After a car crash it's easy to get caught in what's called "The Check Settlement Trap". So how can you keep from getting trapped?
Our Law Experts at Acadia Law Group joined us with some helpful advice.
Attorney Ken Denos says within a day or two of an accident, you'll get a call from an insurance adjuster offering a check - often $500 to $2,500 - to "close things out".
But Ken says signing that check can cost an injured person tens or hundreds of thousands of dollars they didn't know they'd need.
Adjusters are trained to reach claimants before they see a doctor, talk to a lawyer, or understand their injuries.
The insurer's financial incentive is to close the file cheap and closed, not fair and open. Speed is the tactic, if you feel rushed, that's by design.
But, Ken says the check comes with a full and final release, meaning it covers everything, forever, including injuries you might not even know about..
Don't sign anything until you've seen a doctor.
And you should call Acadia and they'll talk you though it. The consultation is free.
Ken says most Utah drivers think PIP means "$3,000 for medical bills and that's it."
That's not right and that misunderstanding costs people real money.
PIP is actually a package of benefits that can pay for lost wages, household help, and more, regardless of who caused the crash.
Utah is a no-fault state for the first layer of injury benefits. Every Utah auto policy is required to carry PIP (Personal Injury Protection). It's your own insurance paying you, fault doesn't matter.
In addition to the $3,000 (and this amount can go up depending on your policy), it includes lost wages of 85 percent of your gross income up to $250 per week for a year, which could amount to ($13,000).
It also includes essential services of up to $20 per day for a year ($7,300) days to help you with things you would normally do.
There are also, funeral benefits of up to $1,500 and a death benefit of $3,000.
Importantly, this does NOT replace your injury claim against the at-fault driver, it works along side it as a tie over. Think of PIP as the bridge that keeps you afloat while the larger claim resolves
Call 801-816-2525 24/7 and visit acadialawgroup.com for more information.
