After an accident and filing a lawsuit, the first question on any plaintiff’s mind is how much their case could be worth. It’s one of the top questions every personal injury attorney receives. Unfortunately, all figures are guesstimates at best because every case is unique.
According to IBIS World, the personal injury industry was worth about $53.1 billion in 2022, as more people understand the legal system and that they can receive a settlement if they’re the victim of someone else’s negligence.
If you’ve been injured in a car accident, consulting an Austin car accident attorney can help you understand your legal options and maximize your potential compensation.
In this guide, we’ll tackle this complex subject to give you an idea of the sizes of personal injury settlements today.
Key Takeaways
The average personal injury settlement is $52,900 for all types of cases, and two-thirds of plaintiffs receive a financial settlement.
Personal injury settlement sizes vary based on the case in question. The median personal injury award for motor crashes is just $16,000, whereas product liability suits have a median of $748,000.
Every state has its own median and average settlement figures. The median personal injury settlement in Texas is $12,281, whereas the average is $826,892 due to a small number of multi-million-dollar cases.
The best way to increase your chances of winning a better settlement is to hire an attorney and negotiate hard without being afraid to file a lawsuit. Research shows that these steps could more than double your settlement size.
Initiate legal proceedings at the earliest opportunity to beat the two-year Texas statute of limitations and ensure you get the justice you deserve.
What is the Average Personal Injury Settlement?
The average personal survey settlement based on the latest research is around $52,900, encompassing all cases, per a Martindale-Nolo study. Around two-thirds of plaintiffs recovered compensation, with just 15% of that group receiving more than $75,000.
Other key findings from this research showed that those who received the highest settlements did the following:
Hired an Attorney – Those who sought professional legal representation received an average of $77,600 compared to the $17,600 average plaintiffs representing themselves received.
Negotiated Hard – Plaintiffs who accepted the first settlement offer received $11,800 compared to the $42,500 those who negotiated received.
Filed a Lawsuit – Instead of avoiding filing legal paperwork, plaintiffs who either formally filed a lawsuit or notified the party of their intent received $45,500. Those who didn’t receive $23,000 on average.
In short, it demonstrates that most personal injury cases didn’t involve substantial amounts. These are the cases that aren’t circulated in the media. What we can also learn is that hiring a lawyer translates into an enormous increase in the average settlement size.
However, this is just one study, and you may find varying numbers from other organizations, depending on which samples they used to calculate their numbers and over which period.
Texas Verdict Statistics
Each state has significant variations in average settlement sizes. According to Jury Verdict Research, the average settlement for Texas personal injury lawsuits was $826,892. Yet the median personal injury settlement was $12,281.
The substantial difference between these numbers highlights that a tiny percentage of cases worth millions of dollars heavily influences headline numbers on settlement sizes. For example, the widow of an employee who lost his life in the Phillips Petroleum Co. explosion received $118 million.
It’s only the cap on punitive damages that reduced the eventual award to $12 million. Depending on how you count it, it’s easy to see why, if you look up the average personal injury award, you may get the wrong idea.
What is the Average Personal Injury Settlement by Category?
The Bureau of Justice Statistics conducted a study to determine the payouts for different types of personal injury cases. They found that the median award for all personal injury cases was $31,000, with over half of plaintiffs receiving $24,000 or less.
The U.S. Centers for Disease Control (CDC) reports that 39.5 million personal injury cases require some form of medical treatment annually. What do these numbers translate to if we break them down by category and median award?
Motor Vehicle Crashes – $16,000
Premises Liability - $90,000
Intentional Tort - $100,000
Medical Malpractice - $679,000
Product Liability - $748,000
Again, these numbers are the median, meaning you can expect the average to be significantly higher. Likewise, since a federal agency compiled these figures, there will be variations in each category by state.
Texas Personal Injury Settlement Examples
Texas personal injury settlements from the past provide a north star for attorneys to estimate how much cases could be worth when dealing with new clients. Recently, Texas has capped punitive damages in personal injury cases at $12 million. Likewise, medical malpractice case awards have been capped at $750,000 total or $500,000 if the case is against a doctor and the facility they work for.
