The Hidden Dangers of DIY Settlement Negotiations
If you’ve been injured in an accident or suffered losses due to someone else’s negligence, you may be tempted to negotiate your settlement alone. Insurance companies and corporations want you to think that hiring a lawyer is unnecessary, but the truth is far from it. Without legal representation, you risk accepting a settlement that is far lower than what you are legally entitled to.
In this article, we’ll break down why you should never negotiate a settlement without a lawyer, common tactics insurance companies use to devalue your claim, and how an attorney can protect your rights and maximize your compensation.
The Insurance Company is Not Your Friend
One of the biggest mistakes people make is trusting that the insurance adjuster has their best interest in mind. The reality is that insurance companies are businesses focused on minimizing payouts. Here’s how they do it:
- Lowball Initial Offers: Insurance adjusters often offer a quick payout, hoping you’ll accept before realizing the full extent of your damages.
- Delaying Tactics: They may drag out the process, making you desperate and more likely to accept a lower amount.
- Disputing Liability: Adjusters may argue that you were partially or fully at fault to reduce your settlement.
- Denying Claims Altogether: Many claims are outright denied in the hopes that the victim will give up.
The True Value of Your Claim
Without legal knowledge, it’s difficult to determine the actual value of your claim. A settlement should cover:
- Medical expenses: Current and future medical bills related to the injury
- Lost wages: Compensation for time missed from work
- Pain and suffering: Non-economic damages that reflect your physical and emotional distress
- Property damage: Repair or replacement of damaged property
- Future damages: If your injuries lead to long-term consequences, your settlement should account for future losses.
Attorneys use expert witnesses, financial specialists, and medical professionals to properly assess your claim’s worth—something insurance companies will never do for you.
Common Settlement Mistakes People Make
Handling your settlement without legal help can lead to costly mistakes, such as:
- Accepting the First Offer: Most initial offers are far below what you deserve.
- Giving a Recorded Statement: Anything you say to an insurance company can be used against you later.
- Overlooking Future Costs: You may not consider future medical treatments or lost earning potential.
- Failing to Document Evidence: Proper documentation strengthens your case, and lawyers ensure everything is accounted for.
How a Lawyer Protects Your Rights
Hiring an attorney to handle settlement negotiations has several advantages:
- Legal Expertise: Lawyers understand personal injury laws and tactics used by insurance companies.
- Strong Negotiation Skills: Attorneys know how to counter lowball offers and fight for fair compensation.
- Access to Resources: Legal teams work with medical professionals, accident reconstructionists, and financial analysts to build a strong case.
- Litigation Readiness: If negotiations fail, a lawyer can take your case to court and maximize your potential recovery.
Real-World Example: How Lawyers Increase Settlements
Studies show that accident victims represented by an attorney receive up to three times more compensation than those who negotiate on their own. For example, in a case involving a car accident victim, the insurance company initially offered $20,000. After legal intervention, the victim walked away with $75,000—proving the immense value of legal representation.
FAQs: Settlement Negotiation Without a Lawyer
1. Can I negotiate a settlement on my own?
Yes, but you risk settling for far less than you deserve. Insurance companies have teams of adjusters and lawyers working against you.
2. How much does a lawyer cost?
Most personal injury attorneys, including Shaumyan & Derbarseghian, LLP, work on a contingency fee basis, meaning you pay nothing unless you win.
3. What if the insurance company denies my claim?
An attorney can appeal the denial and, if necessary, file a lawsuit to recover what you’re owed.
Helpful Resources
Don’t Settle for Less—Get the Compensation You Deserve
If you or a loved one has been injured, don’t risk negotiating a settlement on your own. The experienced attorneys at Shaumyan & Derbarseghian, LLP fight aggressively to ensure you receive maximum compensation. Contact us today for a free consultation and let us handle the insurance companies while you focus on recovery.
