Almost all accident cases are settled without court intervention. They are resolved between the injured victim and the defendant’s insurance company. Rarely, when you and the insurance company cannot agree on the settlement amount, the case will move to trial.
However, before signing any settlement documents for your car accident claim, you must be aware of your rights and the legal consequences following them. Check out this website for more information.
Car Accident Settlement Agreement Form
This form contains an agreement between the parties involved in the accident. It is used for resolving any differences between them. It includes the dismissal of any claims and releases the defendant party from any liability. These forms are also referred to as releases or waivers. When both parties sign a settlement agreement, it becomes legally enforceable.
A typical settlement includes compensation to the injured victim by the insurance company in exchange for waiving the defendant and his insurance company of any liability and other responsibilities of the accident. For the agreement’s validity, it is essential to include the following information.
- Accident-related details
It must have all the details of the accident, including the date as well as the location around which the crash took place.
The form must contain any claims made by the party, including the ones for bodily injury, property damages, or other non-economic damages. The form should state that the party waives off all the claims or specific claims, depending on the case. Insurance companies sometimes draft separate agreements for bodily injury and property damage claims.
The form must contain contact information and identification of all the parties involved in the accident.
The settlement form must specify how much money will be paid by the insurance company in exchange for claim release.
When You Should Sign a Car Accident Settlement Agreement Form
If your car accident resulted in an injury, do not sign a settlement agreement until you have entirely recovered from the injuries. Signing an agreement to waive off claims while your medical treatment is going on will cause difficulties later as you may develop other symptoms, or your injury can worsen with time.
After signing the form, you will not be allowed to reverse it and sue the defendant for more compensation money. Even if the severity of your injury increases, you will not be permitted to file another claim. That is why you should always wait until you recover completely to settle the claim so that you get sufficient compensation for covering the cost of treatment.