The High Cost of Signing Away Your Rights: Why You Should Consult a Personal Injury Attorney Before Settling

As a personal injury attorney, I have seen countless cases where clients have unknowingly signed away their rights to fair compensation from insurance companies. Unfortunately, these mistakes can have serious and long-lasting consequences. That’s why it is crucial to understand the risks of signing anything that an insurance company asks you to sign without consulting an attorney first.

Let me give you a real-life example of what can happen. Recently, a young woman came to Villeret Law Firm for assistance with a motor vehicle accident claim. She had a serious spinal injury that required eight months of treatment. After that, we generated a demand letter to the insurance company to settle the claim for $100,000.00.

However, shortly after the demand letter was sent, we received a call from the insurance adjuster who informed us that the client had already settled the case for $2,060.00, just three days after the accident. The client knew she had signed something and received the money, but she did not understand that it was a complete release and settlement of her claim. She thought it was just for the time she would miss from work.

Unfortunately, absent fraud on the part of the insurance company, there is little an attorney can do. Once a release is signed and the settlement funds are accepted, the case is closed. The client has effectively waived all their rights to pursue further compensation, even if the amount offered was not fair.

This situation could have been avoided if the client had called an attorney before signing anything. It is always better to err on the side of caution and take the time to understand any legal documents fully. Signing without understanding the terms can have dire consequences.

When dealing with insurance companies, keep in mind that their adjusters are trained to settle cases quickly and for as little as possible. They may pressure you into signing a release by making you think it is the best or only option. However, do not let this pressure force you into signing something you do not understand. Always seek legal counsel before signing anything.

In conclusion, do not underestimate the importance of consulting a personal injury attorney before signing anything with an insurance company. As we have seen in the example above, signing without understanding the terms can have severe and long-lasting consequences. Remember, an attorney can help protect your rights and ensure you receive fair compensation for your injuries.