Here's a rundown of the most notable Texas personal injury cases from 2024:
February 2024 - $17 million
After a mass shooting in Plano led to injuries and eight fatalities, a survivor pursued legal action. The basis of the case was that the survivor saw the perpetrator exhibiting “alarming” behavior, including displaying a weapon. The survivor informed the restaurant manager and advised the perpetrator to store the weapon in their vehicle. The manager also claimed they would arrange transportation to prevent the perpetrator from leaving, but this failed to happen.
The individual who survived the massacre at the defendant’s ex-wife’s residence sued and received a verdict of $17 million. Unfortunately, this would be overturned after an appeal.
April 2024 - $72 million
In Irving, Texas, three workers were installing new electrical lines while standing on a scissor lift at the Frito-Lay manufacturing facility. A boom lift operated by a separate worker collided with the scissor life, resulting in the workers falling from a height of 30 feet.
The worker responsible for the boom lift wasn’t facing the direction of movement at the time, resulting in the scissor lift crash. The subsequent case resulted in a $72 million wrongful death payout to the family of one of the workers who passed away from their injuries.
April 2024 - $37.5 million
A car crash between a broken down 18-wheeler and a Ford F-150 vehicle driven by a lineman from Oncor Electric Delivery on I-635 West resulted in the victim being pinned between the two vehicles. The victim would pass away from these injuries, and the subsequent case resulted in an award of $37.5 million for the victim’s family.
July 2024 - $29,500
In a car accident lawsuit, the plaintiff received injuries after another vehicle ran a red light at an intersection, causing a collision. The plaintiff’s legal team argued that the defendant had been negligent because:
They ran a red light.
They didn’t keep a proper lookout.
They didn’t yield the right of way.
They were speeding.
They drove without paying attention.
The plaintiff won their case and was awarded $29,500. Sadly, due to the plaintiff’s contributions to the accident, they only received $14,250 due to Texas’ comparative negligence laws.
August 2024 - $3.5 million
A 31-year-old resident of an apartment managed by Gatesco Inc. and Magnolia Cove Apartments was shot and killed in a botched robbery attempt after getting out of his vehicle in the parking lot.
According to the subsequent lawsuit, the defendants managed to drive into the premises because of an entrance that didn’t have a gate. The lawsuit claimed that the defendants were negligent and caused the deceased an unacceptable risk of harm because the apartment complex was located in a high-crime area. Moreover, there was no access control system. The deceased’s family was awarded $3.5 million.
October 2024 - $59.9 million
In a medical malpractice case, the plaintiff went to the Christus Southeast Mid-County Outpatient Center after reporting severe pain in their back, neck, and shoulder. A subsequent CT scan was deemed normal, and he was transferred to the Baptist Beaumont Hospital.
Here, the plaintiff received unreasonable delays in their care, with the initial MRI taking 20 hours to perform and the review not coming until five hours later. The MRI scan showed a mass attached to his cervical spine. Once discovered, he received emergency surgery at the Houston St. Luke’s Hospital.
The unacceptable delays in his care meant that he was left paralyzed. A jury awarded nearly $60 million after finding Baptist Hospitals of Southeast Texas 90% responsible for the plaintiff’s paralysis. Sadly, this award would be significantly reduced because of the state’s cap on pain and suffering damages.
December 2024 - $1.74 million
A hospice patient was transferred to an inpatient psychiatric facility to receive a course of medication modification and evaluation. According to the lawsuit, the defendant didn’t perform a thorough medical reconciliation of the plaintiff’s home medications before treating him with morphine.
Failing to perform this critical safety process meant that the plaintiff suffered injuries, with the lawsuit arguing that this was an example of medical negligence that eventually resulted in his death. The compensation included:
$45,000 for the man’s physical pain and suffering.
$500,000 for loss of companionship for his widow.
$500,000 for the mental anguish of his widow.
$300,000 for future damages for his widow.
$100,000 for loss of companionship for his child.
$200,000 for the mental anguish of his child.
$100,000 for future damages for his child.
How Long Does a Personal Injury Settlement Take to Settle?
Every case is unique, but most cases are settled within a few weeks to a few months. No limit exists on how long proceedings can last, with high-value cases involving disputed liability potentially lasting for years.
