As these results demonstrate, it usually takes time to achieve a positive outcome. In our readers’ experience, hiring a medical malpractice lawyer usually resulted in a longer claim process. On average, those who hired an attorney resolved their cases in 17.8 months, compared to 10.2 months for those who handled their claim on their own.
When you finally reach a settlement, there are a few more things you and your lawyer need to do before the defendant gives your lawyer the check. Even so, once the check reaches your lawyer, there are a few obligations they must attend to before they give you the final balance. What Factors Delay My Settlement Check?
Most medical malpractice lawyers will represent a client under a contingency fee arrangement, meaning the lawyer's entire fee is paid as a percentage of the award or settlement in the case. So, if the case goes to trial and the patient loses, or if the client receives nothing in the way of settlement, the lawyer is never paid a fee.
Once all of your liens and fees are deducted, you should receive the remainder of your settlement money. As we mentioned before, most injured victims receive their settlement funds within about six weeks from the end of negotiations. However, additional delays can happen.
about six weeksHow long does it take to get a settlement check? The answer depends on the various processing steps and payments required before you get the check, but in most cases, you can expect to receive your funds in about six weeks.
Cashing in Your Settlement Check With Your Bank Generally, a bank can hold funds: For up to two business days for checks against an account at the same institution. For up to five additional days for other banks (totaling seven days)
Upon successfully settling car accident claims, most insurance companies will mail out checks within 30 days. The typical wait for a settlement check after the resolution of a claim is one to two weeks. In some situations, however, it could take months for the insurance company to send your check.
Check Clearance In most cases, the defendant sends the check to your lawyer. Once your lawyer receives the check, they usually hold it in a trust or escrow account until it clears. This process takes around 5-7 days for larger settlement checks.
The first $200 or so of a personal check is usually available one business day after the day you deposited the check....How long does it take to clear a check?ThursdayDay of deposit: You deposit a $1,000 check.MondaySecond business day: The rest of the check ($800) is available.1 more row
It can take the insurance company many weeks, sometimes months, to send an insurance check to you. In most cases, they will send the check to your lawyer's office. You can usually expect the check within 30 days.
Generally, the money an insurance company receives in premiums goes into investment accounts that generate interest. The insurance company retains this money until the time they pay out to a policyholder, so an insurance company may delay a payout to secure as much interest revenue as possible.
Once an insurance company has admitted liability and agreed to process the claim, they tend to move quickly. Some claimants receive their compensation in a few days. More commonly, the claimant will receive their compensation payment within 2 and 4 weeks.
Once you reach a settlement with the insurance company, the lawyers typically draft a series of release forms. Depending on your circumstances, your release forms might be relatively simple, or they might contain detailed terms and conditions that your attorney will have to read over very carefully.
Once the settlement check clears, your lawyer will distribute your settlement money. Usually, your lawyer will have to use some of your settlement money to settle various unpaid debts (also called liens). For example, your lawyer might have to send portions of your settlement money to: Medical providers with unpaid bills.
Upon receipt, your attorney will deposit the insurance check into a special trust or escrow account. This is only temporary, and it’s not your attorney’s decision — it’s a mandatory part of the settlement process under State Bar of Texas rules. Once the settlement check clears, your lawyer will distribute your settlement money.
For example, if you received a structured settlement, your annuity might pay you a portion of your settlement every month, every year, or every few years.
While this process should run smoothly, insurance companies sometimes delay payment for various reasons, including flat-out clerical errors. If you experience prolonged delays while waiting for your settlement check, you should contact your lawyer for assistance.
On rare occasions, a personal injury claim gets paid through a structured settlement, which is an arrangement that involves the victim receiving portions of their settlement over time. Typically, these structured settlements occur when the victim is a minor or has a catastrophic injury claim that involves ongoing, expensive medical and nursing care.
If your settlement gets delayed extensively and you’re wondering what’s going on, you should contact your personal injury lawyer. Your lawyer should be able to at least explain the delay and might even be able to resolve it. And, he or she might be able to give you options that could expedite your payment.
Most medical malpractice lawyers will represent a client under a contingency fee arrangement, meaning the lawyer's entire fee is paid as a percentage of the award or settlement in the case. So, if the case goes to trial and the patient loses, or if the client receives nothing in the way of settlement, the lawyer is never paid a fee.
Many lawyers use agreements that provide that the lawyer will pay for costs of litigation, at least initially.
The portion of the award that goes to the lawyer can vary, but the most common contingent fee is 33 percent of the award or settlement. Some arrangements might use different numbers for different circumstances. For example, an arrangement might provide for a 33 percent contingency fee if the case settles before trial, and a 40 percent contingency fee if the case goes to trial.
Does this mean you should consult five different lawyers and compare prices and qualifications? Probably not, but there is absolutely no reason why potential clients should not shop around for the right medical malpractice lawyer. Remember, initial consultations are generally free.
Nearly half of our readers resolved their medical malpractice claims in six months or less, while the process took over a year for more than a third of our readers. It’s natural to want things to go more quickly when you’ve been harmed by a medical mistake, but a look at the numbers shows that a fast resolution doesn’t necessarily mean a good result.
