Legal Question in Personal Injury in California

Re: auto accident damages

There are a few reasons that the insurance company may be offering $5,000. First, it may be the most insurance that Joe has for property damage. If that is the case, the insurance company will never pay more than $5,000. If Joe does not have assets, you will be wasting your time by suing him. Second, the insurance company may have done a market value on your car. If that is the case, then you should ask for a copy of it. According to the insurance regulations, they have to provide you with a copy of the valuation. If you disagree, you should do your own market search to find similar cars for sale. You can read more about total losses at my blog http://www.calpiblog.com and listen to my podcast about property damage at http://www.personalinjurypodcast.com

If you think the car is worth more, you should not sign a release, but seek counsel. It is probably worth $200 for an hour of time to figure out your rights.

Re: auto accident damages

Obtain information regarding the cost of replacing your car and present it to his insurance company. Also inquire as to whether $5,000 is the limit on his policy for property damage. If the insurance policy limit is greater than $5,000 and the insurance will not pay $7,000 then sue the other driver in small claims court.

Re: auto accident damages

We lawyers love questions from people who don't want to retain a lawyer to protect them. Our advice always is ... that's why there are lawyers, to protect people from others trying to take advantage of them. If you accept the $5,000 payment, there's little doubt you will have to sign a release of all claims against their insured.