Your attorney can explain how long your case might take to settle, but these are only estimates. Several factors go into deciding how long your lawsuit might take. Here’s a breakdown of the main factors influencing your timeline.
Injury Severity
Serious injuries delay the timeline because you must reach Maximum Medical Improvement (MMI) to properly account for your medical bills and the impact of your injuries on your life. Complex injuries take longer to determine damages, meaning you may have to wait many months before filing a lawsuit.
Disputed Liability
Cases where liability is obvious are more straightforward because it’s one of the biggest hurdles to proving negligence. These cases are quicker because the main issue is discussing what a fair personal injury lawsuit settlement is.
On the other hand, when liability is disputed, both parties can spend months gathering evidence to tell their side of the story. Examples of disputed liability factors that delay the timeline include:
Disagreement with insurance companies.
Longer negotiations for both parties.
Additional legal experts intervening.
Due to Texas’s comparative liability system, the issue may not even be who’s at fault but to what extent they’re at fault.
Number of Defendants
When multiple defendants are involved, case complexity grows exponentially. The challenges of dealing with multiple parties include:
Scheduling more than one deposition.
Complex liability issues result in widening legal strategies.
Dealing with multiple lawyers.
Defining each defendant’s role in the incident.
Bad Faith Tactics
Insurance companies may intentionally deploy delaying tactics. Some of the most popular ones include disputing the severity of your injuries and bombarding plaintiffs with requests for mountains of paperwork.
The goal is to slow the case timeline to wear you out and force you to accept a smaller settlement. That’s why many legal firms have taken to offering loans secured against future settlements to support plaintiffs in staying the course.
What Does the Personal Injury Case Process Look Like?
Understanding the process helps you to determine the steps you’ll go through and how each one impacts how long it takes to get a fair settlement. Typically, there are four steps to personal injury cases in Texas: filing your claim, submitting a letter of demand, negotiating, and arriving at a settlement agreement.
These four steps look like this:
Filing Your Claim – The first step is to notify the at-fault party and their insurer that you’re seeking compensation for your injuries. It must be done within the two-year statute of limitations on personal injury claims.
Submit a Letter of Demand – The letter of demand comes after you’ve reached MMI. This letter outlines the accident, your damages, and the amount you want in compensation.
Negotiation – The insurer will get back to you with a settlement offer. Rarely is the first offer worth taking, so this is where the process of proposals and counter-proposals begins. Typically, this is the longest part of the process.
Settlement Agreement – Once both sides have agreed on a settlement figure, your lawyer will initiate the final steps of the process. You’ll be asked to sign a release that waives your right to lodge further legal action against the at-fault party for your injuries.
Of course, this is the timeline in an ideal world. If you can’t agree on a settlement figure or even whether the defendant is to blame for your injuries, the next step is to enter litigation.
The litigation process can be broken down into five distinct steps:
Filing – Your attorney will file a formal lawsuit against the at-fault party. Under the statute of limitations, you’ve got two years to do this in Texas, or you will lose your right to claim compensation.
Discovery – The discovery phase involves both parties sharing information and gathering evidence. It includes requests for documents, written statements, and depositions. It ensures both parties have all the facts about the case.
Pre-Trial – Pre-trial motions deal with issues like summary judgments and the admissibility of evidence. If there’s a packed court calendar in your area, this could take months.
Preparations – Your attorney will work with you to prepare for a formal trial. Your team will review all available evidence, call in expert witnesses, and divine their legal strategies.
Trial – Assuming both parties still can’t agree on an out-of-court settlement, your personal injury case will proceed to a formal trial. A judge or jury will make the final decision.
The idea of going to trial is scary, but it rarely happens. According to the Bureau of Justice Statistics, only around 5% of personal injury cases ever progress to the trial stage. That’s because trials are expensive and time-consuming, meaning it is the last resort strategy.
What Happens After You Agree on a Settlement?
The post-settlement stage is the checklist of items you’ll have to cover before receiving your settlement.
After a settlement has been agreed and disbursed to your lawyer, you’ll have to pay several costs first, such as your lawyer’s fees and any liens on your settlement. In Texas, hospitals can file liens against your settlement to cover medical treatment.
