Policy Limits Settlement: Using Lawsuits as Leverage

We recently were successful in settling a case for our client, Chelsea, for the full policy limits. Chelsea was driving on Missouri Highway 340 in the far-right lane when another driver, in the lane immediately to the left of her, attempted to change lanes and side-swiped her vehicle. Chelsea honked her horn, but the other driver said he did not see her at all before striking her vehicle.

Chelsea’s vehicle sustained only minor damage – a scrape to the driver-side paneling and a broken side mirror.

Despite the minimal property damage, she sustained injuries to her neck, back and left shoulder. She went to the ER the day after the crash and followed up with a chiropractor whom she treated with for 3 months.

The at-fault driver’s insurance company did not deny liability but, not surprisingly, they disputed the extent of Chelsea’s injuries.

Chelsea had been in a prior car accident the year before in which she injured her neck, back and shoulder. Due to the minor property damage and the pre-existing injuries, the insurance company made a low settlement offer.

In personal injury there is often a tension between good money and quick money. Our goal is to resolve cases as quickly as possible for our clients, but also for the most money possible. The insurance adjuster’s goal is the complete opposite – to settle claims for the lowest amount of money possible.

Filing suit is a highly effective way to make the insurance adjuster increase the settlement offer. Often, the claim will be assigned to a new adjuster once suit has been filed, which usually results in a new evaluation and a higher settlement offer. However, litigation takes time and our clients are not always in a position to wait months, or years, to be compensated for their damages.

We always have an informed conversation with our clients about what the litigation process looks like before we decide whether to file suit. We want to ensure the client understands how much time litigation can take, as well as what role they will play in written discovery, depositions, and trial.

In this instance, Chelsea had concerns about filing suit because of the time it could take. However, we knew her claim was worth more than the low offer made by the insurance adjuster.

We ultimately filed suit and completed written discovery. Just before taking party depositions, we settled the case for the full policy limits – only a few months after filing suit.

Chelsea trusted us to handle her case quickly and effectively, and we are happy we could serve her to the best of our ability and get her the maximum compensation possible.

Gary Burger

Founder | Injury Attorney
Gary Burger has dedicated his career to standing up against bullies. The founder and principal attorney of Burger Law | St. Louis Personal Injury Lawyer has helped hundreds of Missouri and Illinois individuals and families recover th …
Years of experience: 30 years
Location: St. Louis, MO

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