After a car wreck injury, people have many life challenges to deal with that distract them from building a strong claim for their injuries. They have to get medical treatment and try to heal, all while fighting to make ends meet, and keep their families on track. If they miss work, or owe co-pays, they will fret about lost income and medical bills insurance doesn’t cover. They may have to get around without a rental car, while theirs is being repaired. An insurance company is going to take advantage of these distractions. Their strategy is often to offer some quick (much-needed) money in a under-value settlement. In the midst of suffering or anxiety, many people are tempted to negotiate without a lawyer, and take the low offer they get. It’s an insurance company’s dream, but an injured person’s nightmare. So, it’s better to call a good injury lawyer for a free consultation first!
It is in these moments that an injured person is often at their most vulnerable, and when advice from a good injury lawyer can prevent tremendous injustice. Remember: it’s the job of an insurance adjuster to pay you as little as they can. So, insurance companies take advantage of vulnerability and impatience created by anxiety. They act friendly, offer you a low amount for your “pain and suffering,” and tell you “we’ll take care of your medical bills.” What they really mean is they will get you to release your claims before they become more valuable, as your losses increase. They will let your insurance cover initial emergency bills, and pay for those only if small liens arise. They will refuse any payments for future medical expenses arising after the agreement to settle. Unfortunately, many people accept the first offer because they need money, need it immediately, and they are scared.
But what happens if, after agreeing to a small offer, an injured person has second thoughts? What if the pain isn’t gone, the treatment didn’t work, and they get worse? Most assume that if the accepted settlement amount doesn’t provide full and fair compensation, they are out of luck. Fortunately, Virginia law does allow unrepresented claimants to rescind a bad settlement, but there is a short time limit!
Our firm dealt with this situation recently. Earlier this year, a potential client accepted a settlement offer and received a check with a release to sign and return to the insurance company. The potential client deposited the check, and realized that more treatment would be required. The settlement amount didn’t provide full and fair compensation. When we reviewed the settlement paperwork, we noticed that it didn’t comply with Virginia law. As a result, this allowed our client to back out of the settlement.
Virginia law says that when a release of liability is executed within 30 days of the incident giving rise to a personal injury claim, an injured party is allowed to rescind acceptance until midnight of the third business day after the release was executed to rescind acceptance.
Note: this exception only applies if the claimant wasn’t represented by counsel at the time the release was executed. There are other requirements set forth in the applicable Code section which can be found here.
After meeting with the client, we immediately notified the insurance carrier that our client withdrew acceptance of the offer and also that the check wouldn’t be cashed and could be voided. After conducting a full investigation of the case, we were able to resolve the matter in our client’s favor for significantly more than the initial, accepted offer.
What are the lessons? First, it is never a good idea to accept the first offer the insurance company makes. Insurance companies regularly agree to pay more money as the full extent of a claimant’s injuries becomes apparent. Often, people feel better after a couple weeks, and then the pain returns. This can mean more treatment, sometimes therapies or surgeries that no doctor foresaw in the beginning. That means missed work, and higher expenses. But if a release is final, it cuts off all medical treatment arising thereafter, even when something had not yet been diagnosed or discovered.
While there is an understandable desire to get paid quickly in order to get some financial help, attorneys can sometimes help you find other ways to stave off collections or get some money for medical expenses without releasing your valuable injury claim. So, accepting an offer without talking to an attorney can result in losing all the compensation the law allows an injured person to pursue. Second, merely accepting an offer doesn’t mean that you’re stuck with it, if you act quickly enough to find a good injury lawyer. With us, initial consultations—and the answers we provided—are always free. So if you are wondering whether you should hire a lawyer, you risk nothing to call and ask questions.
If you have questions about a personal injury claim in Virginia, call us. We litigate such cases in Roanoke City and Roanoke County, Montgomery County (Christiansburg, Blacksburg), Lynchburg, Abingdon, Martinsville, Rocky Mount, Wytheville, Bedford, Covington, Harrisonburg, Richmond, Charlottesville, Lexington, or Staunton. We practice in rural areas like Bath County, Campbell County, Giles County, Craig County, Smyth County, Alleghany County, Pulaski County, Franklin County, Campbell County, Carroll County, Patrick County, Floyd County, Stuart County, Pittsylvania County, Henry County, and Wythe County. We also litigate in Virginia federal courts, including the Western District of Virginia divisions in Roanoke, Abingdon, Danville, Harrisonburg, Charlottesville, as well as Eastern District courts such as Alexandria and Richmond.