When the Phone Rings Too Soon
A driver was stopped at a red light when a delivery truck slammed into their SUV. Three days later, while they were still dizzy and struggling with neck pain, their phone rang. The other driver’s insurance company wanted to offer them $3,500 to “make this whole thing go away.”
They almost said yes.
Stories like this happen every day across Louisiana. Insurance companies have mastered the art of the quick settlement offer, and they’re counting on you not knowing why they’re in such a rush. Here’s what they don’t want you to know.
The Real Reason Behind Quick Settlement Offers
Insurance companies aren’t trying to help you when they call within days of your accident. They’re protecting their profits. Every dollar they don’t pay you stays in their accounts, boosting their quarterly earnings and executive bonuses.
When that adjuster calls with what seems like a reasonable offer, they’re making a calculated bet. They’re betting you don’t know what your case is really worth. They’re betting you’re worried about money and will grab the first check they wave in front of you. Most importantly, they’re betting you don’t know how much worse your injuries might get.
The timing isn’t a coincidence. They want your signature before you realize the full extent of your damages. Once you sign that release, you can’t go back for more money even if you need surgery next month or can’t work for the next six months.
Louisiana’s civil law recognizes this problem. As of July 1, 2024, the prescriptive (statute of limitations) period for most personal injury claims was extended from one year to two years. This change gives accident victims more time to understand their injuries before making permanent decisions about their cases. (Note: certain claims may have different deadlines.)
What Your Insurance Company Doesn’t Want You to Know
Insurance adjusters are trained to protect company profits, not your long-term health.
Your Injuries May Not Show Up Immediately
Some of the most serious injuries take time to surface. Traumatic brain injuries can cause symptoms weeks after an accident. Herniated discs might not cause debilitating pain until inflammation sets in. Soft tissue damage often gets worse before it gets better.
Insurance companies know this medical reality better than anyone. Their claims adjusters see thousands of cases every year. They understand that what looks like a minor fender-bender today could result in months of physical therapy tomorrow. That’s exactly why they want to settle before you find out.
Louisiana Law Is on Your Side
Insurance companies operating in Louisiana must follow specific rules when handling claims. Under Louisiana Revised Statutes Title 22, insurers owe their insureds a duty of good faith and fair dealing. This means they must adjust claims fairly and promptly, and make reasonable efforts to settle legitimate claims.
However, the 2024 amendments to Louisiana’s bad-faith statutes (Act No. 3 / SB 323) narrowed some protections. For example, in certain situations recovery is limited to proven economic damages, and some penalty and attorney-fee provisions were revised. These changes make it even more important for injury victims to understand their rights before settling.
Louisiana law also sets deadlines for claim payments. For most property and casualty claims, insurers must pay within 30 days of receiving satisfactory written proof of loss, while some catastrophic or commercial claims may have longer timelines (60–90 days). In bodily injury cases, disputes often arise over what counts as “satisfactory proof,” giving insurers room to delay payments while pressuring you to accept inadequate offers.
What You Should Do When They Call
When the insurance adjuster reaches out, it can feel overwhelming. They may sound polite and professional, but their main focus is keeping the company’s costs low, not protecting your interests.
Don’t Make Any Quick Decisions
The first rule when dealing with insurance adjusters is simple. You don’t have to decide anything immediately. Despite what they might tell you, legitimate settlement offers don’t come with 24-hour expiration dates. Take time to think, research, and get advice.
Get Proper Medical Care
Before you even think about settlement numbers, make sure you’re getting appropriate medical treatment. See your doctor, follow their recommendations, and don’t skip follow-up appointments. Many injuries that seem minor initially can develop into serious conditions requiring extensive treatment.
Keep detailed records of everything including medical appointments, treatments, how your injuries affect your daily activities, and any work you’ve missed. This documentation becomes essential evidence of your damages.
Understand What You Can Recover
Louisiana law allows personal injury victims to recover both economic and non-economic damages. Economic damages include medical bills, lost wages, and property damage. Non-economic damages compensate for pain and suffering, emotional distress, and loss of life enjoyment.
For most personal injury claims, there is no statewide cap on non-economic damages, but important exceptions exist. For example, medical malpractice claims and many claims against government entities are capped at $500,000. Quick settlement offers rarely include fair compensation for these non-economic losses.
Consider Your Future
Think beyond today’s medical bills. Will you need ongoing treatment? Physical therapy? Time off work while you recover? Will your injuries affect your ability to enjoy activities you love?
Insurance companies don’t volunteer to pay for future damages. If you settle too quickly, you’re gambling that your current medical treatment will be all you need. That is a risky bet with your health and financial security.
Red Flags to Watch For
Not every settlement offer comes in good faith. Insurance companies may use tactics designed to pressure you into accepting less than you deserve. Here are warning signs to keep in mind.
- Offers that arrive too fast. If an insurance company contacts you within days of your accident with a settlement offer, they are trying to capitalize on your uncertainty and financial stress.
