly narrow range, whether or not a lawyer handles your claim for you. For more information, see How Much Is Your Personal Injury Claim Worth?


You Know Your Claim Best

You know better than anyone else -- insurance adjuster or attorney -- how your accident happened. You were there; they weren't. And you know best what injuries you suffered and what your physical condition and other circumstances have been since. Usually, these are the most important things to understand when settling an injury claim.


You Can Save Money on Legal Fees

Except in serious or complicated cases, a lawyer is usually able to negotiate for you only an extra 10% to 25% above what you can obtain for yourself, once you understand the claims process. But a lawyer will take 33% to 40% of your recovery as a fee, and in addition charge you for "costs" -- charges for administrative services such as making copies and holding conference calls, plus any fees associated with a lawsuit, which lawyers sometimes begin sooner than necessary. Subtract the lawyer's fees and costs from the extra amount of the settlement a lawyer might get, and you'll see how much better you can do on your own.

See also... How to Win Your Personal Injury Claim by Attorney Joseph L. Matthews.

Copyright © 2007 Nolo

Nolo is the nation's oldest and most respected provider of legal information for consumers and small businesses. Since 1971, Nolo has offered affordable, plain-English books, forms and software on a wide range of legal issues, including wills, estate planning, retirement, elder care, personal finance, taxes, housing, real estate, divorce and child custody. For more information visit the Nolo's website at Nolo: Law Books, Legal Forms and Legal Software

[top]Who is at Fault for an Accident FAQ

Answers to common questions about proving who is responsible for an injury accident.

» What is negligence?

» How do I legally prove who was at fault for an accident?

» Can I get compensation for my injuries if the accident might have been partly my fault?

» Can I get compensation for my injuries if my physical limitations made the accident more likely or made my injuries worse?

[top]Dealing With Insurance Companies FAQ

How to communicate and negotiate with insurance companies after an injury accident.

» How does the insurance claims process work?

» What guidelines should I follow when another person's insurance company calls me to talk about my injuries?

» How do I make a formal claim for compensation for my injuries?

» How do insurance companies decide how much they'll pay to compensate someone for an injury?

» Will my health insurance coverage or paid sick leave from work limit my compensation for an accident?

[top]First Steps in Settling Your Injury Claim FAQ

Learn what you must do soon after you are injured in an accident.

» I've been hurt in an accident and I want to file a claim for my injuries. What's the first thing I should do?

» How soon do I need to notify people about my intention to file a claim for my accident injuries?

» What is the deadline for filing an accident injury claim against a government entity?

» Is there a deadline for filing a lawsuit to recover compensation for my injuries?

[top]Helpful Books & Resources by Nolo

Nolo Website: Personal Injury Main Page

Nolo is the nation's oldest and most respected provider of legal information for consumers and small businesses. Since 1971, Nolo has offered affordable, plain-English books, forms and software on a wide range of legal issues, including wills, estate planning, retirement, elder care, personal finance, taxes, housing, real estate, divorce and child custody. For more information visit the Nolo's website at Nolo: Law Books, Legal Forms and Legal Software

Nolo Book: How to Win Your Personal Injury Claim...
How to Win Your Personal Injury Claim by Attorney Joseph L. Matthews.

Summary

The book that helps you overcome the insurance companies' Goliath!

Dealing with insurance companies and lawyers when filing a personal injury claim can feel like another accident is in the offing. But you can handle a claim yourself -- and save hundreds or thousands of dollars in the process.

How to Win Your Personal Injury Claim shows you how to handle almost every accident situation, and guides you through the insurance claim process, step by step. Learn how to:

• protect your rights after an accident
• determine what your claim is worth
• handle a property-damage claim
• deal with uncooperative doctors, lawyers and insurance companies
• counter the special tactics insurance companies use
• prepare a claim for compensation
• negotiate a full and fair settlement
• stay on top of your case if you hire a lawyer

This completely updated edition of How to Win Your Personal Injury Claim provides your state's most recent laws, small-claims court limits and Department of Insurance information.

Press Reviews

"Finally a book that takes the mystery out of personal injury claims.... consumers can confidently handle claims against insurance companies and save the cost of legal fees."
Los Angeles Times

"An essential purchase."
Library Journal

"Can help you handle your own personal injury claim without slipping on a legal banana peel."
San Francisco Examiner

"Explains insurance coverage, the compensation formula, the demand letter, settlement negotiation, and the formal settlement document."
Reference & Reseach


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