A release of all claims form is the document an insurance company asks you to sign to finalize a settlement after a car crash. By signing it, you give up your right to pursue further damages for that crash in exchange for the agreed payment, so you need to know exactly what you are signing, and you should talk to a lawyer before you sign.
What Is the Purpose of a Release of All Claims Form?
Insurance adjusters will typically use a Release of All Claims form in conjunction with a settlement agreement. The basis for signing this document is that you are confirming that you are releasing the other party from all liability regarding the crash that occurred. There are implications of the form, so you need to know exactly what you are signing before you sign it. You should speak to a Colorado injury attorney to ensure that you are receiving sufficient compensation before you sign the form.
This document protects insurance companies against further litigation or attempts at recovering any damages from them in the future. Oftentimes, the insurance company won’t release any of the funds from the settlement until this document is signed.
What Is Typically Included on a Release of All Claims Form?
Most release forms include the same core details. Check each one before you sign:
- Parties: the names and addresses of all parties involved and their insurance companies
- Incident: details about the crash
- Claims released: your claims for property damage, injuries and other damages, and their dollar amounts
- Payment: the total payment and the date it was issued
- Governing law: the laws that apply to the crash and the settlement
- Signatures: the signatures of all relevant parties
Within the document is typically a sentence similar to the following: by signing the document, you are giving up your right to pursue further damages in exchange for an agreed-upon settlement.
Which Claims and Parties Does the Release Cover?
By signing this document, you are releasing their obligation to pay you any more than what the settlement listed in the document is stated.
You are also giving up your right to pursue any legal options against the other party. This release means that you can’t change your mind at a later date and decide to pursue personal injury damages in court.
Finally, you are releasing the other party from fault in the crash. By agreeing to the terms laid out in the form, you willingly release the other party of any responsibility in the crash.
Once this form is signed and filed, that particular crash case is closed and can not be reopened.
Checklist Before Signing a Settlement Release
It is crucial that you understand that by signing the document, you cannot go back at a future date and pursue further damages regarding this crash.
Insurance companies are well aware that you are in need of compensation to pay for the mounting medical bills or funds to fix your vehicle, and they typically use this to their advantage to rush you through the settlement process with the goal of you signing the release of all claims form.
This document allows them to settle the crash file and rest assured that they will not pay out any further. In some cases, insurance agents will use aggressive tactics such as “take it or leave it” to coerce you into signing the document. Don’t fall victim to the pressure tactics that some agents may use. Instead, educate yourself on the options available to you and consult a personal injury attorney before signing anything. Whether you feel like the settlement amount is fair or not, it is imperative that you discuss your options with an attorney before signing.
Damages to Consider Before You Settle
Before you sign, make sure the settlement accounts for all of your damages. These can include economic losses such as medical bills, future medical needs and lost wages, and non-economic losses such as pain and suffering. Once you sign, you cannot go back for more. Learn more in What Affects the Value of a Colorado Car Crash Claim?
Why Do I Need an Attorney?
Personal Injury attorneys are an invaluable asset after a crash. They can assist you in navigating the next steps, negotiate with insurance companies or other parties involved in the crash and their representatives, and more. While you are tending to your injuries and seeking the medical care you need, they can gather evidence to support your case, ensure that necessary reports (medical and police) are collected, and handle all communication so you can focus on recovering from your injuries.
A personal injury attorney will have your best interest at heart, while an insurance company or the other party involved in the crash will not. Our attorneys will ensure that you are not taken advantage of and that you don’t settle for far less than fair compensation for your damages.
Related Reading
- What Affects the Value of a Colorado Car Crash Claim?
- Who Pays Medical Bills After a Colorado Car Crash?
- Colorado Car Crash Statute of Limitations
Talk to Greer Law Group Before You Sign
Contact our office today at 303-331-6460 to learn how we can become a tireless advocate for you. We have a never-give-up attitude, and we will help you have the same when pursuing fair compensation to get you back on your feet and onto the next chapter of your life without unnecessary financial stress.
