• Kenneth Powell

How Much Should I Settle for After a Car Accident?

Updated: Feb 24

Being involved in a car accident is a terrible experience that includes emotional distress, insurance payments, and medical bills. Automobile accidents always seem to occur at the wrong time and can leave the individual in pain and suffering for an extended period or even a lifetime.

A car accident settlement case can be used to claim compensation from the guilty party with the help of St Louis accident attorneys. These forms of payment could include but are not limited to:

● Loss of wages

● Hospital bills

● Cost of repairs to the car

● Psychological or physical trauma.

Who Pays for a Car Accident Settlement?

Who Pays for a Car Accident Settlement?

Generally, an insurance company or the driver's plan might be responsible for paying out the victim for injury or damages. If the collision is the person's fault, the insurance company typically pays a certain amount to fix the car.

If the cost of the damages is more than the cost of the car, the insurance company may consider scrapping the vehicle and paying out a lump sum based on its worth.

On the other hand, if another negligent driver caused the wreck, their insurance company should compensate for any damages, pain, suffering, or losses. The settlement amount the company pays out could be lower than expected, so it is possible to reject the offer.

It's simple to get reimbursed for funds the victims have paid out, but it is difficult to put a fair price on their suffering and pain.

What Kind of Settlement Can Someone Expect from a Car Accident?

There are a multitude of factors that go into determining the average settlement for a car accident. A good rule of thumb is to aim for three times the cost of the medical bills so that there is enough leeway to cover all expenses.

A judge takes into account a few factors of the auto accident, and these are listed below:

● The type of injury

● Treatment Plan

● Length of therapy

● The severity of the wreck

● Loss of income

The amount of compensation received is influenced if the victim sustained permanent injuries. It is recommended to inform the insurance company of these injuries, so it continues to pay out for medical treatment.

How Car Accident Settlements Are Determined

There is no exact formula used for figuring out the medical car accident settlement amount. If there were only damages to the vehicle, the person typically is reimbursed based on policy limits.

Physical pain and mental anguish compensation are only given when the individual has been injured. Therefore, it is essential to be examined by a doctor immediately after an accident, even if they think there aren't any damages.

Some car accident injuries, such as whiplash, only develop a few days or weeks after the crash, leaving the victim in immense pain. Waiting too long for medical care or pre-negotiating a settlement might make it impossible to be compensated for the injury.

A good way to get a ballpark figure of how much a car accident settlement can be is for the victim to add up expenses like lost wages, car repairs, and hospital bills. Once they’re done, they can multiply the final amount by three.

If a person is left out of work and has paid $5,000 in doctor's bills, that means they have lost $2,000 in income.

On average, a car accident settlement is around $21,000, but in most cases, it is likely to end up somewhere between $14,000 and $28,000. If the injury is more severe or permanent, the settlement amount can be significantly higher. In the case that the accused is found under the influence, the victim gets paid out too.

A policy maximum typically limits the driver's insurance company, so it’s vital to remember this information when filing an injury claim. If damages sustained are more than $30,000, but the insurance limit is $20,000, the victim might need to sue the accused separately to reclaim the $10,000.

Victims might be able to file with their own insurance company if they have underinsured motorist coverage.


Individuals who have been in an automobile accident need to act quickly to open an injury claim. Typically, a person has one to two years from the incident to file a lawsuit against the driver.

Working with a personal injury lawyer from Powell Law Firm can help bring the case to court with minimal distress. The law firm has helped countless people recover adequate compensation for their pain and suffering caused by a car accident.