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How Are Wrongful Death Settlements Paid Out?

Thursday, February 25, 2021

Families pursue wrongful death claims for many important reasons, such as justice, closure and holding a wrongdoer accountable. A wrongful death lawsuit in Dallas can also provide financial compensation to surviving family members, enabling them to pay related debts and have greater financial stability in the future. If a claim succeeds, the family can receive a wrongful death settlement from the insurance carrier of the at-fault party.

What Does a Wrongful Death Settlement Include?

Holding a person or entity financially responsible for causing a fatal injury in Texas can lead to a settlement check that covers many economic and noneconomic damages. Surviving family members and the estate can recover financial compensation for losses such as:

  • Reasonable funeral and burial costs
  • Medical bills from the decedent’s final injury
  • Loss of the loved one’s financial support
  • Loss of inheritance
  • Property damage caused by the accident
  • The decedent’s pain and suffering
  • The family’s mental anguish
  • Loss of the loved one’s love, companionship and guidance

The value of a wrongful death settlement or judgment award will depend on the unique circumstances of the case. A deceased person’s age at the time of death, average income, the insurance coverage available, the number of dependents and many other factors can impact a settlement amount.

How Are Wrongful Death Settlements Paid Out?

Lump-Sum vs. Structured Settlement

There are two types of settlements: a lump sum payment and a structured settlement. A lump sum means the full amount of the settlement is paid out at once, giving the deceased person’s estate or beneficiaries a single lump-sum payment. The family can use the money right away to pay for funeral and burial costs, as well as medical bills and legal fees.

With a structured settlement, the deceased person’s estate receives the settlement a portion at a time over several weeks. Ongoing payments given to surviving family members can provide continuous support for a longer length of time after the loved one’s death. However, a structured settlement could make it more difficult to pay large bills upfront.

How Long Does it Take to Receive a Wrongful Death Settlement Check?

The answer to this question depends on the facts and circumstances of your case. Some wrongful death settlements are achieved in only a matter of months if there are no complications. Others take a year or longer if they go to trial. Your timeline will depend on the complexity of the wrongful death case, as well as if you encounter any challenges that add time to the settlement.

Who Receives the Money?

Once an insurance company releases a settlement check, the money will go to surviving loved ones, according to Texas law. A settlement will be distributed among beneficiaries according to the family’s wishes or the laws of intestate succession. In general, parties that can make a claim to wrongful death settlement include a surviving spouse, children and parents. The deceased person’s estate may also receive part of a settlement to pay off any remaining debts.

Do You Have to Pay Taxes on a Wrongful Death Settlement?

According to the Internal Revenue Service, a family typically does not have to pay taxes on a wrongful death settlement. Since settlements arise from physical injuries or illnesses, they are nontaxable. However, if the settlement includes a portion for medical bills that you deducted on your taxes in a previous year, a portion for emotional distress or a portion for punitive damages, your family may have to pay taxes on that portion.

How a Lawyer Can Help With a Wrongful Death Settlement

It is important to work with an attorney for a wrongful death settlement. With rare exceptions, once you accept a settlement and decide how you wish to receive it, you cannot change the terms of the agreement. A lawyer can make sure you receive a fair amount and choose the best payout type for your situation. A lawyer can also help you organize your settlement for tax purposes. Learn more about wrongful death settlements by consulting with an attorney.

Posted by admin at 11:00 pm

How Long Does it Take to Settle a Wrongful Death Claim?

Wednesday, February 24, 2021

Wrongful death is a terrible tragedy that occurs due to negligence, default or intent to harm another person. If you recently lost a beloved family member in any type of incident in Dallas, such as a car accident or physical assault, a wrongful death claim could result in financial compensation to help you pay the bills. Find out how long it may take your family’s wrongful death claim to settle in Texas.

How Long Does it Take to Settle a Wrongful Death Claim?

No Average Settlement Timeline Is Accurate Per Client

It is important to realize that no two wrongful death claims are exactly alike in Texas. Some resolve in a matter of just a few months, while others take multiple years to finally end in payment for surviving family members. Searching for average settlement timelines for wrongful death claims, therefore, will not give you an answer that is accurate for your particular case. Instead, each case is unique and requires careful evaluation by a wrongful death attorney for an accurate timeline.

