How Are Personal Injury Claims Paid Out in New Jersey?

After an injury, it’s easy to get wrapped up in the pursuit of the compensation you deserve. But what about when you win? How are personal injury claims paid out in New Jersey?

We’ve got the answers you’re looking for. To learn more, keep reading, call our legal team at 856-284-6446, or contact us online.

Types of Personal Injury Compensation

Let’s begin with the types of compensation you might receive. To be clear, it’s all money. But it’s meant to account for different ways in which the injury has harmed you (called damages).

Most damages fall into one of two categories: economic or non-economic.

Economic damages are those that directly impact your finances. Examples include auto repairs, medical bills, therapy costs, lost wages during your recovery, and lost wages due to temporary or permanent disability.

Non-economic damages are not directly tied to money but still impact your life nonetheless. These include pain and suffering, loss of enjoyment of life, scarring and disfigurement, and emotional distress.

How Settlements Are Paid Out

Should you receive a settlement in New Jersey, you can get it in a variety of ways:

• Insurance settlement. This is when the insurance company agrees to offer you a sum of money meant to cover your damages. It’s often in the form of a check.
• Out-of-court settlement. This is when the at-fault party agrees to settle with you before going to court. 

If your case proceeds to trial, you may receive a court judgment. This is not a settlement per se — instead, it’s an amount the court determines the at-fault party owes you. 

These forms of compensation can be paid to you in a variety of ways: directly to you via a check, partially to your healthcare providers to cover medical bills, and over time in smaller installments.

How to Calculate NJ Personal Injury Settlements

Calculating personal injury settlement amounts in New Jersey is difficult but essential. That’s why so many personal injury victims team up with an experienced attorney — like those at Rosengard Law Group.

We’ll spare you the gory details of all the factors and formulas that might be used to determine an exact amount of compensation to pursue. The point is this: You calculate your settlement amount by adding up all of the ways in which your injury has harmed your life.

For economic damages, that is relatively simple. You have the bills and receipts, and you know how much work you had to miss. You may have to guess at some future expenses related to your injury, though (such as surgeries).

It’s more complex for non-economic damages. You have to quantify the impact of intangible harms like pain and suffering and assign them a monetary value. A lot of injury victims get stuck here and reach out to a New Jersey car accident lawyer.

Factors That Reduce Your Personal Injury Settlement Amount

In calculating your personal injury claim’s value, your attorney will want to understand whether you might hold some of the blame for the accident.

Why? Because any percentage of fault you are found to hold will reduce the amount of compensation you receive proportionally. 

For example, let’s say you were going slightly over the speed limit when a drunk driver crashed into you. You might be assigned 10 percent of the blame, and the drunk driver might get 90 percent.

If you received a $100,000 settlement, you would only be eligible to receive 90 percent of that because of your 10 percent of fault. 

Essentially, any level of blame you might be stuck with in your case can reduce your settlement amount thanks to New Jersey’s contributory negligence law. And if you are found to hold more than 50 percent of the blame, you may be barred from recovering compensation from the at-fault party altogether.

That’s why it can be so useful to speak with an experienced attorney. Your lawyer will know how to avoid getting you stuck with blame that isn’t yours in order to maximize your settlement.

How Long Can a Lawyer Hold Your Settlement Check?

There is no official rule for how long an attorney can hold your settlement check in New Jersey. However, most lawyers won’t hold a settlement check for longer than a couple of weeks.

That can significantly increase the time it takes for you to get cash in hand for your damages, which is why this question is so common. If you suspect, however, that your attorney is holding onto your settlement for too long, it can’t hurt to reach out to another lawyer to make sure everything is above board.

Need Help? Speak with an Attorney Today

Exactly how personal injury claims are paid out in New Jersey is, of course, less important than actually getting the settlement in the first place. That’s where the right attorney comes in.

Our Personal Injury Lawyers ready to help you recover every dollar you’re owed. We’re ready to fight for you and for what’s right. 

If you’re ready to get started, contact us to schedule a free consultation with our team. Call 856-284-6446 or contact us online.