When an injury claim gets filed, many people receive a settlement offer that feels far too low. If this has happened to you, you may be wondering, Do I have the right to refuse the insurance company’s offer? In Virginia, you absolutely do. Many initial offers don’t come close to covering your total losses, and accepting too soon could leave you with unpaid medical bills and other costs.
If you’ve been hurt and feel like the insurance company isn’t playing fair, you’re in the right place. This article walks through your legal rights, what happens when you say no, and how to protect yourself going forward. Talk to a local personal injury attorney near you for a free consultation and help fighting back.
Understanding your legal rights in Virginia insurance claims
Virginia law gives you the right to negotiate an insurance settlement. Companies must follow rules, and you’re not stuck with whatever they first offer.
Overview of Virginia insurance laws
In Virginia, drivers must carry minimum insurance coverage. When a crash happens, the at-fault driver’s policy usually pays for injuries and damage. Insurance companies don’t have unlimited authority. They must obey laws that protect consumers and must process claims in good faith.
Your fundamental right to negotiate or refuse settlement offers
No one can force you to accept a settlement. You have the right to say no and request more money. Many claims go through multiple rounds of negotiation before reaching an agreement. If you receive an offer that doesn’t cover your full losses, you can reject it outright or respond with a counteroffer.
How Virginia’s contributory negligence laws affect settlements
Virginia follows the strict rule of contributory negligence. Having any degree of fault for the accident significantly affects your ability to obtain compensation. Insurance adjusters know this and often use it as leverage to reduce your payout or deny your claim. Knowing how this law works helps you avoid unfair blame and fight back when adjusters push lowball offers.
Statutory requirements insurance companies must follow
Virginia law requires insurers to respond to claims promptly and fairly. If they delay without reason, misrepresent facts, or make offers that ignore evidence, they can face penalties. These consumer protection laws are there to keep the process honest.
Can I reject my insurance company’s first settlement offer?
You don’t have to accept the first number the insurance company throws out. In fact, most people shouldn’t.
Yes, you can always refuse the initial offer
Virginia law gives you the right to reject an offer that doesn’t meet your needs. Insurance companies might act like they hold all the cards, but the decision to settle belongs to you. You can decline, ask for a higher amount, or take legal action.
Why first offers are often too low
Insurance companies don’t stay profitable by paying every claim in full. They train adjusters to settle cases quickly and cheaply. Some tactics include downplaying injuries, ignoring future medical costs, or offering cash fast to catch people off guard. Many initial offers cover only a small part of what you’re owed, especially if your treatment is ongoing.
What happens after you say no
If you turn down the first offer, negotiations begin. Your attorney can send a demand letter with evidence to support a higher amount. This exchange may go on for weeks or even months. In the meantime, your medical treatment continues, and your legal team may gather more proof to back up your claim.
What factors should I consider before refusing an offer?
Saying no gives you options, but it’s not a decision to take lightly. Look at your full situation first.
Evaluating the true value of your claim
Start by adding up your medical bills, lost wages, and other costs. Future treatments count too, especially if your injuries haven’t healed. Pain and suffering, which includes physical discomfort and mental stress, adds another layer. If your car or other property was damaged, those repair or replacement costs matter as well.
Understanding your leverage position
Claims with strong evidence hold more weight. Medical records that clearly connect your injuries to the crash can tip negotiations in your favor. If you had pre-existing conditions, the insurance company may try to use that against you. Also, make sure you’re within the statute of limitations. In Virginia, you generally have two years from the date of injury to file a lawsuit.
When should you accept vs. refuse an insurance settlement?
Not every offer deserves a flat-out no. Sometimes, accepting makes sense. Other times, it’s a bad idea.
Red flags indicating an inadequate offer
If the offer doesn’t cover all your bills or includes vague language, you’re probably not being treated fairly. Be especially wary if the insurance company pressures you to sign right away or threatens that the offer will disappear.
Scenarios where acceptance might be appropriate
If your injuries were minor, your bills are paid, and you feel confident that no future costs exist, accepting a decent offer could be reasonable. But check all the numbers first. Once you accept and sign, your claim usually ends forever.
Risk assessment factors
Think about your chances if the claim goes to court. How strong is your proof? How well does it show that the other driver caused the crash? What kind of treatment have you had? These questions affect your bargaining power.
Financial pressure considerations
Some people accept low offers because they need money right away. If you’re facing bills or missing work, it’s understandable. Settling too early, though, might leave you without support later. A personal injury attorney can often work out arrangements with medical providers or help delay payments while your case moves forward.
How does refusing an offer affect my case timeline?
