Generally, the at-fault party’s insurance company will require the accident victim to sign a liability waiver or release form. This legally binding document states the amount of compensation the victim will receive and states that the at-fault party is free from any further liability for the accident. It also releases the insurance company from liability for any injuries and damages caused by the at-fault party.
If you accept a settlement and sign it, you are giving up your right to take any additional legal action against the at-fault party or the insurance company for damages that resulted from that same accident. If your injury happens to get worse in the future, you will not be able to seek more compensation.
This is why it is important to know the extent of your injuries and damages and how long they may impact your life. If your injuries require ongoing treatment, this can be quite costly. The last thing you want is to have to pay out of pocket for expenses that could have been included in your settlement.
An attorney can help with settlement negotiations and help you understand the terms you are agreeing to. He or she can also help determine how much your case is worth so that you are fairly compensated.