It tends to take 30-60 days for the money to be paid after taking care of all your debts and obligations. Note that personal injury settlements aren’t taxable, but damages for emotional distress and punitive damages could be taxable, so it’s wise to consult a tax expert.
Two-Year Statute of Limitations for Personal Injury Cases
All personal injury cases in Texas have a two-year statute of limitations. Every state has its own statute of limitations, but the Lone Star State requires you to file within two years of the incident. If you don’t, you’ll lose your right to claim compensation.
Two years sounds like a long time, but if you have complex injuries and a few months to reach MMI, the clock can tick by quickly. That’s why it’s strongly recommended that you seek legal representation in the first few days after your accident.
What are the Different Types of Compensation Available in a Texas Personal Injury Settlement?
Settlements consist of multiple types of compensation. Damages are usually split into two categories: economic and non-economic damages.
Economic damages encompass your immediate financial losses, such as:
Medical Expenses – All medical expenses are included, such as ambulance costs, surgeries, medical consultations, hospital stays, medications, and therapy. It also includes any future medical expenses if you’re expected to require long-term care.
Lost Wages – Every shift you miss at work is money taken out of your family’s pocket. You’re entitled to claim for every day you missed at work due to your injuries.
Property Damage – Was your property damaged in your accident? Whether your car was totaled or your smartphone was damaged beyond repair, the repair or replacement costs are included.
Non-economic damages are more difficult to determine because you can’t just refer to an invoice for your costs. Believe it or not, these make up the majority of the largest settlements and are common points of contention among plaintiffs and defendants.
Examples of non-economic damages include:
Pain and suffering
Mental anguish
Loss of companionship
Loss of consortium
Loss of quality of life
Depending on the circumstances of your personal injury lawsuit, you may also receive a special type of compensation known as punitive damages. Within the Texas Civil Practice and Remedies Code, these damages are known as “exemplary damages,” but they’re the same thing.
Punitive damages aren’t designed to make accident victims whole again but to punish at-fault parties. The most common cases where punitive damages come into play include actions that would include the willful intent to deceive (fraud), malice, or gross negligence.
Punitive damages are the rarest form of compensation because of the much higher burden of proof. Plus, Texas has laws capping the maximum amount of punitive damages.
The Role of Your Injury Attorney
Your personal injury attorney is there to be your legal representative when you’ve been injured due to someone else’s negligence. It’s their job to guide you through the legal process, dealing with paperwork, insurance adjusters, and at-fault parties.
But the role of the personal injury lawyer goes even further. They don’t just deal with the legal process but also build your case. It’s their job to gather evidence, including issuing subpoenas and constructing a legal strategy to win you the maximum compensation.
In other words, they’re there to assert your legal rights and give you the breathing space to recover from your injuries. Whether it’s legal representation in court, negotiating with insurance companies, evaluating your claim, or conducting formal investigations into your accident, your attorney can do it all.
That’s why the average settlements won by plaintiffs with lawyers are three to four times higher than when accident victims try to go it alone. To learn more, get in touch with the team at DJC Law for your free case consultation.
How to Maximize Your Personal Injury Settlement in Texas
The goal is to maximize your personal injury settlement. Unfortunately, without knowing the legal system and having years of experience, most plaintiffs have no idea what their case is worth or how to ensure they’re not leaving compensation on the table.
We advise all plaintiffs to do the following to ensure they get the justice they deserve:
Seek Immediate Medical Attention – Always go to the emergency room, even if you feel fine. Not only does this ensure that you don’t have any hidden life-threatening injuries, but it also shows that you’re taking your healthcare seriously through documentation. Moreover, if you don’t seek medical help, defendants can argue that you’re exaggerating the extent of your injuries.
Gather Evidence – Keep all evidence, regardless of how inconsequential it might seem. Examples of evidence include medical documentation, photos from the accident scene, eyewitness statements, and police reports. Your attorney will also work to uncover other pieces of evidence, including drafting in experts to create accident reconstructions.
