What to Know About Car Accident Settlements in Michigan
If you’re recovering from an auto accident, you may be curious about the typical car accident settlement amounts with injury. At Lipton Law in Southfield, MI, our team is here to help you understand what your case may be worth and guide you through each step of the claims process so that you can seek fair compensation.
When it comes to car accident settlements in Michigan, it’s important to understand that there’s no “average” settlement amount. Michigan’s no-fault insurance laws, combined with factors like the severity of the injury, medical costs, and lost income, can cause settlement amounts to vary widely. Minor injuries might result in a few thousand dollars in compensation, while severe, life-altering injuries can reach into the hundreds of thousands or even millions of dollars.
If you or a loved one has suffered injuries in a Michigan car accident, a Michigan car accident injury attorney at Lipton Law can help you pursue the compensation you deserve. Our attorneys understand the factors that can maximize your claim and will fight to ensure that every aspect of your case is fully considered.
Call (248) 557-1688 to schedule a free consultation with a personal injury lawyer on our team to discuss your car accident case.
How Are Car Accident Settlements Calculated?
Car accident settlements are typically calculated by considering a range of factors that reflect the accident’s financial, physical, and emotional impact. Evidence such as medical records, pay stubs, and expert testimony can help prove the worth of some of these damages.
At Lipton Law, our experienced car accident attorneys can help take into account all of the factors of your auto accident case and calculate how much compensation you may be owed in a car accident settlement.
No-Fault Insurance and Car Accidents
No-fault insurance means that each driver’s own insurance company covers their medical expenses, lost wages, and other personal costs after an accident, regardless of who was at fault. In states like Michigan, a driver will make a no-fault insurance claim with their own insurance company following an accident, rather than the “at-fault” driver who caused the accident.
This system is designed to ensure drivers have faster access to the benefits they need while limiting lawsuits. However, this system also places specific restrictions on what types of car accidents can be taken to court. The injured party or their family can only seek additional compensation from the at-fault driver’s insurance in cases of severe injury or death.
Michigan Laws Regarding Car Accident Settlements
In Michigan, car accident settlements are influenced by the state’s no-fault insurance system, which mandates that drivers use their own insurance for coverage of medical costs and lost wages, regardless of fault. However, in cases of severe injuries, permanent disfigurement, or death, injured parties may pursue additional compensation from the at-fault driver for pain and suffering.
Michigan also applies a “comparative fault” rule, reducing the settlement amount based on the injured party’s level of fault, meaning that if someone is partially responsible for the accident, their compensation will be adjusted accordingly.
According to the Michigan Department of Insurance and Financial Services (DIFS), drivers are required to carry minimum insurance coverage of:
- $50,000 per person and $100,000 per accident for bodily injury;
- $10,000 per accident for property damage; and
- Coverage for medical expenses for Personal Injury Protection (PIP).
These coverages ensure that drivers can cover costs associated with injuries and property damage resulting from accidents.
Liability
Liability plays a key role in calculating settlement amounts in severe car accident cases, as it determines who is responsible for the damages. If the accident is severe enough to cause a fatality or severe injuries, then the at-fault driver may be responsible for providing the victim with compensation for a certain percentage of the accident.
This is because Michigan follows the comparative fault rule, meaning if an injured person is partially responsible for the accident, their compensation may be reduced according to their percentage of fault.
For example, let’s say the driver who caused the accident ran a red light, but the victim was distracted when they drove through the intersection. From there, it could be determined in negotiations that the victim could have reasonably reacted to the at-fault driver’s actions or slowed down to reduce the severity of the accident if they hadn’t been distracted.
Both sides may then agree that the victim was 15% at fault for the accident. That would mean the victim can only recover compensation up to 85% of the total amount of compensation they would have been owed if they had been driving safely at the time of the accident.
Severity of the Injuries
The severity of injuries significantly impacts the settlement amount, with more serious injuries often leading to higher amounts of compensation. In Michigan, cases involving severe, permanent, or disabling injuries may allow for additional claims beyond standard no-fault insurance coverage, including pain and suffering.
The long-term implications of the injury, such as permanent disabilities or loss of earning potential, are also taken into account when calculating the settlement. An experienced attorney can look at the severity of your injuries and help determine the worth of your car accident case beyond no-fault insurance claims.
Medical Expenses
Medical bills are a major factor in car accident settlements, as they reflect the immediate and ongoing cost of treatment for injuries sustained in the accident. In Michigan, no-fault insurance covers necessary medical expenses up to the policy limit, but for severe cases, additional compensation may be sought from the at-fault driver.
This can include hospital stays, surgeries, physical therapy, and any future medical expenses required due to the injuries.
