How Much to Expect From a Car Accident Settlement

March 4, 2024 | By DJC Law Attorneys
How Much to Expect From a Car Accident Settlement

If someone else caused a car accident that injured you, you may recover compensation through a settlement with the at-fault driver's insurance company. However, determining how much your claim is worth can be tricky. Many factors go into calculating a fair settlement amount after a car crash. 

Below are some of the key considerations that impact car accident settlement values. Every case is unique, so have an experienced San Marcos car accident lawyer evaluate the specifics of your situation.

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Factors That Influence Car Accident Settlements

How Much to Expect From a Car Accident Settlement

The overall settlement value in an injury claim arising from a car accident depends on calculating things like medical costs, lost income, property damage expenses, and non-economic damages such as pain and suffering. Here are some of the most significant factors:

Severity of Injuries

One of the most important factors in determining a settlement amount is the severity of the injuries suffered by the victim. More severe injuries requiring extensive medical treatment, hospitalization, surgery, rehabilitation, disabilities, or permanent impairments/disfigurements may substantially increase the potential settlement value.

Some examples of high-value injuries include:

  • Traumatic brain injuries (TBI): These can affect memory, cognition, behavior, and physical abilities.
  • Spinal cord injuries causing paralysis: Depending on the severity, this can lead to complete or partial loss of function in limbs and other bodily functions.
  • Amputations: Loss of a limb can significantly impact mobility and require prosthetics and ongoing rehabilitation.
  • Severe burns: These can cause extensive scarring, pain, and loss of function, often requiring skin grafts and lengthy recovery.
  • Internal organ damage: Depending on the organ affected, this can lead to permanent dysfunction and require ongoing medical management.

More moderate injuries like broken bones, whiplash, herniated discs, and soft tissue damage may also impact your settlement, just usually not to the same degree as catastrophic injuries.

Total Medical Costs

Total Medical Costs I Car Accident

Your lawyer will factor all related medical expenses stemming from the accident into your settlement demand.

This includes:

  • Ambulance rides and emergency room treatment: Include the cost of transportation to the hospital by ambulance, as well as any emergency room fees, medications, and tests performed during your initial treatment.
  • Doctor and surgeon fees: This includes consultations, surgery costs, and any follow-up appointments with specialists involved in your care.
  • Hospital stays: This covers the room charges, nursing care, medications, and any procedures performed during your hospitalization.
  • Tests and scans: Include the cost of X-rays, MRIs, CT scans, ultrasounds, blood tests, and any other diagnostic tests needed to determine the extent of your injuries.
  • Medications: This covers both prescription medications and any over-the-counter medications you need to take as part of your treatment.
  • Medical equipment you need to recover: This includes crutches, wheelchairs, braces, casts, slings, or any other assistive devices necessary for your recovery.

To support this part of your claim, you need evidence like medical records, bills, and expert opinions on the cost of your future needs.

Lost Wages/Earnings Capacity

You may recover lost income as part of a settlement if your injuries forced you to miss work or limit your ability to earn a living. Some factors that come into play include how much work you missed, whether the injuries are permanent or disabling, and how much your future earnings before the injury.

Property Damage Costs

Property Damage Costs I Car Accident

The settlement amount should also include compensation for any vehicle damage/repairs related to the accident, as well as personal property inside the vehicle that was damaged or destroyed.

Let’s take a closer look.

  • Vehicle damage/repairs: This covers the cost of repairing your car to its pre-accident condition. It may include repairs to dents, scratches, broken windows, malfunctioning parts, and the replacement of totaled vehicles.
  • Towing and storage: The cost of towing your car from the accident scene to a repair shop or storage facility can be included. Daily storage fees while the repairs are underway may also be recoverable.
  • Rental car: If your car is undrivable while it's being repaired, the at-fault party's insurance company may cover the cost of renting a replacement vehicle.
  • Personal property damage: This includes any belongings inside your car that were damaged or destroyed in the accident. 

To claim compensation for damaged personal property, you'll need proof of ownership and the value of the items. Receipts, purchase confirmations, or appraisals can help establish value.

Non-Economic Damages

Non-economic damages are compensation for the intangible losses you experience due to an injury. Unlike the damages above, which tend to have a clear dollar value, non-economic damages are subjective and often harder to quantify.

These damages aim to make you whole again for your pain and suffering.

They may include:

  • Physical pain from your injuries
  • Emotional distress or mental anguish
  • Loss of enjoyment of life due to your limitations
  • Disfigurement caused by the injury
  • Loss of consortium for spouses who experience a loss of intimacy due to the injury

There's no set formula for calculating non-economic damages.  They are typically determined through negotiations, considering the severity of your injury and its impact on your life. These damages are especially important in serious cases with lasting effects.

State Laws and Liability: 6 Things You Need to Know

Different states have different laws regarding things like statutes of limitations, damage caps, contributory negligence rules, and other factors that can impact settlement values. The details of liability and who was at-fault in causing the accident obviously matter as well.

Here are some points to consider:

  1. Statutes of Limitations: Each state has a specific time limit within which you must file a personal injury lawsuit. Missing this deadline can prevent you from recovering compensation, so it's crucial to be aware of the statute of limitations in your state.
  2. Damage Caps: Some states have laws that limit the amount of damages (especially non-economic damages like pain and suffering) that can be awarded in certain types of cases. These caps can significantly impact the potential settlement value of your claim.
  3. Contributory Negligence Rules: States follow different rules when it comes to how a victim's own negligence affects their ability to recover compensation. Some states follow a pure contributory negligence rule, where any fault on the part of the victim bars them from recovery, while others have a pure comparative fault rule or a modified comparative fault rule that allows for reduced compensation based on the victim's percentage of fault.
  4. Liability Determination: The specific circumstances of the accident, including who was at fault and to what degree, will play a significant role in determining liability and potential settlement amounts. Thorough investigation and evidence gathering are crucial to establish liability and strengthen your case.
  5. Insurance Laws: Each state has its own insurance laws and regulations that can impact the claims process, such as minimum coverage requirements, bad faith laws, and the role of the insurance adjuster in settlement negotiations.
  6. Venue Rules: Depending on where the accident occurred and where the parties involved reside, venue rules dictate which court has jurisdiction over the case, which can impact the legal precedents and typical award amounts in that jurisdiction.

Consult an experienced personal injury attorney in your state who can guide you through the specific laws and regulations that apply to your case. They can protect your rights and recover fair compensation for your injuries and losses.

Don’t Miss Out on Car Accident Compensation

Dan Christensen, San Marcos Car Accident Attorney
Car Accident Lawyer, Dan Christensen

Most car accident settlements are final. That means once you accept an offer, you usually can't go back for more money later. An undervalued settlement can leave you struggling with medical bills, lost wages, and emotional stress.

Don't settle for less. DJC Law fights for what injured victims deserve. Our personal injury attorneys can evaluate your claim and get the compensation you need to recover. Get a consultation today with us to discuss your settlement case.