After a car accident, many people are not satisfied with the money they receive from the insurance company. The money is often less than what you need to replace a car. So, knowing what factors are considered while doing the settlements can help a person come into terms with the insurance company. Here are the factors that are considered when calculating the settlements.
Settlement factors for damaged vehicles
If your claim only includes damage to your car, then the compensation will be equal to the cost of repairs or replacement of the car. For example, if your bumper gets damaged, then you will receive enough money to get a new bumper or get it repaired. If the replacement or repair cost exceeds the value of the car then the insurance company will pay you for the loss of the car. The replacement cost depends on depreciation, not the cost of the new car.
Settlement factors for injuries
If you get injured in a car accident, then your personal injury compensation is calculated separately from your car damage. You will receive additional settlement for your personal injury. The personal injury compensation will be determined by the total medical bills, wage loss and the nature of your injury. The amount of compensation you receive for your personal injury will strongly depend on your medical report.
Settlement for pain and suffering
You will get settlement for the past and future discomfort associated with your injury. If the medical report indicates that you may require future treatment, then you will get compensation for that as well. The amount of settlement depends on the seriousness of your injury.
The policy limit is a controlling factor of the amount of your settlement. There is a policy cap and the insurance company won’t pay you more than the cap.
After an accident, you should consult an attorney specializing in personal injury law. This way, you will get the best settlement for your case.