Should I Accept the First Settlement Offer from an Insurance Company? 

Should I Accept the First Settlement Offer from an Insurance Company?

When you’re injured in an accident, you may suddenly have medical costs, need vehicle repairs, or be unable to work. These unexpected financial burdens can cause stress and motivate you to accept the insurance company’s first settlement offer. But that’s not always in your best interests.

A closer look at the negotiation process will help you understand whether you should accept an insurance company’s initial offer.

Why You Shouldn’t Accept the First Offer

Insurance companies are businesses that care about their bottom line. In most cases, their initial offer will undervalue your injuries and other losses. That’s one reason why you should usually reject the insurance company’s first offer.

Another reason is that you may not know the full extent of your damages yet. You may need future rehabilitation, ongoing care or have long-term impacts from your injuries. Rejecting the initial settlement offer and thoroughly evaluating the extent of your damages can help you receive compensation that reflects the true value of your injuries. 

Insurance Tactics To Be Aware of

An Insurance company may push you to accept their initial offer in hopes of reaching a lower settlement agreement. There are other tactics insurance companies use to help keep their costs down in a personal injury claim.

Try To Obtain Admissions of Fault

The insurance company will likely ask you to give a statement about the accident. If you make statements such as “I feel okay,” the insurance company may use this to state that your injuries are mild. 

If you must speak with the insurance company, just give them the bare facts and avoid making other statements. Contact an experienced personal injury attorney so they can communicate with the insurance company on your behalf.

Ask for Medical Release Forms

The insurance company might ask you to sign a medical release form so they can obtain your medical records. However, they may use this to prove you have underlying conditions that caused your injuries and symptoms instead of the accident.

Contact your personal injury lawyer before completing these forms to help protect your interests.

What Happens if I Reject the First Offer?

If you reject the insurance company’s initial offer, you can make a counteroffer for a higher amount. This is a fairly standard practice in negotiations.

Contact a knowledgeable personal injury attorney to discuss your next steps if you’re worried about rejecting an offer. 

What Damages Can I Receive Compensation for In a Settlement?

You should demand compensation for all of your accident-related injuries and damages, including the following:

  • Medical expenses
  • Future rehabilitation costs
  • Property damage
  • Pain and suffering
  • Emotional anguish
  • Loss of consortium
  • Scarring and disfigurement 

Ideally, your settlement amount will fully compensate you for all your damages.

Contact Our Personal Injury Law Firm in Philadelphia Today To Get Help With the Settlement Process

There’s no requirement that you hire a personal injury attorney, but it could greatly help your case. A knowledgeable personal injury lawyer understands the legal process and can advise you on whether or not the insurance company’s initial offer is reasonable.


Your attorney can also protect you from any unfair bargaining tactics by the insurance company. Further, some studies show that personal injury claimants receive higher settlements when represented by an attorney.

If you’re juggling the unexpected costs of an accident and navigating the often complicated personal injury claim process, you may feel pressured to accept the insurance company’s initial settlement offer. Yet that’s usually not in your best interests.

A knowledgeable personal injury attorney can evaluate your case and help you fight for full compensation for your injuries. To learn more and get the help you deserve, call Zavodnick & Lasky Personal Injury Lawyers at (215) 875-7030 or contact us online.
You can also visit our law firm at 123 S Broad St #1220, Philadelphia, PA 19109.