If you’ve been injured in an accident, you know how quickly expenses can stack up. Between medical bills, lost wages, and the costs of day-to-day life, it’s natural to feel eager to receive your settlement funds once your case is resolved. After months of negotiations, you’re finally seeing the light at the end of the tunnel. But one last question looms large—how soon will you get your money?
While it would be wonderful to receive your check the moment you settle, there are several steps in the process before the funds reach you. A skilled car accident attorney can guide you through each stage, ensuring your settlement is processed as quickly and smoothly as possible.
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How Does a Personal Injury Case Reach a Settlement?
Most personal injury cases resolve through settlements rather than going to trial. Once both sides agree on a compensation amount, a settlement becomes a legally binding resolution to your claim. However, arriving at that agreement involves building a compelling case.
Your attorney will gather vital evidence such as medical records, witness statements, photographs, or expert testimony to demonstrate what happened and calculate the value of your claim. Armed with this information, it’s possible to negotiate with the insurance company to secure a settlement that reflects the pain and suffering, costs, and disruptions the accident caused.
While some cases go to court, many settle before trial because insurance companies want to avoid additional expenses. Once you and the opposing party agree to terms, the settlement process officially begins.
What Steps Come After a Settlement Is Reached?
After you and the other side agree on a settlement, there are crucial steps to finalize the process:
- Order of Settlement
If your case involved a lawsuit, the attorneys must inform the court of the settlement. The court will then issue an order requiring both parties to finalize their agreement in writing, including a release of liability. Only once the court reviews the documents and deems them complete will it dismiss the lawsuit. - Signing the Settlement Agreement
A settlement agreement documents the terms of your resolution. This includes the amount you’ll receive and confirms that no further legal action can be taken about the injuries covered by the agreement. You may also need to sign a release that explicitly states you are waiving your right to pursue additional compensation related to your case. - Review by the Opposing Party
After you sign the agreement, the opposing insurance company or legal team will review everything for accuracy. If any discrepancies arise, the parties must resolve them before moving forward. - Issuing the Check
Once the paperwork is signed, reviewed, and accepted, the insurance company will issue a check. This is sent to your attorney rather than directly to you. - Funds Held in Trust and Liens Paid
Your attorney will deposit the settlement check into a special trust account. Before disbursing the remaining amount to you, they’ll use part of the settlement money to pay outstanding bills, such as medical liens, child support, or other obligations. - Attorney Fees and Final Disbursement
When all other obligations are addressed, your attorney will deduct their fees based on your agreement. Then, the remaining funds are sent directly to you.
Common Terms Found in an Injury Settlement Agreement
Settlement agreements can be complex, with a wide range of clauses and addendums designed to protect both parties from future actions, defamation, or breaches of confidentiality.
Standard components of a settlement agreement include:
- Settlement Terms: This is the central portion of the Settlement Agreement and consists of the amount paid in the settlement, the payment terms, and the aspects of litigation affected by the settlement.
- Release of Liability: The opposing parties will usually ask you to sign a Release of Liability that essentially allows both parties to exit the case without either party admitting wrongdoing. The release will list all involved parties and outline the provisions affected by the Release of Liability if the agreement is not comprehensive. Upon signing this release, you cannot file any additional claims against the opposing party related to the items listed in the release.
- Confidentiality Agreement: When you reach a settlement agreement in an injury suit, the agreement usually includes a confidentiality clause that prevents you or other individuals involved in the suit from discussing non-public details of the case. This portion may be included in the agreement or added as a separate document.
If you have questions about the terms in your settlement agreement, your injury lawyer can explain the different clauses and how they affect your lawsuit. You must understand your rights and obligations concerning the settlement so you can comply with its terms.
How Long Does the Settlement Process Usually Take?
Generally, once a settlement is reached, the entire process of receiving the check and accessing your funds takes about three to six weeks. While this is the typical timeline, delays can happen depending on several factors.
