Inexperienced lawyers and recent Law School graduates have no training in attaching a value to a personal injury claim. Frequently demands are pulled out of thin air with no thought process or logic. There are many ingredients which go into the recipe for making an appropriate demand on an insurance company and getting an appropriate settlement which matches the injury and compensates a victim for the loss incurred as well as the pain and suffering which they have endured as well as the future problems which they may yet have to contend with.
Some insurance companies use a computer system which assists in pricing out a claim. I have been told by some of these companies that their system is accurate and utilizes hundreds of variables in arriving at these ”fair” numbers. Fortunately there is an art form and somewhat of a science to making a demand and formulating an appropriate settlement amount for a client’s case.
I am frequently asked at the inception of a case – “What is my case worth?” My answer is along the lines of the following:
That is a good question. My experience tells me that it is just the beginning of your case and way too early to put a value on it or any case. But there are some factors to take into account. Those factors should include the nature and extent of your injury, any out of pocket costs or losses, any prior medical condition, your own actions in contributing to the cause of the accident, the amount of the insurance coverage and even the county in which the case will be heard. No worthwhile attorney can put a value on a case until all facts are known from both sides. That being the case below are some additional factors to be considered:
1. The quality of the lawyer you hire
2. The nature of the accident and the role your actions played in such accident
3. The nature and extent of your permanent injuries
4. The threshold you selected and whether or not your injuries overcome that threshold (for motor vehicle accidents generally).
5. The amount of available insurance.
6. Your economic losses, including past and future lost wages.
7. Your Medical treatment- test results, the extent and continuity of that treatment.
8. The quality of the opinions of your treating doctors as well as their reputation and availability to testify on your case.
9. Any visible scarring.
10. Surgery or need for future surgery.
11. Nature and extent of your ability to engage in usual and customary activities and recreational activities.
12. Severity of the property damage to the vehicles involved.
13. County in which the case is brought.
14. Your ability to articulate yourself in a deposition or on the witness stand.
15. Whether or not your followed attorney instructions.
16. The amount of liens to be paid back to Medicare, Medicaid or charity care. Erisa Liens?
17. Past injuries to the same area of the body.
18. The quality and interpretation of MRI films.
19. The Judge assigned to your case- possible bias in either direction.
20. The amount of time that has passed before your case lands in court.
21. Your age and future economic losses.
22. The amount of loss suffered by your spouse- “Loss of consortium”.
23. The quality of testimony of lay witnesses, your friends and family.
24. Whether or not the defendants continue to stay in business.
Since there are no books or charts which an attorney can refer to in order to come up with a case value, it’s basically experience and skill that determine a value of a case for settlement purposes. If you or a loved one has a personal injury case, please contact The Law Office of Mitchell H. Portnoi at 908-228-8800.
