When you’ve been injured due to someone else’s negligence, you may face the decision of whether to file an insurance claim or pursue a lawsuit. Both options are avenues for seeking compensation. However, they differ significantly in terms of process, time, and potential outcomes.
Understanding the difference between an insurance claim and a lawsuit is critical for making the best choice in your personal injury situation. Whether you’re filing an insurance claim or preparing for a lawsuit, you will need guidance to ensure you receive the compensation you deserve.
This article will explain the key differences between a claim and a lawsuit, the processes for each, and how hiring an experienced attorney can assist you in both situations.
What Is an Insurance Claim?
An insurance claim is a formal request made to an insurance company seeking compensation for damages or losses caused by an accident or injury. This is often the first step in seeking compensation for personal injuries sustained in accidents such as car crashes, slip and falls, or workplace injuries.
Insurance claims are generally settled without going to court. The goal is to resolve the issue through negotiation or settlement.
How To File an Insurance Claim in Tennessee
The process for filing an insurance claim typically follows these steps:
- Notify your insurance company: After the accident or injury, you should immediately notify your insurance company. This includes your own insurer and, if applicable, the other party’s insurer.
- Provide evidence: You will need to provide evidence of the incident, including photographs, medical records, and a police report if applicable. The more evidence you have, the stronger your claim will be.
- Complete a claim form: Your insurance company will ask you to fill out a claim form that provides details about the incident, your injuries, and any property damage involved.
- Insurance investigations: The insurance company will investigate the claim to assess liability and the extent of the damages. They may request additional information or even send an adjuster to evaluate the scene of your injuries.
- Negotiation or settlement: Once the insurance company has reviewed your claim, it may offer a settlement. If the offer is acceptable, you can accept the settlement and resolve the claim. If the offer is insufficient, you can negotiate for a higher amount or proceed with other options.
Filing an insurance claim is generally less complex and quicker than pursuing a lawsuit. Insurance companies often try to minimize the amount they pay out, so hiring an experienced personal injury attorney can help ensure your claim is handled properly.
What Is a Lawsuit?
A lawsuit is a formal legal action taken against another party in a court of law. In personal injury cases, lawsuits are filed when negotiations with the insurance company fail to result in a fair settlement or if the insurance company denies the claim altogether.
A lawsuit seeks to have a court determine liability and award compensation based on the facts of the case.
How To File a Lawsuit for Personal Injury in Tennessee
If you’re unable to reach a satisfactory settlement with the insurance company, you may need to file a lawsuit. Here’s an overview of the steps involved:
- Consult with an attorney: The first step in filing a lawsuit is to consult with an experienced personal injury attorney. Your attorney will review your case, investigate the facts, and determine if you have a valid claim.
- File a complaint: The formal process of a lawsuit begins with filing a complaint in court. The complaint outlines the legal basis for the lawsuit, the facts of the incident, and the damages you’re seeking. In Tennessee, you generally have one year from the date of injury to file your lawsuit due to the state’s statute of limitations.
- Serve the defendant: Once the complaint is filed, the defendant (the party you’re suing) must be served with a copy of the complaint and a summons to appear in Court.
- Discovery process: After the defendant has been served, both sides enter the discovery process. This is where both parties exchange evidence, like medical records, accident reports, and witness testimony. Your attorney will gather all relevant evidence to strengthen your case.
- Negotiation and settlement: Even after a lawsuit is filed, there is still a possibility of settlement. Often, a case will settle before trial. Both parties may agree on an amount to resolve the matter without going to court.
- Trial: If a settlement cannot be reached, the case will go to trial. During the trial, both sides will present evidence, and a judge or jury will determine liability and compensation.
A lawsuit is more complex, time-consuming, and expensive than an insurance claim. However, it may be necessary if a fair settlement cannot be reached. A personal injury attorney will help you navigate the litigation process and advocate for your best interests in court.
How Hiring an Attorney Can Help With Both the Claim and Lawsuit Process
Whether you’re filing an insurance claim or pursuing a lawsuit, hiring an attorney can significantly impact the outcome of your case. Here’s how an experienced attorney can assist you with either process:
- Expert guidance: An attorney can provide expert advice on whether to file a claim or pursue a lawsuit based on the specifics of your case.
- Negotiating a fair settlement: Insurance companies often offer low initial settlement offers. A lawyer will negotiate with the insurer to secure a fair and reasonable settlement to cover your economic and non-economic damages.
- Collecting and presenting evidence: Your attorney will gather all necessary evidence to support your claim, including medical records, accident reports, and witness statements.
- Filing the lawsuit and managing legal procedures: If your case proceeds to a lawsuit, your attorney will handle all the legal challenges. This includes filing the complaint, managing discovery, and representing you in trial.
- Reducing stress: Legal processes can be stressful, especially when you’re dealing with injuries and recovery. An attorney will handle the legal details, allowing you to focus on your health and recovery.
Hiring an attorney can be essential when you are pursuing either an insurance claim or a lawsuit. Selecting the right attorney to handle your case can make all the difference in your recovery process.
Contact a Tennessee Personal Injury Lawyer for a Free Consultation
Understanding the difference between an insurance claim and a lawsuit is essential when deciding how to seek compensation for your injuries. While insurance claims are generally quicker and less complicated, they often involve tactics from the insurance company to minimize your compensation. If a fair settlement isn’t possible, a lawsuit may be the next step in securing the compensation you need.
At Meyers Personal Injury Law, we have the experience and dedication to help you with either a claim or a lawsuit. Contact us today at (615) 258-9000 for a free consultation to discuss your case.
