When you’re dealing with your recovery after a personal injury, you’ll have a lot of things to consider. If you have suffered losses, you may be wondering if you should file a lawsuit to obtain compensation. When making a decision regarding your case, you need to consider the likelihood of victory.
It is important to also investigate whether you will be able to collect the judgment if you are successful, as you may not be aware of this. So, before filing a claim against someone or something, you should make sure that the person or entity has the ability to pay. To decide if bringing a lawsuit will be worth your time and resources, it’s important to understand the details of collecting.
The following information will help you to decide whether a personal injury claim is worth it compared to the available insurance.
Collectibles: What Does It Mean?
A collectible person means that you can claim your winnings from them after the win. You will be able to receive what you’re entitled to through whatever means they have available. In the case of a $400,000 award, if the person you sue can pay you $400,000, they are fully collectible.
There’s More to It Than Just Winning
Getting a judgment against someone does not always imply that they have the financial means to pay. You can garnish assets in California, but you can’t put someone in jail for not paying if they honestly can’t.
Judgment proof refers to someone who does not have the financial means to pay a judgment. You can’t squeeze blood from a turnip, as the expression goes. That means that no matter how much you deserve it if someone doesn’t have the financial resources to compensate you, you won’t get it.
What Makes Someone Collectible?
You must first discover what kind of assets someone possesses in order to evaluate if they are collectible. You could wish to start by examining their public records and real estate. Information regarding a person’s profession, vehicles or boats they own, and even social media images might provide insight into their holdings.
Almost all firms, with the exception of the tiniest, have comprehensive insurance policies. Although it’s still a good idea to look into their assets, most businesses have enough insurance and assets to make a claim against them.
How Do Deep Pockets Work?
Deep pockets refer to someone or a company that can pay out a substantial claim. In such cases, you should aggressively seek all of the compensation you are entitled to. Your judgment will likely be collected soon after if the defendant has deep pockets. The chances of you being able to pursue garnishment to recover your winnings are decent, even if they balk at the concept of paying.
Collecting: What is the Process?
Examining the other party’s insurance is the first step in obtaining a judgment. They should have insurance to pay at least some of the damages if your case involves an automobile accident. Then there are umbrella insurance policies, which are carried by many firms and people.
When a person does not have other insurance to cover a judgment, these insurance policies come in and pay it. After you’ve exhausted your insurance options, you’ll start looking for assets. You can go after a person’s real estate or financial accounts to settle your judgment. However, there are some restrictions on how much personal property you can bring.
Coverage for Uninsured Motorists
Uninsured motorist policies are another place to look for coverage. An uninsured motorist policy protects you against an accident with an uninsured driver.
As a result, you may be able to recover the full amount of your own insurance policy. The State of California does not mandate this insurance coverage, but if you have it, it’s the best way to recover for your losses if the person at fault is uninsured and has few assets.
Bad Faith and Insurance
Another consideration while assessing your alternatives is the insurance company’s obligation to operate in good faith. Only when insurance companies pay when they’re supposed to do the insurance system work. It’s known as behaving in bad faith when insurance companies refuse to pay without a compelling basis to doubt the claim’s veracity.
If the jury finds that the insurance company refused your claim in bad faith, the firm may be liable for fines in addition to the amount they should have paid you. Penalties can be recovered. The California courts also reaffirm their support for insurance company bad faith fines.
Is it Worth the Time and Effort?
An injury case is worthwhile if you have a reasonable chance of recovering a significant portion of what you deserve. If you need assistance evaluating the parties involved in your case to determine if you will be able to collect the judgment, seek legal assistance from Siman Law Firm.
Your decision to proceed or not depends on whether you believe you have a good case, how much you are likely to recover, and how strong the case is. When you have sustained an injury, it’s important to gather as much information as possible to help you determine how to proceed. Siman Law Firm can help you collect the necessary information to help you make an informed decision about filing a lawsuit.