Average Settlement Amounts For A Rear-End Car Accident

rear-end-accident

A settlement agreement is one of the best ways to alleviate the financial impacts of an unfortunate car accident and functions as a fair resolution for all parties. Depending on the circumstances of the accident, settlement amounts will differ based upon the level of damage that has transpired. In the case of rear-end car collisions, the settlement payment offered is can vary from $10,000 to $70 million. Reviewing the damage, the financial loss, and the amount of physical injury caused by the accident may aid in providing a justifiably larger settlement. 

When seeking advice on the settlement amount you may be due, you can work with licensed professionals experienced in rear-end car accident cases. Contact us for an informational consultation and further direction on the settlement process. 

The Average Settlement Amount and Deciding Factors

How Cost is Estimated

When identifying how much a settlement may be worth, a lot must go into explaining exactly what happened after the collision occurred. For example, whether there were any physical injuries is on the top of the priority list. It is important to immediately have a doctor’s opinion and diagnosis of any injuries, as well as regular check-ups in case a hidden soft injury appears much later. The price of medical bills is included in the settlement amount, and often hikes up the cost based on the fact that it may have caused emotional distress. Another thing to consider is the lost income incurred by a physical injury, as well as the inability to attend work if the individual doesn’t have a way to commute to their job location. The price of missing income and job loss has also to be added to the total amount. 


Of course, the price of the car damage itself must be estimated. Having a dealership or car service shop review the damage, with your insurance company’s help, will be key to providing proof for the damage’s total cost. Suppose other property damage occurred in addition to your vehicle. In that case, such as if the car accident happened to destroy someone’s home or ruined expensive items inside the car during the wreck, this should also be documented. Taking pictures of this information and reporting it to the insurance company immediately will help provide supplementary evidence for this case. 

Typically, it is a rule of thumb to multiply any direct damage costs by a factor of somewhere between 1.5 to 4 to estimate the total settlement amount. While you calculate your losses and provide documented and photographic evidence, the attorney and insurance companies utilize that information to work with the defendant’s party to come to a final verdict. 

What Scenarios Will Cost More

rear-end accidents

An expensive contrast to rear-end accidents, truck rear-end accidents cost nearly ten times more. Truck rear-end accidents range between $100,000 to millions in settlement amounts. On average, the median award is a little over $100,000, with 299 cases of settlement amounts excelling far over $1 million in awards between 2010 to 2018. Quite frankly, the risk of getting into a truck accident is drastically more dangerous. The physical injuries are far worse than that of a car accident and result in deeper damage levels. The plaintiff’s life is at greater mortal risk in a truck accident, which is why the settlement cost is that much higher. Additionally, truck drivers must operate their vehicles professionally and with great responsibility, being CDL class licensed. If they perform their job irresponsibly, they are also at fault for not executing their work at the highest standards. 

Surgeries and follow-up care are additional reasons settlement prices may increase drastically. If the plaintiff has to undergo surgery, the price of the settlement may be double the amount. The most common afflictions caused by rear-end accidents include rotator cuff injuries, whiplash, head injuries, and most unpleasantly — spinal cord damage. Seatbelt and airbag injuries also happen often, where the force from the vehicle causes the plaintiffs to fly forward and become bruised by the impact of the seatbelt or airbag. These may not all result in surgery and might simply end in applying a splint or needing bed-rest. Consulting with a doctor first to see whether any of the injuries are general or special damages is critical, and must be done in a timely manner. 

A concussion is an injury that may require surgery, as there may have been brain damage or internal hemorrhaging of the brain tissue. A brain injury can be permanent and cause long-term financial loss if a person is disabled for the rest of their life. Other traumatic losses can include broken legs or arms, which prevents a person from functioning and having a normal life. This may be a temporary hindrance but it can also cause them to lose their job if the individual requires the use of the broken limbs to complete their work. A lesser-known but not uncommon situation would be a ruptured spleen. This occurs due to the spleen breaking against the rib cage when the external force of the car accident impacts the body. Splenic rupture is very frequent in car accidents when crushed car frames, bent doors, and even deployed airbags punch the rib cage, which can make the organ bleed or burst. This can cause death and is paid very highly due to the risk and inconvenience of having ruptured organs after a terrible rear-end car accident. 

In the most unfortunate event that someone passed away, burial costs and the price of a funeral are included in the settlement amount. The grief associated with the loss of a loved one is priceless, but when calculating the price of the coffin, the ceremony, the tax burden, as well as any other related expenses, your grief is considered part of the compensation that must be disbursed for reparations.   