Lost Wages
Lost wages are a critical component in auto accident settlements, as they account for the income the injured person missed while receiving medical treatment and recovering from their injuries. In Michigan, no-fault insurance typically covers lost wages up to a certain percentage, though severe injury cases may allow for additional claims if income losses are substantial or long-term.
Settlements consider not only past wages but also loss of future earning potential if the injuries impact the person’s ability to work.
Pain and Suffering
Pain and suffering damages refer to the physical and emotional distress caused by the accident and are often considered in settlements involving severe or permanent injuries. While no-fault insurance covers economic losses, pursuing compensation for pain and suffering typically requires meeting Michigan’s threshold of serious injury.
This component can significantly increase settlement amounts, as it compensates for the intangible impact on the victim’s quality of life.
Property Damage
Property damage covers the cost of repairing or replacing the vehicle and any other damaged personal items in the accident. Severe accidents often cause significant property damage, including vehicle damage. In Michigan, property damage liability usually provides compensation for repairs on the vehicle or replacement, depending on the extent of damage.
Compensation for property damage is an essential part of the overall car accident settlement, ensuring the injured party is not left with out-of-pocket repair costs.
How Do Car Accident Settlements With Injury Differ from Those Without Injury?
Car accident settlements with injury differ significantly from those without injury. This is primarily because they include compensation for medical expenses, lost wages, and pain and suffering. Injury settlements are typically higher, as they must cover the costs associated with the physical and emotional impact of the accident on the injured party.
In Michigan, the no-fault insurance system covers medical costs and lost wages for injury cases, while property damage claims for accidents without injury generally focus only on the cost of vehicle repair or replacement.
If you have suffered from a car accident in Michigan without injury, an experienced car accident lawyer at Lipton Law can evaluate your claim and help determine the potential settlement amount you may be entitled to.
Typical Car Accident Settlement Amounts No Injury
In Michigan, typical settlements for non-injury accidents often range from $500 to $10,000, depending on the extent of the damage and level of fault. Depending on the severity of the vehicle damage, this type of car accident case would focus solely on restoring the damaged property to its pre-accident condition.
Average Car Accident Settlement Amounts in Michigan
There are many different factors that can affect typical car accident settlement amounts in Michigan, including the severity of the accidents and the type of injury or injuries sustained in the accident. Below are some average car accident settlement examples based on accident severity and injury type.
Minor Car Accident Settlement Amounts
For minor car accidents, settlement amounts in Michigan are typically lower, as these cases often involve minimal property damage and minor injuries. These types of car accident claims often involve accidents like minor fender-bender accidents, low-speed accidents, and parking lot accidents.
The settlement for minor accidents will usually cover costs like vehicle repairs and minor medical treatment, often ranging from $800 to $13,000. Since Michigan’s no-fault insurance covers basic medical expenses and lost wages, the financial impact of minor accidents is generally limited, resulting in a lower settlement amount.
If you have suffered from a minor accident like a rear-end collision, learn more about various rear-end collision settlement amounts from a personal injury lawyer on our team.
Severe Car Accident Settlement Amounts
Severe car accident settlements in Michigan are generally much higher due to the significant impact these accidents have on the injured party’s health, finances, and overall life. These settlements may need to cover extensive medical treatments, long-term care, lost income, and substantial pain and suffering as a result of the serious injuries caused.
In cases involving permanent disabilities or serious impairments, serious car accident settlements can range from $20,000 to $100,000 or more. They aim to compensate for the profound and lasting consequences of the accident on the injured individual’s life. Some of these serious accidents include rollover accidents, t-bone accidents, high-speed accidents, and drunk driving accidents.
At Lipton Law, we helped the family of a man killed by a drunk driver recover $1,250,000 in a wrongful death car accident settlement. If you or a loved one has been injured in a serious accident involving a drunk driver, contact a Michigan drunk driving accident lawyer on our team to discuss your legal options.
Car Accident Claim Settlements by Injuries
In addition to gauging the average worth of these personal injury claims by their severity, we can also gauge them by the type of injury sustained. If you have suffered from one or more of these injuries in a car accident, a personal injury attorney can provide you with a more accurate car accident settlement calculation.
Average Payout for Whiplash
The settlement amount for car accidents resulting in whiplash injuries can range from $8,000 to $26,000, depending on the severity of the injury. For mild cases, which may only require short-term treatment, payouts are generally on the lower end.
However, if whiplash leads to chronic pain or long-term therapy needs, the settlement amount may increase to reflect ongoing medical expenses and impact on the quality of life for these car accident victims.
Average Payout for Spinal Cord Injuries
Spinal cord injuries are among the most severe car accident injuries and often result in high settlement payouts. The average car accident payout for a car accident resulting in a spinal cord injury can range from $100,000 to $500,000 or more. These injuries can lead to partial or complete paralysis, requiring lifetime medical care, specialized equipment, and home modifications.