Hire a Lawyer – Working with an attorney is the most impactful step that you can take. An attorney will negotiate with insurers, ensuring they can’t use bad-faith tactics against you. They’ll also guide you through the process, shielding you from the catastrophic mistakes that could ruin your case.
Don’t Speak to Insurance Adjusters – Insurance companies are there to defend their bottom lines and will do everything they can in the process. Anything you can and do say will be used to discredit you, so it’s recommended to avoid speaking to adjusters and let your lawyer do the talking.
Don’t Accept the First Offer – The first offer may sound substantial, but the opening offer never represents the genuine value of your claim. Instead, always reject the first offer and allow your lawyer to negotiate on your behalf. Furthermore, don’t accept any settlement offer without taking the advice of a legal professional.
The good news is that you should already have a basic idea of what your settlement will look like. That’s what comprehensive case consultations are designed to do. Your attorney will analyze your case and get back to you with a rough idea of what you might receive as part of your compensation package.
How are Texas Settlement Amounts Calculated?
Settlements are never one-size-fits-all in Texas. Every case is unique, and various calculations determine how much each case is worth. Naturally, medical costs, injury severity, and pain and suffering are all part of a settlement. Still, there’s also the strength of your evidence, the willingness of the defendant to settle, and even where you file your case.
For example, a broken leg requiring surgery and three months of physical therapy is a very different proposition from a traumatic brain injury that’s statistically highly likely to reduce your overall life expectancy.
One little-known factor is where you file your case. Some jurisdictions are renowned for being plaintiff-friendly, whereas others have juries known for siding with insurers and large corporations.
Generally, Harris, Dallas, and Bexar counties are known for being strong locations for bodily injury claims from the plaintiff's perspective. In contrast, many rural counties have more conservative, less diverse juries that have historically sided with defendants.
The downside is that Texas law requires plaintiffs to file in the county that has a connection with your case, so you can’t just opt for the most plaintiff-friendly country. However, all that’s needed is a connection, so lawyers often have multiple choices and will file accordingly.
For example, let’s say you’re from County A, and a company delivery driver hits you in County B, but the company itself is based in County C. Your attorney can use their experience to decide where the best location is to file your case and increase your chances of success.
Texas Shared Fault Rule – The 51% Bar Rule and How It Impacts Settlements
The 51% bar rule must also be accounted for when determining the value of your settlement. Otherwise known as the shared fault rule, it’s a part of the comparative negligence system. In other words, the at-fault party is responsible for covering all damages, but more than one party can be to blame.
Your contribution to the accident will reduce your settlement amount. Suppose you’re 20% responsible for an accident and receive $250,000 in settlement monies. In this case, your final amount would be $200,000 due to the 20% reduction that makes up your contribution to the accident.
Texas law bars you from seeking financial compensation entirely if you’re 51% or more responsible for an accident.
Get Legal Representation for Your Personal Injury Claim Today
Negotiating the legal landscape after a traumatizing accident might leave you lost and confused. Dealing with insurance adjusters bugging you and trying to gather evidence to build your case while recovering from your injuries is an impossible situation to be in.
But with professional legal representation on your side, help is on the way. With a case success rate of 99% and more than $400 million in settlements won on behalf of our clients, DJC Law is the Texas personal injury law firm ready to serve you in your hour of need.
Get your free case consultation and take the first step to holding others to account by contacting us today.
Average Personal Injury Settlement Claims 2025 FAQs
How much should I ask for a settlement?
The first step is determining what your case is worth by working with an attorney. Legal professionals know recent case history and can draw parallels with similar cases to provide a rough idea of how much your case could be worth.
How much do most personal injury cases settle for?
There’s no fixed amount for personal injury cases. Instead, the average settlement ranges from a few thousand dollars to $75,000. However, it largely depends on which numbers you’re reading. Likewise, there’s an enormous difference between average and median settlement amounts. And don’t forget that individual states also have their own figures.
Do most personal injury lawyers settle outside of court?
Yes, the majority of cases are settled outside of court. Only around 5% of cases ever go to trial. And even if you believe your case is set to go to trial, the defendants can make an out-of-court offer at any point before the end. It’s not uncommon for personal injury lawsuits to end with a settlement, even when formal court papers have been filed.