- High-pressure tactics. Legitimate settlement negotiations do not involve artificial deadlines or threats that offers will disappear. If an adjuster is pushing you to decide immediately, that is a clear warning sign.
- Lowball offers. If their offer does not even cover your medical expenses, they are not negotiating in good faith. A fair settlement should address all your damages, not just part of them.
- Refusing to explain their calculation. Good faith offers come with explanations. If they cannot or will not tell you how they arrived at their number, it is probably because they know it is inadequate.
When Insurance Companies Play Dirty
Not every insurance tactic is obvious. Some are subtle strategies meant to weaken your claim, wear you down, or shift responsibility. Recognizing these moves early can help you protect your rights.
Questioning Your Injuries
Do not be surprised if an adjuster suggests your injuries are not as serious as you claim. They might point to the minor damage to your vehicle or question why you did not go to the emergency room immediately. These tactics are designed to make you doubt your own experience and accept less money.
Blaming You for the Accident
Louisiana follows a comparative fault system: your compensation is reduced by your percentage of fault, and you cannot recover at all if you are 51% or more at fault. Insurance companies often overstate your responsibility.
Delaying Tactics
While pressuring you to settle quickly, insurance companies might simultaneously drag out their investigation, request excessive documentation, or schedule multiple medical examinations. These delays are designed to frustrate you into accepting their low offer just to end the process.
The True Cost of Settling Too Soon
When you accept an inadequate settlement, you are not just losing money. You may also be jeopardizing your ability to fully recover from your injuries. That physical therapy you need but cannot afford, the specialist who could help with your chronic pain, and the time off work while you heal may all become impossible once you have signed away your rights for too little money.
Insurance companies profit from your lack of knowledge about your case’s true value. Every inadequate settlement they negotiate saves them thousands of dollars while leaving you to handle ongoing medical expenses and lost income on your own.
How Louisiana Protects Injury Victims
Louisiana’s legal system includes several protections for accident victims. The recent extension of the prescriptive period to two years gives you more time to make informed decisions. The state’s bad faith insurance laws create financial incentives for insurance companies to treat claims fairly.
Even if you contributed to your accident, Louisiana’s comparative negligence system ensures you can still recover compensation proportional to the other party’s fault – as long as you are less than 51% at fault. However, insurance companies will often try to overstate your responsibility to reduce their payments.
When Settlement Might Make Sense
Quick settlement is not always wrong. If your injuries were truly minor, you have fully recovered, liability is clear, and the offer fairly compensates you for all your damages, settling may be appropriate. However, even in straightforward cases, having an attorney review the offer can ensure you are not overlooking something important.
If you are facing severe financial hardship, you might need to consider settling sooner than ideal. In that case, try to negotiate a higher amount first and make sure you fully understand what you are giving up by accepting the offer.
Key Takeaways
- Insurance companies profit when they settle your claim for less than it’s worth
- Many serious injuries don’t show symptoms immediately after an accident
- Louisiana law requires insurers to handle claims fairly and in good faith
- You now have two years to file a personal injury lawsuit in Louisiana (for accidents on or after July 1, 2024).
- Settlement offers rarely account for future medical expenses and lost wages
- Once you sign a release, you typically cannot seek additional compensation
- Legal representation significantly increases most settlement values
- Even if you were partially at fault, you may still deserve compensation, unless your fault is 51% or more.
Frequently Asked Questions
How long do I have to file a personal injury claim in Louisiana?
You have two years from the accident date to file a lawsuit for accidents occurring on or after July 1, 2024. For accidents before this date, the one-year period still applies. Starting the insurance claim process early helps preserve evidence and witness testimony.
What if the insurance company says their offer expires immediately?
This is a pressure tactic. Take the time you need to properly evaluate any offer and get professional advice if necessary.
Can I get compensation if I was partially at fault?
Yes. Louisiana’s comparative negligence system allows you to recover damages even if you contributed to the accident, though your compensation will be reduced by your percentage of fault.
What happens if I accept a settlement and my injuries get worse?
Generally, settlements are final. This is why it’s crucial to wait until you fully understand your injuries before accepting any offer.
How do I know if a settlement offer is fair?
A fair settlement covers all medical expenses, lost wages, future costs, and provides reasonable compensation for pain and suffering. Professional evaluation is often necessary to determine adequacy.
What if the insurance company stops responding to me?
Insurance companies have a legal duty to communicate and handle claims in good faith. Unresponsiveness could constitute bad faith behavior under Louisiana law.
Don’t Let Them Rush You
Insurance companies want to settle quickly because it saves them money, not because it helps you. You deserve time to understand your injuries, evaluate your options, and make informed decisions about your future.
At E. Orum Young Law Personal Injury Attorney, we help Monroe area residents get fair compensation for their injuries. We know how insurance companies operate, and we’re committed to protecting your rights during this difficult time.
If an insurance company is pressuring you to settle quickly, contact us for a free case review. Don’t let their timeline override your need for justice.
