How to Negotiate a Personal Injury Settlement

1. How to Negotiate a Personal Injury Settlement • An overview of the basic strategy for negotiating a good settlement of a personal injury claim.

2. Step One: • Calculate Special Damages • Special damages (also known as economic losses) are damages for which money is only a comparable substitute for what was lost. This is also known as the "out-of-pocket loss" rule. Special damages can include: • lost wages • lost earning capacity • medical expenses • funeral and burial expenses, and • property damage

3. Step Two: • Calculate General Damages • General damages (or non-economic losses) are losses for which money is only a rough substitute. General damages include: • physical pain and suffering • humiliation and embarrassment • shock and mental anguish • Loss of reputation • loss of consortiumloss of society and companionship, and • emotional distress. • General damages usually equal 1.5 to 5 times special damages, depending upon the severity of the injury.

4. Step Three: • Adjust the Value of Your Claim • Next, you must adjust the amount you calculated above to reflect the following factors: • Liability. Cases where liability is clearly established will lead to a higher settlement value than cases where liability is disputed. If you were partly to blame for the accident, your settlement will decrease by some amount based on your "contribution" of fault. • Multiple defendants. Where there are multiple defendants, there may be an issue as to how much each should pay. • Characteristics of the plaintiff. Your own characteristics can influence the value of the settlement. For example, your age, occupation, likeability, and prior medical history will probably affect the settlement value. • Where the case would be tried. Some venues are more conservative than others and have a tendency to award lower personal injury damages than juries in more populated, urban communities. An insurance adjuster will keep this factor in mind when negotiating a settlement. • Mitigating Damages. Damages must be mitigated, or reduced, by the injured party if it is reasonably possible. For example, if you decided not to seek treatment after your accident and, as a result, your medical expenses are now higher because your injuries are more difficult to treat, the value of your claim may be reduced to reflect this failure to mitigate.

5. Step Four: • Make Your Settlement Offer • Finally, you are ready to submit your settlement demand letter to the defendant or his or her insurance company. Oftentimes, there will be a lot of negotiating back and forth between you and the insurance company with regard to the value of the claim, until an agreement is reached.

6. Contact an Accident Injury Lawyer • Negotiating with insurance providers requires the expertise to dodge their sophisticated tactics and apply pressure until they have no choice but to offer you a fair settlement. While anyone can act as their own representative in a personal injury case, it is difficult to manage such a fraught and complex situation without the help of a lawyer. We recommend getting in touch with a personal injury lawyer who will, at the very least, help you understand your legal rights and advise you on how to protect yourself.

7. WhyBeninato & Matrafajlo? • At Beninato & Matrafajlo, we are committed to securing positive outcomes for our clients. We also want to equip anyone who may be unsure how to proceed with securing the resources they need to make informed decisions. In support of that goal, we offer free, no-pressure case consultations. During your consultation, we will discuss the unique circumstances of your case and the best strategy for securing fair financial recovery.

8. Phone • Visit Us • Address • 908-378-9126 • www.dmlawyer.com • 1207 East Grand Street 2nd floor Elizabeth,NJ 07201 • Get In Touch with us