I Received a Lowball Settlement Offer – What Should I Do?

When you file a claim after a car accident, you expect the insurance company to provide you with all the funds you need to move forward. But what happens when the insurer lowballs you or provides a settlement offer you know won’t be sufficient? 

You don’t have to accept the insurance company’s first offer. Instead, you can negotiate a higher offer with the help of a car accident lawyer.

Follow these steps after an insurance company lowballs your car accident payout. 

Contact a Car Accident Lawyer

You shouldn’t try to navigate an insurance offer negotiation on your own. Doing so will likely waste your time and won’t lead to the outcomes you’re hoping for. 

Instead, work with an experienced auto accident lawyer who can guide you through this process and improve your chances of securing a higher offer. Your attorney can help you gather additional evidence to show that your claim is worth more than the original offer. They can ensure you follow all the appropriate steps to appeal the settlement offer properly. 

Your attorney can also help you understand other methods of increasing your compensation, such as suing the insurance company and/or the at-fault driver. Many Texas car accident lawyers work on a contingency fee basis, which means you may not need to pay unless you win your case. 

Calculate Your Damages

Your attorney will help you calculate the economic and non-economic expenses your accident left you with to determine what settlement offer would be appropriate for your case. Economic expenses may include:

• Medical bills
• Property damage
• Time off work
• Loss of ability to work

Meanwhile, you may be able to negotiate a higher offer to cover your non-economic expenses, such as:

• Pain and suffering
• Emotional distress
• Loss of companionship (in a wrongful death case)
• Trauma

You’ll want to ensure your counteroffer falls within the at-fault driver’s policy limits. The insurance company can only offer up to this amount, no matter how hard you try to negotiate. 

Submit a Counteroffer in Writing

Once you and your car accident lawyer have determined a counteroffer figure, you must submit the offer to the insurance company in writing. Your counteroffer will respond to each point the insurance company made in their original settlement offer and include any additional evidence, such as photos, videos, or police reports, that strengthen your case.

You’ll also provide the calculations that led you to your new figure. This way, the insurance company can see exactly why you need additional compensation. 

Consider Taking the Insurer to Court 

As you wait for a response from the insurance company, think about whether you would be willing to go to court to increase your payout. If the insurance company denies your appeal or refuses to negotiate, your next step would be a lawsuit. Your attorney would walk you through the entire process and make it as seamless as possible. 

You won’t need to go to court if the insurer agrees to your counteroffer. If it doesn’t, your attorney can help you understand what to do next. 

How Can an Auto Accident Lawyer Help Me?

Consulting with vehicle collision legal counsel can help you understand your options after a car accident. If you are considering filing a lawsuit, call 800-433-2408 to reach the experienced car accident attorneys at Fadduol, Cluff, Hardy & Conaway, P.C., or fill out our online form.