Saying no doesn’t end the process. It simply starts a new phase where you keep building your case.
The negotiation process
Once you reject the offer, both sides can exchange evidence and proposals. This back-and-forth might take weeks or longer, depending on how far apart the numbers are. Your legal team might collect more documentation, request updated medical records, or send another demand.
Documentation requirements during negotiations
You’ll need to keep detailed records. Every doctor visit, test, and prescription helps show the value of your claim. Save receipts, pay stubs, and anything else that proves your losses. The more evidence you have, the stronger your position.
Medical treatment completion importance
Try to finish your treatment before settling. That way, your claim includes the full cost of recovery. Settling too early could leave out future expenses like surgery or rehab.
Common mistakes Virginia residents make with insurance offers
Insurance companies know how to take advantage of mistakes. Watch out for these common errors.
Accepting offers too quickly
Fast money might seem like a relief, but signing too soon often means giving up more than you realize.
Failing to document all damages
You can’t recover what you don’t prove. If you forget to list lost wages, home care costs, or other losses, they probably won’t be paid.
Not understanding future medical needs
Some injuries take time to show their full impact. What seems like a minor issue now could turn into long-term damage later. That’s why it’s risky to settle before reaching full recovery.
Settling before reaching maximum medical improvement
Doctors use the term “maximum medical improvement” to mark when healing is as complete as it will get. Settling before this point could lock you into a low amount while costs continue to pile up.
Handling complex negotiations without legal representation
Going it alone often leads to missed opportunities. Insurance companies have teams of adjusters and attorneys. Having someone on your side levels the playing field.
How a personal injury attorney can maximize your settlement
Having legal help often means a better result. Attorneys know what to ask for, when to push, and how to fight for every dollar.
Professional case evaluation
An attorney reviews your claim in detail, collecting medical records, accident reports, and witness statements. They may consult with doctors or specialists to project future costs and compare your case to similar ones to build a strong demand.
Skilled negotiation tactics
Your attorney speaks the insurance company’s language. They time responses carefully, present demands with strong backing, and know when an offer falls short. Their goal is to get the highest possible amount based on your actual damages.
Litigation readiness
Sometimes insurance companies refuse to offer fair compensation. When that happens, your attorney prepares for court. That includes filing legal paperwork, presenting evidence to a judge or jury, and explaining your story clearly. Cases that are trial-ready often settle for more because insurers know the risk goes up.
Virginia-specific insurance laws you should know
Virginia has some unique rules that affect insurance claims. Understanding them can help protect your rights.
- Contributory negligence: If you share any fault for the accident, the insurance company may deny your claim entirely. This rule makes strong evidence even more important.
- Uninsured/underinsured motorist coverage: This optional coverage kicks in when the at-fault driver has no insurance or not enough. It often plays a big role in hit-and-run cases.
- Medical payment coverage (MedPay): Virginia drivers can buy MedPay to help cover treatment costs, regardless of who caused the crash.
- Statute of limitations: Most injury claims must be filed within two years of the incident. Miss that deadline, and the court will likely dismiss your case.
- Insurance bad faith protections: If an insurance company acts unfairly, delays without reason, or ignores valid claims, Virginia law may allow you to pursue further legal action.
Insurance settlement FAQs
How long do I have to respond to an insurance settlement offer?
You can take the time you need to review the offer. Don’t let the insurance company rush you. They may try to apply pressure, but you have the right to ask questions and gather legal advice before deciding.
Will my insurance rates increase if I refuse a settlement offer?
No, declining a settlement doesn’t raise your rates. Rate changes usually depend on fault, not negotiation decisions.
Can I change my mind after accepting a settlement offer?
Once you sign a settlement agreement, your claim usually ends for good. Courts rarely allow changes unless you can show fraud or other serious issues.
What if the insurance company stops communicating after I refuse their offer?
If they stop responding, your attorney can follow up and take legal steps if needed. Virginia law requires timely communication, and ignoring valid claims isn’t allowed.
Do I need a lawyer if the insurance company seems reasonable?
Even reasonable-sounding offers might leave money on the table. A lawyer can look at the full picture and make sure your future costs are covered.
Protect your rights with experienced legal representation
Insurance companies don’t always play fair, and you shouldn’t have to deal with them alone. The personal injury attorneys at Allen & Allen know Virginia law inside and out. We’ve helped people throughout the state recover after serious injuries, and we’re ready to help you too. Our team will review your case for free, explain your options, and fight for the settlement you deserve.
Don’t wait too long. Every day counts when it comes to building a strong claim. Contact us today and let us make your fight our fight.