Claims vs. Lawsuits: Understanding Your Legal Options

When you’re hurt in Metairie, LA, you need to know your legal options. Your early choices can affect how much money you get for your injuries. A claim typically refers to the process of notifying the at-fault party or their insurance company about your injuries and seeking compensation through negotiations. This can often be a quicker and less expensive route, with the potential for a settlement without needing to go to court. 

However, if the insurance company refuses to offer a fair settlement or if liability is disputed, you may need to pursue a lawsuit. A lawsuit involves taking your case to court, where a judge or jury will decide the outcome. While lawsuits can lead to higher compensation in some cases, they can also be time-consuming, expensive, and unpredictable.

An experienced attorney will be able to discuss your situation and help you decide which option is right for you. 

Understanding Insurance Claims

Understanding Insurance Claims

After an injury in an accident, most people start by filing an insurance claim. Depending on the type of accident, this could be an automobile, homeowners, worker’s compensation, or liability insurance claim. Claims often get you money faster than lawsuits, but they might not cover all your costs. 

Insurance claims are common. Take, for instance, automobile insurance claims. As of 2022, there were 283,400,986 cars registered in the United States. That year, 4.2 auto collision insurance claims were filed per 100 drivers. This means more than 12 million auto collision claims were submitted. 

While filing a claim may seem straightforward—simply informing the insurance company about your losses and requesting compensation—it’s often just the first step in a process that can become complex, especially if the insurer disputes your claim or offers an insufficient settlement.

Time matters with insurance claims. Most policies say you must report accidents quickly. If you wait too long, the insurance company might attempt to deny your claim. It also gets harder to find evidence and witnesses as time passes.

Navigating the Insurance Claims Process

You must be careful with insurance claims. Keep good records of everything. Save all papers and messages from the insurance company. The insurance company will ask for proof of medical bills, repair costs, lost wages, and other expenses.

Insurance adjusters may seem friendly, but remember: they work for the insurance company. Their job is to pay you as little as possible. Their first offers are often too low. This is especially true if you need ongoing medical care. Know your rights before you take any offer.

Common problems with insurance claims include:

  • Slow processing times
  • Too many requests for papers
  • Questions about medical care
  • Arguments about old injuries
  • Disputes over coverage
  • Questions about who’s at fault
  • Low settlement offers
  • Poor communication
  • Multiple changes in claims agents

Knowing these problems will hopefully help you avoid them during your claim. However, sometimes, an insurance claim cannot be settled despite your best efforts. That is when an insurance claim becomes a lawsuit. 

When Claims Become Lawsuits

Sometimes, insurance claims don’t get you enough compensation for the injuries you have suffered and your future expenses. When this happens, you might need to file a lawsuit.

You might need to file a lawsuit if:

  • The insurance company attempts to deny your claim
  • They offer too little money
  • They argue about who’s at fault
  • Many people were involved
  • You have serious injuries
  • The insurance policy is too small

We look at each case carefully to find the best path forward.

Understanding Time Limits Of Claims And Lawsuits

Louisiana law sets strict deadlines for claims and lawsuits. These deadlines vary by case type. Miss a deadline, and you lose your right to get paid. Insurance policies often have very short deadlines. Some want you to report accidents within days. Meeting these deadlines protects your rights and helps prove your case. Acting quickly makes your case stronger while delaying is dangerous. Speak with an attorney as soon as possible to learn what time limits may apply to your situation. 

Each case needs its own approach. Insurance companies use many tactics to pay less. A good lawyer helps you navigate the claims process and the legal system protecting your rights.

Your choice between settling an insurance claim and filing a lawsuit affects your future finances. Claims pay faster but might miss future costs. Lawsuits take longer but often cover more expenses. Lawsuits fully account for future medical needs.

Think about these long-term issues:

  • Future medical bills
  • Ongoing treatment
  • Work changes
  • Life changes
  • Family needs
  • Money security
  • Health coverage
  • Retirement plans

Looking at these factors helps you make the right choice for your future.

Making an Informed Decision

Many things affect whether you should settle a claim or file a lawsuit. These include how badly you’re hurt, who’s at fault, insurance coverage, and your medical needs. Understanding these helps you make better choices.

Don’t make this choice alone. Contact the Law Office of John W. Redmann, L.L.C. today to talk about your options at (504) 500-5000. Our experienced team will help you understand your case and make a plan that works for you.