Factors That Can Impact a Wrongful Death Settlement Timeline

The main factor that will determine whether you will resolve your wrongful death claim in a matter of months or years is whether it settles or goes to trial. The average insurance settlement takes three or four months from the time the family submits an insurance claim to the family receiving a settlement check.

If an insurance settlement is not possible or in your family’s best interest, however, your case may require a full-blown trial to resolve. A trial in Dallas can take a year or longer to complete depending on how many cases the courthouse has to hear. In a busy county with a congested courthouse, your family might not receive a court date for a long time.

In addition to whether or not you achieve an insurance settlement, several other factors could also affect your recovery timeline. Your wrongful death case may take longer to resolve if:

  • Fault is complicated, such as in a hit-and-run auto accident.
  • The insurance company is refuting fault or arguing someone else’s shared negligence.
  • The defendant is simultaneously facing criminal charges, such as homicide or manslaughter.
  • Your case is worth a significant amount of money, making an insurance company want to delay payout.
  • The insurance company is treating your wrongful death claim in bad faith.

Although it may be difficult, you must exercise patience during the legal process after the wrongful death of a loved one. There are ways your family can pay the bills in the meantime, such as through your own insurance company, a workers’ compensation claim or insurance subrogation. A lawyer can help your family front the costs of a lawsuit while you wait for your case to resolve. Waiting can be worthwhile if accepting a quick settlement will not provide the compensation your family deserves.

Why It Is Dangerous to Rush a Settlement

Insurance companies put their profits and bottom lines over client payouts. Reducing and rejecting insurance benefits as often as possible is how insurance companies remain profitable. It is important to keep this in mind during wrongful death settlement negotiations – especially since you cannot renegotiate a settlement amount once accepted.

The first settlement offered to your family may drastically underestimate the past and future losses connected to your loved one’s death. It is up to you to negotiate with the insurer until you are certain the offer is fair, even if this extends your timeline. While it may be tempting to rush into a fast settlement and finish your wrongful death claim, waiting could make a significant difference.

Although no amount of money can ever make up for the loss of your loved one, a fair and full settlement or judgment award could allow your family the financial stability you need during this difficult time. Consult with a wrongful death attorney in Dallas for more information.

Posted by admin at 10:58 pm

How Are Wrongful Death Proceeds Divided in Texas?

Monday, October 19, 2020

A wrongful death in Texas will not affect just one person. It impacts everyone in the deceased victim’s immediate family – including a spouse, child, grandchild parent and sibling. A common question during wrongful death lawsuits is how proceeds won will be divided among recipients. The answer to this will depend on many factors, including state laws, the deceased person’s last will and testament, and the wishes of the family.

What Proceeds Are Available During a Texas Wrongful Death Suit?

First, learn who may file a wrongful death claim in Texas, as well as what types of damages claimants can request. The parties who bear the right to file wrongful death claims are the deceased person’s surviving spouse, children and parents. If you are in this group, you may file individually or your family may file together. The damages available in a wrongful death claim in Texas include funeral and burial costs, lost earnings and benefits, lost inheritance, lost love and companionship, lost care and services, and emotional pain and suffering. Who receives the compensatory award in a wrongful death claim depends on the case.

Who Receives the Compensation in a Wrongful Death Claim in Texas?

Each state has different distribution laws for wrongful death claims. Texas Civil Practice and Remedies Code 71 determines who will receive a portion of the award won during a wrongful death suit in the state. First, the statute gives adult beneficiaries the chance to work out an arrangement among themselves. All beneficiaries must be adults who can compromise and agree on the terms of the division for this strategy to work. State law in Texas is specific in who it sees as beneficiaries after the death of a loved one. It typically names surviving spouses and children as the main recipients.

Most wrongful death claims settle outside of court. If this is the case, adult beneficiaries can decide how to split the proceeds. Should beneficiaries be unable to agree, a lawyer may intervene to help divide the proceeds fairly. Lawyers usually use precedents set by previous wrongful death juries to determine how much to allot each surviving family member. If a wrongful death claim in Texas goes to trial, however, a jury will have the difficult decision as to who will receive how much.