On average, it took readers just over a year to resolve their medical malpractice claims.
Half of readers with successful outcomes resolved their cases in seven to twelve months, while more than a third took longer.
My persistence has paid off many times over. I never quit when I strongly believe what I am pursuing is worth the fight and wait.
If you are waiting longer than that, "waiting for the check to clear" is not likely a satisfactory explanation. In addition to the problem of the check clearing there can be a much longer wait problem with liens. Suppose some of the medical bills in a personal injury case were paid by Medicare.
The banks simply won't commit themselves to saying the check has cleared. The guidelines the banks use for estimating when a check should have cleared or bounced depend on the location and identity of the issuer, but they are only estimates.
Finally, your attorney gets a settlement check; it is deposited to their trust account and you don't get your check. What is going on? In theory your attorney is supposed to not distribute the settlement to you, any lien holders, and him or herself until the check has "cleared.".
Make sure you describe the pain and suffering you endured as a result of her insured’s negligence. It’s entirely up to you to convince the adjuster your pain and suffering is worth much more than she is offering. Don’t let her bully or provoke you. Stay calm and professional at all times. Make your next counter offer in writing.
The adjuster will review all of the above. Once she does she’ll contact you in an attempt to minimize your damages, in effect “low-balling” your claim and settlement amount.
The above is general information. Laws change frequently, and across jurisdictions. You should get a personalized case evaluation from a licensed attorney.
Eventually you and the adjuster will come to an agreement. You probably won’t be happy with the adjuster’s last offer (s) – most victims never are.
Disclaimer: Our response is not formal legal advice and does not create an attorney-client relationship. It is generic legal information based on the very limited information provided. Do not rely upon the information in our response, or anywhere else on this site, when deciding the proper course of a legal matter. Always get a personalized case review from a local attorney.
If you are represented by an attorney be sure to follow his or her advice. If not, here’s a summary of the settlement process, the duration of which can vary dramatically from case to case…
When you finally reach a settlement, there are a few more things you and your lawyer need to do before the defendant gives your lawyer the check. Even so, once the check reaches your lawyer, there are a few obligations they must attend to before they give you the final balance.
While many settlements finalize within six weeks, some settlements may take several months to resolve.
It’s usually easy to settle liens, unless the government has a lien against your settlement. If you have any liens from a government-funded program like Medicare or Medicaid, it takes months to resolve them. Your lawyer also uses your settlement check to resolve any bills related to your lawsuit.
Once your lawyer receives the check, they usually hold it in a trust or escrow account until it clears. This process takes around 5-7 days for larger settlement checks. Once the check clears, your lawyer deducts their share to cover the cost of their legal services.
Unlike a regular settlement that pays the settlement amount in full, a structured settlement is when a defendant pays the settlement amount over time. These types of settlements usually occur when the case involves a minor or if there was a catastrophic injury that requires extensive ongoing medical care.
The first form you have to sign to get your settlement is a release form. This form is a legally binding agreement stating that you will not pursue further legal action against the defendant for your specific case. Most defendants or insurance companies won’t give you a settlement check unless you sign the release form. However, if you have concurrent lawsuits against the same defendant for a different matter, you don’t have to stop pursuing those claims.
Once you get close to a settlement, start drafting a release form ahead of time so it’s ready once you reach an agreement.
The attorney may hold the check in a trust or escrow account until it clears. This may take several days, especially if it is a large check.
Release Form. The first step in receiving your settlement check is to sign a release form that states that you will not pursue any further monies from the defendant for the specific incident in question. The defendant or the defendant’s insurance company will not send a check for your damages without such a form.
If you owe child support, a lien may be issued against your settlement. Liens must be paid off before you receive your remaining portion of the settlement. In some instances, your attorney may try to negotiate to have the value of these liens reduced so that you will wind up with more money in your own pocket. However, this negotiation can take up additional time and slow down the receipt of your settlement funds. The internal process of the defendant’s insurance company may also cause a delay, such as if the claim is processed in one state office and the check comes out of another state’s office.
The release may indicate the amount of time that actual payment is expected. You can ensure that you submit all documents to your attorney that the defendant requires before cutting a check. Your attorney can also use expedited shipping and return receipt request mailings to avoid excuses that documents were not received by the defendant. If you anticipate that you will owe medical providers or other creditors' funds, you may ask your attorney if you can receive a partial distribution while your attorney holds the rest and settles your outstanding claims.
There are several instances when a delay may occur. For example, the defendant may have its own release form. Your attorney and the defendant’s attorney may have to revise this form until it is acceptable to both parties. Certain cases may require more preparation, such as cases involving estates or minors. You may have a medical lien or other lien against the proceeds of your settlement. For example, a medical provider may have a lien against you if it has not received payment for the services you incurred during an accident.
While you can ask your attorney to give you an estimate of when you can expect your check, the answer to this question depends on a number of factors, such as the defendant’s policy, the type of case that it is and whether there are any extraneous circumstances affecting payout.
However, there are usually loopholes that experienced defendants and insurance companies know about to avoid these negative ramifications, such as the statute not saying how long an insurance company has to process the actual release form.