Given the life-altering nature of spinal cord injuries, settlements aim to compensate not only for immediate expenses but also for future costs, loss of income, and the profound effect on the victim’s lifestyle. If you or a loved one has suffered from a spinal cord injury as a result of a car accident, contact a Michigan back and spinal cord injury lawyer at Lipton Law today.
Average Payout for Traumatic Brain Injuries
Traumatic brain injuries (TBIs) from car accidents can vary widely in settlement amounts, often ranging from $50,000 to $150,000 or more. In fact, we at Lipton Law helped recover $2,750,000 on behalf of a young man who suffered from a traumatic brain injury in a motor vehicle accident.
Mild TBIs with short-term symptoms may result in moderate settlements, while severe TBIs are catastrophic injuries, often involving long-term cognitive impairments, personality changes, or permanent disability. The severity of these injuries often commands a much higher settlement amount.
Most car accident claims involving TBIs require compensation for things like extensive medical treatment, long-term care needs, and the profound emotional and financial toll on the injured individual and their family. If you or a loved one has suffered from a TBI in an auto accident, a Southfield traumatic brain injury attorney on our team can help you seek the compensation you deserve.
Average Payout for Amputations
Amputations resulting from car accidents often lead to substantial settlements, typically ranging from $150,000 to $500,000 or more. These injuries have long-term physical, emotional, and financial impacts, as the injured individual may face extensive medical treatments, prosthetics, rehabilitation, and potential modifications to their home or vehicle.
Settlements also consider lost earning potential and the profound changes to daily life and quality of life. If you have suffered from an amputation or another catastrophic injury in an auto accident, contact a Michigan catastrophic injury lawyer at Lipton Law to discuss your legal options.
Average Payout for Back and Neck Injuries
Back and neck injuries can vary widely in settlement amounts, with the average settlement ranging from $15,000 to $50,000 or more, depending on the severity of the injury. These injuries may require prolonged treatment, physical therapy, or even surgery, impacting the person’s ability to work and engage in daily activities.
The extent of pain, medical treatment costs, and potential for long-term disability all contribute to the overall settlement, with higher payouts for injuries that significantly affect the victim’s life.
How Long Does It Take to Get a Car Accident Settlement?
The time it takes to receive a car accident settlement can vary widely, often ranging from a few months to over a year. Minor cases with clear liability and minimal injuries may settle more quickly, sometimes within several months.
However, complex cases involving severe injuries, disputed liability, or substantial compensation requests can take longer, especially if they evolve into a car accident lawsuit. In Michigan, auto insurance processing times and no-fault rules may also affect the timeline for receiving a settlement.
Why Do I Need an Attorney for My Car Accident Claim?
If you have suffered from serious injuries as a result of a car accident, you need a Southfield personal injury lawyer to provide you with legal representation throughout the process. A car accident attorney can help you navigate Michigan’s complex no-fault insurance laws, ensuring you maximize the benefits available to you for medical expenses, lost wages, and other damages.
They can also negotiate with insurers who may attempt to minimize your claim, using their experience to advocate for a fair and just settlement on your behalf. In cases involving severe injuries or disputed liability, an attorney can gather evidence, consult experts, and handle legal procedures, which can make a meaningful difference in the outcome of your car accident injury settlement.
At Lipton Law, our car accident lawyers are dedicated to helping you through the car accident settlement process, ensuring you receive the compensation you deserve. With extensive knowledge of Michigan’s no-fault insurance laws, our team can identify all potential sources of compensation, from covering medical expenses and lost wages to securing damages for pain and suffering.
We’ll handle the negotiations with insurance companies, advocating for a fair settlement while protecting your rights. We’ll gather necessary evidence, consult with medical and financial experts, and, if needed, represent you in court to achieve the best possible outcome for your recovery and future stability.
Contact a Michigan Car Accident Attorney at Lipton Law Today
If you’ve been injured in a car accident, the right legal support can make all the difference in securing the compensation you need to move forward with your life. At Lipton Law, our Michigan car accident attorneys understand how difficult life can be in the wake of an accident that wasn’t your fault, which is why we’re here to provide you with compassionate guidance, support, and advocacy during this time.
We’re committed to pursuing every possible avenue for compensation, ensuring that all of your damages are accounted for in your personal injury claim. With years of experience handling car accident cases in Southfield and the surrounding areas, we know the ins and outs of Michigan’s no-fault insurance system and how to maximize your claim.
Whether you’re dealing with a minor injury or a life-altering condition, our team will tailor our approach to meet your unique needs. Call our law firm today to schedule a free consultation with an experienced personal injury attorney on our team regarding your car accident claim.
Call (248) 557-1688 or contact us via our online contact form to get started today.