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How Long Does A Car Accident Settlement Take?

Posted by Harlene Labrum | May 18, 2022

If you suffered injuries in a car accident that was not your fault, you are probably wondering when to expect your first settlement check to cover some of your financial losses. Many victims of automobile wrecks wonder, “How long does a car accident settlement take?” Our results-driven and seasoned attorneys at Labrum Law have handled numerous car accident cases in Nashville, Tennessee. We understand what it takes to obtain a fair settlement on behalf of our clients. Our lawyers have the necessary expertise and resources to help victims settle car accident injury claims within a reasonable amount of time. Consider speaking with our skilled attorneys at Labrum Law to discuss the timeline of the settlement process in your particular case. Call (615) 338-9500 to receive a free case review.

How Long Will It Take to Settle Your Car Accident Case?

The amount of time it takes to settle a personal injury or property damage claim after a car crash depends on many factors surrounding your unique case. The settlement process can take anywhere from two or three months to several years.

In order to settle your claim, you or your lawyer will have to prepare a demand letter to request the appropriate payment to cover your losses and damages. Basically, the letter is sent to an insurance company to persuade it to pay compensation. Then, you must go through negotiations with the insurer. This process can take anywhere from a few months to a year or longer.

Insurance companies in Tennessee must follow strict deadlines to respond to initial claims and decide to approve or deny a claim. Under Rules & Regulations of the State of Tennessee Section 0780-01-05-.07, insurance companies in the state have 30 days to acknowledge the receipt of notification of a claim filed by a claimant. The only exception to the 30-day acknowledgment requirement is if the insurer paid the claim within the first 30 days.

Factors That Affect the Length of the Car Accident Settlement Process

How long it will take to settle your car accident claim depends on how complicated your case is. The following factors may increase the length of the settlement process after a car accident:

  • The severity of injuries. If the victim suffers minor injuries, the settlement process will generally take less time to resolve. However, if a victim suffered a serious injury that requires extensive treatment, they would probably need more time to settle. Typically, car accident victims wait until they reach the maximum medical improvement (MMI) before settling their claim.
  • Disputes. If there are any disputes regarding the severity of the claimant's injuries or the liability of the parties, the settlement process could take longer to resolve.
  • The amount of money at stake. As you may know, insurance companies are not interested in paying the full amount. An insurer may look for various ways to pay less or deny the claim altogether. The higher the amount of money at stake, the more likely the insurer will be to attempt to delay the process.
  • The number of parties involved. The number of drivers involved in a car crash also factors in when answering the question, “How long does a car accident settlement take?” When the collision involves three or more parties, settling the claim may take longer because the process involves more insurance companies and entails the collection of more evidence.
  • The insurer's willingness to cooperate. The insurance company's readiness to cooperate with the claimant can also impact the length of the settlement process. The longer the insurer takes to respond to an initial claim and provide answers to the claimant's questions, the more time it will take to receive compensation.

If your car accident has any of the above-mentioned factors, it could take much longer to reach a settlement. Litigation can further increase the length of the settlement process. Consider contacting a skilled attorney to expedite the claims process as much as possible while fighting for fair compensation in your case. Contact our lawyers at Labrum Law to talk about your case.

Why Insurance Companies Want to Settle Car Accident Claims as Quickly as Possible

It is not uncommon for insurance companies to pressure claimants to accept settlement offers as quickly as possible. However, you should not rely on the insurance company to take care of you and your interests.

When an insurance company makes an initial settlement offer, consider speaking with an attorney to determine whether or not the offered amount reflects the actual value of your case. Generally, initial settlement offers are lowball offers. Once you accept the insurer's settlement offer, you will automatically sign away your rights to additional compensation.

While it is common for insurance companies to delay the claims process and offer unreasonable settlement amounts, insurers must abide by the Unfair Claims Settlement Practices Act, which prohibits insurance companies from engaging in fraudulent or dishonest tactics. The Act is codified at Tenn. Code Ann. § 56-8-101.

Contact a Nashville Car Accident Attorney at Labrum Law

Consider speaking with a knowledgeable attorney protect the value of your claim and help you handle all communications with the insurance company. Our attorneys at Labrum Law have efficiency in mind when helping car accident victims settle their claims. We understand that many victims of car accidents have little to no money coming in after the crash in which they were injured. That is why we strive to handle cases on behalf of clients in a timely and caring manner. Speak with our Nashville car accident attorneys to answer the question “How long does a car accident settlement take?” after reviewing the facts surrounding your case. Call (615) 338-9500 to get your free consultation.

About the Author

Harlene Labrum

Harlene is focused and passionate about helping those injured in car wrecks.  She earned her J.D. at Nashville School of Law and her Bachelor's degree at State University of New York at Albany, awarded with the highest GPA and high honors.  Harlene began her career in law as a personal injury par...

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