What is the Average Car Accident Settlement Amount?
Victims of car accidents have the right to file a legal claim in Wisconsin to recover their losses. These legal claims are generally insurance claims against a negligent party’s insurance company.
Most car accident claims end in a settlement. This means the injured victim and the at-fault party’s insurer come to a final compensation agreement outside of court.
Why Settle?
Most car accident claims settle because going to trial is risky for both the victim and the insurer. Trials are costly and time-consuming, and both parties must rely on the judge or jury to decide their fate.
What is the Basic Settlement Process?
The insurer will make a settlement offer to the victim or their attorney. The settlement amount will be a lump sum payment.
If the victim accepts the payment, they give up any future right to sue and the claim is resolved. A quick settlement or settling without professional advice could end in a financial loss for the victim.
Car accident attorneys typically make several counteroffers before settling on behalf of their client. If no fair settlement is forthcoming, a lawyer may choose to file a personal injury lawsuit.
What is a Fair or Average Car Accident Settlement in Wisconsin?
According to the Insurance Information Institute, the average claim for bodily injury after a car accident was $20,235 in 2020, while the average property damage claim was $4,711. At first glance this may seem like valuable information, but it is not.
Car accident settlements are as unique as the victims and circumstances they involve. Settlement compensation is meant to make a victim “whole” again or return them as closely as possible to their pre-accident state.
Determining a fair settlement amount requires examining an accident’s effect on a victim’s overall physical, mental, emotional, and financial well-being.
Factors Used to Determine Car Accident Settlement Amounts
Several factors are taken into account when calculating a car accident settlement. These include the severity of the accident and extent of a victim’s injuries in addition to the following:
- The victim’s age;
- The victim’s life expectancy;
- The victim’s career;
- Whether the victim can return to their previous job;
- Medical bills;
- Hospital stays and surgeries;
- Prescription costs;
- Home and vehicle modifications;
- Occupational and rehabilitation therapy;
- Mental health counseling;
- Prognosis for recovery;
- Lost wages;
- Property damage;
- Lost earning potential;
- Mental and emotional trauma;
- Loss of enjoyment of life;
- Loss of companionship; and
- Loss of intimacy.
Other issues that may affect a settlement amount include the at-fault party’s insurance coverage and whether the victim shared any responsibility for the accident.
Contact an Experienced Wisconsin Car Accident Attorney Today
Before speaking to an insurance adjuster, reach out to an experienced Milwaukee accident lawyer at Mingo & Yankala. Let us review your situation at no cost and offer you advice as to your car accident claim value.
Our award-winning attorneys can answer your questions about the car accident claims process and explain Wisconsin’s deadline to file personal injury claims. Contact us in Milwaukee now by phone or online to schedule your consultation.