Some insurance companies are telling people after they make a claim that they don't need a lawyer and that the insurance company will make a reasonable settlement without the lawyers taking a cut. Sometimes this is the right advice, but many times it's just one more attempt by the insurance companies to improve their profits at the expense of an injured person.

Most traffic accidents are caused by the negligence of one of the two people involved. Usually somebody runs a red light or doesn't pay attention while the other person is driving normally. When the fault is easy to pin down, the person who is injured can make a claim against the insurance company and usually collect some money for their injuries. In most states, the amount paid reflects a payment for property damage to the automobile and for a rental car for a limited time, payment for medical bills, payment for lost wages, and payment for what is commonly called Apain and suffering,@ but which also includes the inconvenience to the injured person, any disfigurement or scars, and the like. Often insurance companies want to settle a case before the injured person has completely recovered. This is because sometimes what appears to be a limited injury will turn out to require surgery or extended treatment.

A settlement is a final event. You cannot obtain some money now and leave open the possibility that you might come back for more money to pay for another surgery or more physical therapy. Thus, if you settle a claim before you have fully recovered (or before the doctors have said that you are as well as you will get), then you might not obtain full compensation for your injuries.

If you believe that the insurance company for the other driver is really acting in your best interest, or that your own insurance company is interested in your well being more than its financial bottom line, then you should review the fact that insurance companies are in the business of making money for their owners or stockholders.

That said, in many cases, especially ones where the injuries are not serious or the damage to the car is minor, the amount of money that you will receive for your injuries may not increase tremendously once a lawyer becomes involved. Most personal injury lawyers will handle your case on a contingency fee basis in which they receive payment for their time only if they obtain money for you, but you will still be charged the costs for medical reports, filing court pleadings, paying expert fees, deposition costs, copying and other similar costs. Thus, filing suit is still expensive, even leaving out the legal fees which are usually one-third of the amount recovered before the expenses are taken out. If your car has less than $500 damage and your medical bills are less than $500, the odds of getting more money from going to a lawyer and filing suit are probably small. Of course, if the insurance company doesn't offer any money, then you probably have no choice. On the other hand, if your car was totaled and you suffered broken bones, it is likely that a lawyer can get you more money than the insurance company first offers, even taking into account the fees and costs. What many people do is call around to a few lawyers and have them give an opinion of their case. An honest lawyer -- and there are many -- will give an honest answer regarding your case. And at least you know that the lawyers you talk with aren't on the insurance company's payroll.

Kamerow Law Firm PLLC