Typically, any insurance policy comes with mention of limits. The limits state the largest amount of money that the insurer would be willing to pay any victim of the policyholder’s negligence.
Significance of limit given in policy
The amount of money available to a claimant/victim might be far less than the size of the accident-caused damages. When that is the case, then the victim could find it impossible to get back to the point where he or she was, before the accident.
Still, claimants are not required to accept the terms of a settlement, if that means accepting a small amount of money. So, if a claimant were to refuse to agree to a settlement, how could that same person get compensated for his or her losses?
An action that the claimant might choose to take
The injured victim of an accident has the right to take the responsible party to court. Someone that has refused to accept the terms of a proposed settlement might use that particular option. Of course, utilization of that option would not always guarantee the granting of a large award.
Even if the victim turned plaintiff were to win in court. That would not automatically mean that the sued party could come up with the amount of money promised in the court-granted award. Only defendants with sufficient assets could hand over a large sum of money.
Suppose a defendant had a policy with the sort of limits that allowed for providing a claimant/victim with a large compensation package?
In that case, the insurance adjuster would have lots of money to play with, during any round of negotiations. That could cause the negotiations to continue for several months. During that period, the claimant/client and the injury lawyer in Medicine Hat would have to work together, in order to seek the best terms possible.
In such a situation, the adjuster would zero in on any weakness in the claimant’s case. For instance, if the claimant had a pre-existing condition, then the adjuster might suggest that the claimant/victim should have been wearing some type of protective device, at the time of the accident.
That would be one way that the adjuster could play with all the money that he or she had access to. Still, that would not encourage an effort on the part of the insurer to deny the submitted personal injury claim. Eventually, that claim would be accepted, and the insurance company would agree to settle.
More importantly, the claimant’s compensation package might approach the size of one of the larger packages. That would reflect the extent to which the accident-caused injury could affect the victim’s future life, or could trigger the development of more medical problems.