How Much to Expect From Car Accident Settlement

Where does the average car accident settlement come from?

If you have been involved in a car accident of some sort, then your insurance, or maybe the other driver’s coverage may be responsible for compensating you for any injuries or damages that occurred in the accident.

If you have collision coverage on your vehicle and the crash was your fault, then the insurance company will pay an amount to assist you in fixing your car.

If the cost to repair the vehicle is more than the original cost of your car then the insurance company may consider that your car is totaled and will grant you a lump sum based on its worth.

On the other hand, if the wreck was caused by the negligence of another driver, then their insurance company should compensate you for any losses, damages, or otherwise.

The sum that said company offers you may be lower than you expect, however. As you can expect it is easy to get reimbursed for funds that you have paid out, however it is more of a challenge to put a fair price on pain or suffering. Hence the difficulty in some cases. 

Should you get a lawyer involved?

Whether or not you get a lawyer involved is up to you, but working with a car accident lawyer can be very helpful in getting you reasonable compensation that may exceed the amount that the insurance company would offer you if you did not have one. An auto injury attorney will assist you in providing details about your case to the insurance company, or a judge should it come to that.

Be noted that reimbursement for automobile repairs and any medical bills will almost always be determined by the amount that you paid. The lawyer is the best to help for negotiating an adequate settlement for things that are less easy to put a fair price on, such as the aforementioned pain and suffering.

A lawyer can help you take the measures necessary to protect yourself if you have been injured in auto wreckage. You will need to document everything related to the accident. When a doctor can vouch for missed work days and treatment you can cover that money lost also.

To maximize your settlement further, you can use an attorney to help persuade the insurance company that the matter should be looked into further. Should this happen a lengthy investigation may be started and the personal injury lawyer will negotiate the settlement with the said insurance company.

Your Chances for a Settlement

Many automobile accidents result in injuries that are minor enough to be covered by the drives’ personal injury protection policies, including medical expenses and lost wages. However more serious injures will entitle the injured party to file a personal injury lawsuit against the person or thing that caused the accident.

A very large amount of personal injury cases are sorted before they even go to trial, meaning that if you were injured in an accident that was caused by another person’s carelessness or recklessness caused, your chances are high for the case ending in a settlement rather than by a judge or jury in court.


One of the most key factors that can impact the amount of money that you receive from a settlement is the availability of insurance resources.

The reason is that insurance policies are almost always how these settlements are paid. It can be possible to sue a liable party who has no insurance, it may be very difficult to collect that award from the party as many drivers do not have the kind of money you will need to settle your case laying around.

Some cases may include multiple parties, this can be seen in the event of drunk driving, the liable party may not just be the driver but also if they were over-served by a bar or restaurant, in this case, the bar/ restaurant is also liable.

In some other cases, you can also be found to be liable for the accident. While it is possible in this case to seek a settlement from another liable party when you were also partially responsible, your liability will reduce the amount of compensation that you will receive.

How Settlements are Calculated

While you can use online calculators to help you calculate how much you could get from your settlement, the insurance industry does not have an exact formula for calculating the average accident settlement amount.

If you only sustained damage to your car then you will typically be reimbursed based on policy limited. Pain and suffering compensation is only provided when you have been injured. So it is vital to be examined by a doctor as soon as physically possible even if you do not feel hurt.

A good way to get a rough estimate of how you to expect from a car accident settlement add up medical bills, auto repairs, and lost wages and then multiply by three.

For example, if you were injured and paid $4,000 in medical bills, then you were unable to work for a couple of weeks, losing $1,800 in income, then your car accident settlement may be anywhere between $12,500 and $25,500. 

The settlement is usually higher for severe or permanent injuries, you will also get more if the liable party was under the influence.

The Kind of Settlement to Expect

A good guideline to use for determining settlement is that the total is usually around three times the costs of medical bills. That being said, there are a plethora of factors that go into the decision of the average settlement for a car accident.

If taken to a judge, they will take into account the type of injury suffered, the treatment plan, length of therapy, severity of the wreck, and income lost. For the most part, a settlement is only offered once medical treatment has been completed, however, permanent injuries will influence the amount of compensation received.

If you are working with an insurance company, be sure to let them know if you are still undergoing medical treatment as a result of the accident, so that you do not settle for less than you deserve to recieve.

However severe, make sure that you receive the amount of compensation that you are entitled to for your suffering.