What Is the Difference Between an Insurance Claim and a Lawsuit?

If you have been in an accident due to the negligence of another person or a company, you may have considered suing them.

It is natural for people to be angry when they have been hurt, and television law shows give people the impression that the first thing to do is sue someone. However, before you sue, you will normally want to follow the proper protocol. You will first gather evidence and file an insurance claim.

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What is an insurance claim?

An insurance claim is essentially a request that you make to an insurance company to pay bills related to an accident. The insurance company that will pay your claim will depend upon the type of accident you have had and the state in which you live.

What is a  personal injury lawsuit?

A personal injury lawsuit occurs when two parties cannot settle on the amount of compensation for an accident or cannot agree on who is at fault.

If an insurance company denies your claim, or if you are unsatisfied with their settlement offer, you may sue. You may also sue a negligent doctor for medical malpractice or a party who has caused the wrongful death of your immediate family member.

When should I file an insurance claim?

You should file an insurance claim as soon as possible after an accident. If you have a car accident in the state of Georgia, the at-fault driver’s insurance company is responsible for paying your bills. Georgia is a tort state when it comes to automobile insurance. This means a person who is responsible for an accident will pay all of its associated bills.

According to Georgiatrialfirm.com, when you have an accident at a business or residence, you may be able to sue the owner of the property.

If you have taken a spill at a business, you will normally fill out an accident report and request the name and number of their insurance company. If the business owner was at fault, their insurance should pay for your injuries. When an accident happens at a person’s home, their homeowner’s insurance should pay for your medical bills.

What evidence should I collect?

When you have an accident, you should take pictures if you can and collect the names and telephone numbers of anyone who may have seen it. Document all of your medical expenses and the time you have missed from work.

When should I sue?

When you file an insurance claim, an insurance adjuster will investigate it. They will review your documentation and then decide whether to accept or deny the claim. If they approve the claim, they will make you an offer.

If they deny your claim, you may want to consult with an attorney to determine if it is a good idea to sue. Often, an insurance company will not be willing to pay you as much as you deserve. Although it may be tempting to take what they offer you so it can be over and done with, it is a better idea to contact an attorney.

A trained personal injury attorney will be able to negotiate with the insurance company on your behalf and get you a fair settlement. In some rare cases, you and your lawyer may have to file a lawsuit against the insurance company. However, even if a lawsuit is filed, the two parties will almost always reach an out-of-court settlement.

If you collect as much evidence as possible and hire an attorney with years of experience in personal injury law, you should be able to get the money you need without a lawsuit.

Interesting Related Article: “Mistakes to Avoid When Making a Personal Injury Claim”