How Long Does an Insurance Company Have to Settle a Car Accident Claim in PA?
Under the law, your insurance company has a time limit of 15 days to notify you if your claim has been accepted or
rejected upon filing. The average time to respond is usually within a few days. However, your insurance provider can request additional investigation time if you have questions regarding your claim or submitted incomplete insurance forms.
Insurance coverage can quickly become a mess when understanding what’s covered and what’s not. With the help of a Pennsylvania car accident lawyer from Munley Law, you can rest easy knowing your legal claim is handled with the care and dedication it requires.
How Do Car Accident Settlements Work?
You must take a few steps to begin a car accident settlement in Pennsylvania. The first is to seek medical treatment following your accident. You’ll also need to file a police report if officers were not called to the accident scene and submit the accident to your insurance provider.
From there, you will file a claim with your insurance company. Here, they can decide to accept or deny your compensation claim. If it is accepted, you have the option to negotiate what the settlement offer is. However, if your claim is denied or the settlement insufficiently covers your losses, you can begin the legal process against the at-fault driver. But, if you accept an insurance settlement, you cannot file a lawsuit.
Even though your insurance company representative has 15 days to notify you if your claim has been approved or denied, that doesn’t mean you’ll receive your settlement check that quickly.
Factors Affecting the Settlement Process
Several factors can impact the length of your settlement process. With the help of a personal injury lawyer, you can mitigate some of these issues.
Complexity of the case
The more complex a car accident is, the longer the settlement process will take. For example, if you sustained severe injuries, the accident involved multiple vehicles, etc., this can require further investigation from the insurance company.
You can work to minimize these issues by having the following pieces of information ready:
- Medical bills and medical records
- Proof of property damage
- Proof of lost wages
- Accident report
The more evidence you have available to the insurance, the quicker the process will go.
Severity of your injuries
The severity of injuries sustained will also impact the timeline for your settlement. They often require more in-depth medical records and extensive medical expenses, which must be accounted for both currently and in the long term.
Disputes over liability
Pennsylvania follows the law of comparative negligence that works to adjust a victim’s compensation in a personal injury claim and must be less than 50 percent responsible for an accident to recover compensation.
This can cause a delay in your settlement as the at-fault party will try to minimize their liability and increase yours, directly impacting the maximum compensation you can recover.
For example, if your car accident claim is worth $50,000 but is found to be 25 percent at fault, your settlement payout would be adjusted to $37,500.
Negotiation
Settlement negotiations can also delay your case. The negligent parties or insurance companies will not likely immediately offer you the compensation you need for your injuries and losses. Instead, you will have to undergo the negotiation process. This process will often be a back-and-forth line of communication between your insurance and the negligent parties or your car accident lawyer.
Settlement negotiations can take weeks to months to resolve.
Common Reasons for Delayed Settlements
Your personal injury settlement can be delayed for many reasons. While the insurance company typically only has 15 days to investigate and notify you of the status of your claim, they can request additional time to investigate. While this is typically only up to 30 days, it can be longer if the claim is denied and then has to go to court.
Disputes over coverage
Your insurance adjuster will carefully review your policy. This is not to benefit you but to ensure they only pay for what they are contractually obligated to do. During the claims process, they will consider the adequacy of insurance coverage and how your liability in the wreck mitigates that.
This can lead to disputes over what the insurance policy covers. A car accident attorney can review your policy to ensure you get rightful compensation for your claim.
Ongoing medical treatment
If you suffered severe bodily injury, be it internal injuries or visible injuries, you are likely getting ongoing medical care. This can delay the settlement process as your accident lawyer will need to prove the need for your treatment, which can only be done if you receive it. This is why you need to seek medical help as soon as possible after the accident to begin building your medical records.
Multiple liable parties
When many people are involved in an accident, settling can take longer. Each party has their insurance, lawyers, and schedules, making the process more complex and slower.
A Typical Settlement Timeline
Depending on the complexity, a car accident can be settled in as little as weeks to well over a year. Knowing the timeline of a car accident settlement is important for managing expectations, meeting legal deadlines, and making informed decisions about your case. It also aids in financial planning, especially when dealing with medical bills or lost wages, and ensures critical evidence is preserved. This awareness can help your claim move forward efficiently and with the best possible outcome.
Initial Consultation
If you utilize legal representation, you will begin with an initial consultation and case review. Here, your attorney will review the facts of your case and any compelling evidence, including the accident report, statements, medical bills, etc. They can help calculate the value of your accident claim before you submit it to the insurance company.
Investigation and Medical Treatment
Most personal injury cases require an investigation into what occurred. The discovery process can take a while, depending on how many parties were involved and the severity of injuries sustained. Your insurance carrier will conduct their investigation, while your legal team will do the same. In complex cases, this can take months to complete.
Demand Letter
With legal advice, you will draft a demand letter or package to the auto insurance company with the compensation you need for your injuries and losses.
Negotiations
Once a demand letter has been issued, settlement negotiations can begin. The injured party can negotiate with the insurance company until an agreement is reached or the claim is denied.
Settlement Agreement
If you are lucky, your insurance claim will end in a settlement agreement, ending your case there. But, if an agreement can not be reached, you may have to go to trial.
Trial, if necessary
Most car accident cases are settled outside of court, but cases involving serious injuries may require a jury. Most cases take one to three days in court but can take months to resolve. The time frame will ultimately depend on the facts available.
Disbursement of Funds
Whether your case is concluded with a settlement or in court, receiving your final check can take weeks to months. If you are waiting for a settlement check, contact your law office to see where the delay occurs.
Insurance Company Dragging Their Feet? Call the Munley Law Firm.
Injury victims in a car accident awaiting a settlement from the insurance company or a personal injury lawsuit must call Munley Law. By law, the insurance company must notify you of your claims standing, and if the timeline to settlement seems drawn out, you may need legal experts.
To have an experienced attorney review your personal injury lawsuit or claim and to take legal action, call a Munley Law personal injury lawyer today for a no-obligation, free consultation.
We help car accident victims recover fair compensation for their losses, including:
- Medical costs
- Lost wages
- Physical pain and suffering
- Emotional distress and mental anguish
- Loss of enjoyment of life
- Punitive damages
Do not delay. The statute of limitations deadline for personal injury law is two years from the accident date. The statute of limitations may be extended under certain exceptions, such as the discovery rule, so contact our personal injury law firm immediately.
