Legal Question in Personal Injury in California

There's no formal definition, but it probably refers to money beyond what had previously been offered. For example, if the defendant previously offered to settle for $40,000 and then increased the offer to $50,000, the additional $10,000 would be new money.

My understanding of "new money" applies to your situation a bit more specifically. It sounds as though you are involved in an under-insured motorist (UIM) arbitration. In that context, "new money" is the money paid by your UIM carrier over and above the policy limits of the under-insured motorist. Say you have a case worth $60,000.00 and a UIM policy of $100,000.00. The defendant who hurt you only has a policy for $15,000.00 which he immediately gives you. That leaves $45,000.00 still uncovered. Your UIM carrier will then try and pay as little of that $45K as possible-- they may, for example, make an offer of $25K "new money."

New money is an amount above and beyond what your carrier has already paid under your policy, usually medical pay coverage.For instance if you carrier paid $2000 in medical bills and the award was $10,000 your carrier would be entitled to a $2000 credit and the award would $8000 new money.There is no opposite side of the coin.

I agree with the previous answers. It is likely you are in an uninsured motorist situation and they have provided some benefits such as medical payments coverage. If it is a third party case, they may have made some advance payment. If workers compensation is involved it probably means over and above what you have received from workers compensation.