It may seem like the hard part is over when you have settled with an insurance company or at-fault driver after a Florida accident. However, the final phase of your claim begins when you agree to a settlement. Understanding what happens after you accept a settlement is crucial. This will help ensure that your claim is handled smoothly and you receive compensation quickly.
1. Formalizing Settlement Agreements
After a verbal settlement, the first step is to put it in writing. The insurance company or defendant’s lawyer will prepare a release form or settlement agreement. This document will outline the settlement amount, terms, and any conditions attached to the payment. Review the document carefully, preferably with your attorney’s help, to ensure it accurately reflects the agreed-upon terms. Be aware of the legal rights you are waiving by signing.
2. Signing the Release Form
Once the settlement agreement is drafted, the claimant must sign the release document. This legally binding document indicates your agreement to the terms of the settlement. It typically includes a clause absolving the other party from further liability related to the accident. Signing this document prevents you from bringing any further claims against the at-fault party for the same accident. Ensure the settlement is enough to compensate you for your injuries and damages before signing.
3. Process of Settlement Check
The payment process starts after the settlement agreement has been signed and returned to either the insurance company or the attorney of the at-fault party. Insurance companies in Florida must issue settlement checks within a certain time frame, usually between 20 and 30 days following the finalization of the agreement. Your attorney will typically handle the disbursement.
4. Payment of Settlement Funds
Your attorney will deposit the funds in a trust or escrow account upon receiving the settlement check. Your attorney will subtract legal fees and any other agreed-upon expenses from the total settlement amount before you receive your share. This may include reimbursements to insurers for costs related to the accident, medical bills, lien settlements, and other agreed-upon expenses. Your attorney will then issue you a check for the balance after these deductions.
This post was written by a professional at Kevin L. Sullivan II. Attorney Kevin L. Sullivan II is your car accident lawyer in Gibsonton FL, and the best personal injury attorney near you for LeavenLaw. Kevin is proud to serve Florida accident victims who have been injured in auto accidents, motorcycle accidents, slips, and falls or have suffered any other type of injury caused by negligence. Kevin offers a FREE no-obligation consultation to discuss your claim. There are NO upfront fees or costs and if he does not collect for you, you do not owe him anything.
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