Factors that may affect the timeline include:
- Structured Settlements vs. Lump-Sum Payments
If your settlement is structured as installment payments, you will receive your settlement payments in a set schedule over an agreed time frame. With lump-sum payments, the process is usually faster as your attorney can issue you a single check after all obligations are cleared. - Bank Verification
Some banks place holds on large deposits, which may extend the time it takes for the funds to become available in your account. This is normal, though frustrating, especially when you’re dealing with pressing financial needs. - Insurance or Documentation Issues
Occasionally, the insurance company may delay issuing the check, or there could be minor errors in the paperwork that need correction. Your attorney will resolve these issues on your behalf as quickly as possible. - Lien Negotiations
If there are outstanding medical or legal liens, your attorney may work to negotiate the amounts owed. While this can mean a slight delay, it could save you money in the long run. - Postal Delays
If your final check is mailed rather than delivered electronically, delays in the postal service could slow things down slightly.
How Much Money Will You Receive?
The amount you receive will depend on the details of your case—how serious your injuries were, how long your recovery took, whether you’ll need ongoing care, and how your ability to work or enjoy life has been impacted. Settlements can range from thousands of dollars for minor injuries to millions in cases involving permanent or debilitating harm.
While every case is different, factors like medical expenses, time missed from work, and the overall impact of the accident on your quality of life all play a role in determining the settlement value. Once liens and legal fees are accounted for, the remaining balance is yours to use as you see fit to rebuild and move forward.
Why is My Settlement Payment Delayed?
Although most injury settlement checks arrive approximately six weeks from the settlement date, several other factors can delay payment. In most cases, your injury attorney will be able to walk you through the process and keep you apprised of the state of your settlement.
Some situations that can delay the payment process include:
- Insurance company delay: Sometimes, the insurance company may experience an internal error or delay when completing the forms or cutting your check. There may be no set period for the insurance company to pay your settlement; however, most companies submit settlement checks within three to six weeks.
- Your lawyer is paying liens: If your case is long-lived or very complex, it can take some time for your attorney to review your medical bills and other costs and send checks to the appropriate parties.
- Your lawyer is negotiating liens: Sometimes, your attorney may negotiate various invoices on your behalf before they submit payment. Discuss a split payment with your attorney if you need to expedite your settlement check. They may be able to cut a check for a portion of your payment while withholding a certain amount for bills and fees. Once everything is paid, they can send any remaining amount to you in a second check.
- The mail is delayed: If your attorney is mailing the check, you may experience postal delays. While local mail tends to get to you within a few days, long delays are not unheard of, especially during the holidays or poor weather. If you think your check was lost in the mail, contact the post office and your attorney to find a resolution. If the post office cannot locate the check within a reasonable period, you may need to ask your attorney to cancel it and issue a new one.
- Your bank may delay payment: With large lump sum payments, banks often hold the deposit amount until they verify its validity. While this is standard for many banks, verification can take up to six days if the check is cut from a different bank. In a typical settlement check timeline, if the payment is made from the same bank, your deposit should only take a couple of days to clear since the bank can more easily verify the deposit internally.
If you’re concerned about delays in receiving your payment—or aren’t sure why you haven’t gotten it yet—there’s no need to worry alone. Speak to your attorney. They can track down the issue, whether it’s a bank delay, lien negotiation, or insurance company backlog. A skilled attorney understands what’s at stake for you and will do everything in their power to speed things up so you can access the compensation you deserve.
Contact a Trusted Personal Injury Lawyer
Navigating the settlement process can feel like an emotional rollercoaster, especially if you’re still recovering from physical and financial strains. Trust that you don’t have to face this alone. At The Levin Firm, Our Philadelphia personal injury lawyers, don’t just see you as a case—we see you as a person whose life has been turned upside down through no fault of your own. Our compassionate team is here to guide you from start to finish, ensuring you get paid what you’re owed as quickly as possible.
If you have questions about your case or the timeline for your settlement payment, don’t hesitate to contact us. We’re here to fight for you and win with Levin means making your recovery our top priority. Reach out today at (215) 825-5183 or through our online form for the answers and support you need.