Expert: Claims Guy - 1/1/2009

Question
On December 9, 2008, my husband and I were hit by a drunk driver while on our way to the store around 5 pm. The damage to our car was $11,790, which was declared a total loss. We had the vehicle only 10 months. I was taken to the ER by the ambulance due to whiplash related injuries and a concussion. We are a military couple so the medical bills are covered. So I am unsure what to ask for in our settlement with her insurance complanies. I went to my follow up appt, had one physical therapy eval with improvement but continue to get sore and achy while at work. I have to do 6 stretches twice a day to stay comfortable. My lost wages were 1200. We went through a period of financial stress as most people would considering the accident occured around the holidays. When we bought the car last Feb. we had put $3,000 cash down. So I was also wondering if I could ask for that in the amount also?
Any advice?

Answer
The $3000 for the down payment is not in any way related to the settlement.  They owe you for 2 types of claims:  property damage (pd)and bodily injury (bi).

The pd claim was settled when they paid for your total loss.  They owed you the market value of the car before it was damaged.  If you had any rental expenses or other transportation expense while shopping for a new car, be sure to ask for that.

The bi claim is for injuries and lost wages.  You mentioned that the military covered your medical bills, but keep in mind the military will likely file a lien against your settlement.  This means you would have to pay back the military for the amount of the medical bills, out of your settlement.  But if you have PIP or MPC coverage on your auto policy, that might cover the medical bills and probably would not involve a lien, so you could avoid this.

As far as settling the injury claim, it sounds as though you are still having problems.  Normally I'd advise against settling until you are fully healed, or at least almost fully healed.  This is because you don't know how long it will take to heal or how much it will cost.

When you and the insurer try to negotiate a settlement, you are trying to estinmate what a jury would award if you filed a law suit.  The amount should include:

-medical expenses.  (if unknown because provided by the military, estimate them based on normal expenses a doctor would charge)
-estimated future medical expenses
-lost wages, even if paid by your employer
-amount for pain, suffering, and inconvenience

The fact that a drunk driver hit you is an aggravating factor.  You cannot get punitive damages, since there was no intent to injure, but a jury would probably be angry at him and give you a little extra to punish him.

they also consider the extent of the impact.  it sounds like this was a hard hit, so it makes your case worth more.

Based on what you have told me, I'd say right now your claim is worth about $5000-$7000.  But I recommend you wait until more healthy before you settle.  If your husband was injured, he also has a claim.