There is Limited Time for Case Evidence 

In order to receive the most accurate reimbursement, timeliness is fundamental. This is because, during the few moments between the rear-end accident and going to court over this case, the plaintiff must be very knowledgeable about their physical condition. It is vital for them to get a checkup with their doctor to make sure that they are aware of all crash-related injuries. Soft tissue injuries sneak up on victims later on, as adrenaline and endorphins blanket these wounds and prevent victims from feeling pain after an accident. Often, soft tissue injuries don’t surface or appear to be painful until days or weeks later. Because of this, the initial information may be inaccurate and the settlement estimate far less than what the plaintiff should be due. Consulting with a medical doctor and chiropractor would be the best approach to knowing exactly what the medical bill costs are. This includes the ongoing price of physical therapy and in-home care, along with any prescriptions or medications that are required after the accident. Providing this information later in the case can have it dismissed, especially since it is harder to tie these injuries to the car accident weeks after it has occurred.

Non-Economic Damages are Due Also

In addition to economic and tangible losses, there is also a mental and emotional loss that needs to be accounted for. General damages can be awarded up to 5 times the special damage amounts, because of the misery and emotional pain the plaintiff endured. These types of non-financial calamities cover humiliation and embarrassment, loss of reputation, the incapability to move and perform tasks, as well as emotional anguish. These have a greater impact on the wellbeing and life quality of the plaintiff and may be longer lasting than the physical damage itself. Similar to death, this type of damage is indeed priceless. However, the courts will try to estimate the worth of the sorrow and heartache caused by the car accident. 

More Damages to Consider

In the case that there is an underlying complexity of multiple dependents and other factors, the court authorities will also take these events into account. For example, personal factors may play a part depending when dealing with driving history, medical income, job occupation, and age. There may be a likability factor if one individual is seen in a positive light in comparison to someone who was neglectful or intentionally harmful. Other aspects of a lawsuit include the fact that there may be different settlement award amounts if multiple defendants are involved. This is because different insurance carriers will have different claims, although, this doesn’t interfere with each individual case. 

The First Offer is Typically Far Less Than Actual Verdict Settlement

Money offers

When working towards the goal of obtaining a settlement, you may receive many offers before the settlement negotiations can begin. Often, the insurance company of the defendant will try to settle the case before it goes to court by providing a low-ball offer. Because insurance companies are widely known to undervalue settlement damages, it is better to work with an attorney and go through the negotiation of settlement costs. Insurance companies typically seek to prevent loss and retain profit, which is why they provide an offer if the victim agrees not to file a personal injury lawsuit. This way, the defendant can have the case closed without the long financial battle of working with lawyers, insurance companies, and other parties in the courts.

It is recommended to be patient when receiving offers and consider them carefully. Receiving a cash offer at the scene is highly discouraged, as not only will it be a minuscule amount but it is an undocumented amount of money. Always contact an attorney first to better understand how much a rear-end car accident case may be worth. Instead of only receiving 10% of the true value of your settlement, you should instead file a claim and undergo personal injury litigation. 

Steps to Take to Obtain Average Settlement Amount

The victim must take pictures of the accident and take down information about the driver before any vehicles are moved. All of the debris of the accident, the vehicle positions, weather, as well as witness testimonies will aid in this argument. If the person is injured, this may be entirely up to the police to file a report. Obtaining this report will be necessary for filing a settlement claim. Immediately see a doctor and provide as many details about symptoms with as much honesty as possible. This will support your claims and match any evidence that was provided.

Getting an appropriate estimate first begins with filing a claim with the insurance company. This kicks off an investigation and is followed by medical treatment, receiving a consultation with an attorney, and filing a claim with the judicial court. After that, a medical and liability investigation occurs and the settlement is calculated. Unless no additional information is provided, the estimate will be based on preliminary evidence. The mediation and trial will be performed to the best benefit of the victim, but also for fair recompensation without taking advantage of the defendant. 

Get Additional Advice from Proven Professionals 

If you recently suffered a rear-end car accident and need immediate guidance, Pinnacle Legal Funding can provide adept advice and place you on the right path. We can provide you with financial support while your attorney fights for the money you deserve. You don’t have to stand alone after withstanding much damage and pain, allow us to help relieve your financial burdens after a rear-end accident, with the help of a professional and dedicated team. We work with you to deliver not only great results but support you as your attorneys progress towards the goal of settling the case. Contact us today for a consultation about our legal funding.


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