Negotiating a settlement following a personal injury claim can be pretty much a bargaining process. You and your lawyer will present a certain amount of compensation based on your presented evidence of damages, and the defendant’s insurance company or layer will try to argue over the amount and haggle their price. It may take some time to get to an agreement because neither side may not have a fixed idea on the amount to be paid or received and some law firms want to talk about the fee. It is therefore vital to be prepared on the several stages of the negotiation process. You have to have the necessary evidence (investigation, demand letters, supporting documents), know how the amount of which you are willing to settle for, and determine if you’re need for immediate settlement.

After you have sent your demand letter, you will soon hear from the insurance adjuster, and the settlement negotiation will begin. It usually takes within a week or two for the insurance adjuster to call you, but this can depend in the insurance adjuster’s schedule and how busy they are. The insurance adjuster may also need time to go over your injury settlement claims and talk with their client (the defendant) regarding the accident.

If the insurance adjuster responded with a “reservation of rights” letter, don’t be alarmed. This letter is aimed to inform you of their company’s right to investigate your claim and they reserve their right to withhold payment if they prove that the accident is not covered under their policy. It may be distressing to receive such notice, but you don’t have to be intimidated with it because it only notifies you of the insurance company’s right to protect themselves from fraudulent claims or acknowledging the coverage of their policy without performing an investigation. They also reserve their right to negotiate with you regarding your injury settlement claims, but it the letter would not determine how the insurance company will respond to your claims; this is be determined by the facts and evidence you present.