The court will have full discretion over how to divide the proceeds of a wrongful death trial in Texas. Jurors typically give the most compensation to surviving spouses, followed by minor children and parents of deceased minor children. A jury will award compensation to each eligible surviving family member based on the extent of the losses that person suffered. The amount awarded will match how much the loved one lost due to the decedent’s unexpected death.

When to Hire a Wrongful Death Attorney

Most families in Texas will benefit from hiring wrongful death lawyers from the very beginnings of their claims. Lawyers know what these cases require and how to maximize a family’s payout. If you work with a wrongful death attorney, he or she can help your family decide how to allocate the funds won in an insurance settlement. Your lawyer can facilitate conversations and compromises to help your family decide how to distribute a settlement among loved ones rather than going to trial. A lawyer can also increase the chances of your family working together on a group lawsuit, rather than each family member hiring his or her own attorney and filing a separate claim.

The right wrongful death lawyer can help you and your family through this difficult time. From letting you know whether you have grounds for a claim to helping you distribute the funds won, your lawyer can take care of difficult and complex tasks for you while you focus on grieving. If you have further questions regarding how to divide wrongful death proceeds in Texas, contact an attorney from The Law Firm of Aaron A. Herbert, P.C. today.

Posted by admin at 5:48 pm

How to File a Wrongful Death Claim

Saturday, March 14, 2020

Wrongful death is a tragedy that can befall a family after a fatal motor vehicle accident, workplace accident, fall, criminal assault or many other types of deadly accidents. The civil justice system in Texas provides a way for surviving family members to seek financial compensation for the wrongful deaths of loved ones. Although a lawsuit is not the perfect solution, it could lead to important compensation for you and your family during this difficult time. Find out how to file a wrongful death claim in your county with a Dallas personal injury attorney.

What Is a Wrongful Death Claim?

First, determine if you have the ability to bring a wrongful death claim in Texas. A wrongful death claim is a civil cause of action that seeks to hold someone responsible for the fatal injury of a plaintiff’s family member. You may have grounds for a lawsuit if the recent death of someone close to you fulfills the definition of wrongful death according to Texas Civil Practice and Remedies Code 71.002.

State law defines wrongful death as an injury related to someone’s wrongful act, neglect, default, unskillfulness or carelessness, that causes death. In most cases, if the deceased person would have been able to file a personal injury claim had the injury not been fatal, survivors can file wrongful death claims for compensation. You might be able to file after any preventable accident that takes the life of your loved one in Texas.

Who Can Bring a Wrongful Death Suit in Texas?

Next, find out if you are one of the parties permitted to demand compensation for wrongful death in Texas. Laws in many different states are strict when it comes to who may and may not bring wrongful death suits. In Texas, these parties are the deceased individual’s surviving spouse, child or parents. These parties may file separately or together as a group. If these parties do not exist or do not file within three months of the date of death, a personal representative of the decedent’s estate can file instead. The only exception is if a family member expressly forbids the representative to bring a claim.

What Is the Time Limit to File?

Act fast to hire a lawyer and take the first steps toward obtaining compensation after the death of someone close to you. Waiting too long could hurt your chances of recovering financially. If you miss the deadline to bring a claim, you will be permanently unable to hold the defendant accountable. In Texas, the deadline (statute of limitations) is two years from the date your loved one died, with limited exceptions. Contact an attorney before the end of your window to make sure you retain the right to file.

How Do You File a Claim?

Once you have confirmed you have all the elements of a wrongful death lawsuit and the legal right to bring a claim, file the paperwork to initiate the process. Start by hiring a wrongful death lawyer in Texas to help you with your case. A lawyer can handle paperwork and legal red tape for you while you spend time with your family during this hard time. A lawyer can also make sure your family does not settle for less than the claim is worth with an insurance company.

You or your attorney will draft a demand letter to send to the insurance company of the allegedly at-fault party. The demand letter will explain why you believe the defendant named is responsible for causing your loved one’s death and how much money your family is seeking to resolve the claim. A lawyer can make sure you get the wording correct in your demand letter. Submit the letter to the insurer and wait for a response. Acceptance will lead to settlement negotiations, while denial will give you the ability to take your wrongful death claim to court in Dallas County. An attorney can help you regardless of which path your claim takes.

Posted by admin at 6:23 pm