If you receive a settlement offer for your personal injury claim, you do not have to accept it. Rejecting the offer may even be in your best interests in some cases.
Insurance companies often try to settle claims for as little as possible, and an initial offer might only cover immediate damages like medical bills and missed wages. You could miss out on compensation for future expenses related to your injuries or their emotional impact. If the offer does not adequately compensate you for all your losses, it may be wise to reject it.
What happens after you reject an offer?
Rejecting a settlement offer does not mean giving up on your right to compensation. It does not resolve your claim either. Instead, rejecting a settlement offer paves the way for negotiations. You can submit a counteroffer outlining what you believe is a fair amount based on your assessment of the damages you are entitled to.
Negotiations may go back and forth before an agreement is reached. In most cases, you may recover more than the initial settlement offer you rejected.
What happens if an agreement cannot be reached?
You always have the option of taking the matter to court as long as you are within New Jersey’s statute of limitations for personal injury claims, which is two years. Going to trial will let a jury decide on a fair settlement after reviewing the circumstances of your case.
Seeking legal guidance on the way forward once you receive a settlement offer is in your best interests. It’s easier to make informed decisions when you have an accurate assessment of the compensation you are entitled to and understand your legal rights and options.