How Long Will It Take to Get My Settlement Check from a Car Accident?

If you have settled on compensation from an insurance company, you may want to know, “How long will it take to get my settlement check from a car accident?” All car accident cases are different and may include various circumstances that can affect how long it will take to receive your car accident settlement check. Depending on the complexity of your case, you may receive a check within weeks of accepting a car accident settlement offer or it might take longer if there are many financial obligations that must be paid first.

How Long Does It Take to Get a Settlement Check?

Andrew Kryder, founding partner of The Kryder Law Group, LLC Accident and Injury Lawyers and seasoned car accident attorney, discusses the timeframe for getting a settlement check after a car accident. He explains that under the Illinois code of civil procedure (735 ILCS 5/2-2301), insurance companies have 14 days to issue a release of claims form after a settlement agreement is reached. After that is signed, they have 30 days to issue a settlement check. He further explains that additional processing time may apply before funds are available to you because your attorney will also be responsible for handling the payment of financial obligations, such as medical bills, before you receive your portion of the settlement.

What Happens After You Sign a Settlement Release Form?

A settlement release is a document that an accident victim signs to finalize an auto accident settlement. By signing the release, the victim agrees to waive any further legal action related to the accident. This step marks the conclusion of the settlement process and ensures that the victim will not pursue any additional legal recourse. Prior to the distribution of a settlement check by the liable party’s insurance provider, it is necessary for the victim to sign and submit this form.

Why You Sign the Release Form

In auto accident settlements, a settlement release form serves to safeguard the negligent or at-fault party. Its purpose is to prevent the liable party from facing further legal action for the same injury sustained by the victim in a car accident claim. This form ensures that all parties involved can move forward without the threat of additional lawsuits.

You Can’t Sue Again for the Same Thing

Once you’ve signed this release form, you are legally obligated to abide by the terms of the agreement. It is crucial to understand that if you later choose to file a car accident lawsuit against the insurance company seeking further compensation, your case will likely be dismissed.

Before signing a settlement release form, be sure to speak with an experienced and knowledgeable attorney. We can provide guidance to ensure you receive the appropriate compensation for your car crash injuries while negotiating with the insurance adjuster.

The Settlement Check Process

Once the release form is signed, it undergoes processing and is forwarded to the insurance company of the negligent party. From here, the insurance company proceeds to finalize the insurance claim, paving the way for the issuance of a settlement check.

Check Issued

After you’ve submitted your signed release form to the insurance company, the settlement must be paid within 30 days under Illinois law. Your attorney will then securely deposit the funds into either a trust or an escrow account on your behalf. If you have any unpaid debts or outstanding medical bills, commonly referred to as medical liens, your lawyer will allocate a portion of the settlement money to fulfill those obligations.

Final Deductions to Your Settlement Check

After settling any outstanding liens or debts, your car accident lawyer will deduct their agreed-upon fees from the settlement amount and will give you a check with the remainder of the settlement award.

Why Is My Settlement Check Taking So Long?

The auto accident settlement process may seem slow when you are dealing with severe car accident injuries, but it is in your interest for your lawyer to negotiate throughout the process to help maximize your settlement amount.

Insurance Companies May Need Time

Once a settlement is reached, Illinois law requires insurance companies to send the insurance release within 14 days. This does not mean that every step of the negotiation process up until this point will be this quick and there may be delays from the insurance company. Car accidents involving more than one insurance company may take more time to reach a fair settlement due to the complexity of dealing with more than one at fault party.

Medical Liens or Debts

Additionally, there may be liens for medical bills or debts that need to be paid before you get any of the settlement money. Your personal injury lawyer must take time to investigate and verify any liens before deducting these funds from your car accident case settlement. This process includes negotiation with lien holders to possibly lower the amount of money you owe, helping to maximize the amount you receive in your settlement check.