Disclaimer: This article is for general information only and is not legal advice. Laws change and every case is different. Consult a licensed Ohio attorney for advice about your specific situation.
Detailed answer — How to respond when an insurer sends a “final” settlement offer after you were injured
If an insurance company sends what it calls a final offer, you have options. The key steps are: (1) confirm what the offer covers and get everything in writing, (2) preserve your right to sue by watching the statute of limitations, (3) gather and document your damages, (4) try to negotiate or use alternative dispute resolution, and (5) hire a lawyer if the offer is too low or complex. Below is a practical, step-by-step checklist tailored to Ohio law.
1. Do not sign anything immediately
Insurers often attach releases with settlement checks. Signing a general release usually ends your legal rights. Before you sign, make sure the release describes exactly what you are giving up (which claim, which parties) and whether it closes potential future claims for the same injury.
2. Ask for a written explanation and the claim file
Request a written statement that explains how the company calculated the offer (medical bills paid, future treatment assumptions, deductions). Ask for a copy of the adjuster’s notes and the claim file. Put all requests in writing and send by certified mail or another trackable method.
3. Document and quantify your losses
Collect medical records, itemized bills, wage statements, receipts for expenses, photos of injuries and the scene, and statements from witnesses. Create an itemized list of past and expected future medical care, lost earnings, and non-economic losses (pain and suffering). The more organized your proof, the stronger your counteroffer.
4. Send a reasoned demand or counteroffer
Prepare a written demand letter that states your total damages, attaches supporting evidence, and explains why the insurer’s offer is insufficient. Be specific: list medical costs, lost income, a reasonable estimate for pain and suffering, and any future care. Give a reasonable deadline for response.
5. Preserve your right to sue — Ohio time limit
Ohio law generally gives you two years from the date of injury to file a personal injury lawsuit. See Ohio Revised Code § 2305.10: https://codes.ohio.gov/ohio-revised-code/section-2305.10. If the statute of limitations is near, file suit before the deadline to avoid losing your right to go to court, even if you still try to negotiate after filing.
6. Explore dispute-resolution options
Options include mediation, appraisal (for first-party property claims with an appraisal clause), arbitration, or renewed negotiation. Mediation often produces better results than refusing to negotiate or immediately going to trial. If an appraisal clause applies (more common in property claims), follow the policy’s appraisal process carefully.
7. Beware of liens and subrogation
Before accepting any payment, identify liens (Medicare, Medicaid, private health insurers, workers’ compensation, or health-care providers who may claim repayment). Make sure the settlement covers those liens or that the release allocates funds to allow you to pay required liens. Otherwise you could be personally responsible for those bills after you settle.
8. Consider claims of bad faith or unfair practices
If the insurer unreasonably refuses to pay, fails to investigate, or misrepresents policy terms, you may have regulatory or civil remedies. You can file a consumer complaint with the Ohio Department of Insurance: https://insurance.ohio.gov/consumers/file-complaint. For a potential civil claim for an insurer’s bad faith conduct, consult an attorney — Ohio law recognizes remedies against insurers in certain situations, but these claims depend on complex facts and case law.
9. When to hire an attorney
Talk to a personal-injury attorney as soon as possible if: the insurer’s offer is far below your documented losses; your injuries are significant or likely to need future care; there are multiple liable parties; the insurer denies coverage or claims policy limits; or you face lien or subrogation issues. Many Ohio personal injury attorneys offer free consultations and work on contingency (they get paid only if you recover).
10. If you accept a settlement
If you decide to accept an offer, get a written settlement agreement that: (a) identifies the parties and the claims released; (b) states how the funds will be distributed and who will pay liens; (c) describes whether the payment is taxed or non-taxed (if applicable); and (d) confirms that the insurer will not pursue further claims related to the released matters. Have an attorney review the release before you sign.
Summary checklist (short)
- Do not sign a release without review.
- Request written explanation of the offer and the claim file.
- Gather all medical, wage, and expense documentation.
- Send a detailed demand or counteroffer with evidence.
- Watch Ohio’s statute of limitations (R.C. 2305.10) and file suit if necessary: https://codes.ohio.gov/ohio-revised-code/section-2305.10.
- Consider mediation, appraisal (if applicable), or arbitration.
- Identify and resolve liens before accepting payment.
- File a complaint with Ohio Department of Insurance if you suspect unfair practices: https://insurance.ohio.gov/consumers/file-complaint.
- Consult an experienced Ohio personal injury attorney for complex or low-value offers.
Helpful Hints
- Keep a detailed communication log: date, time, who you spoke with, and what was said. Save emails and letters.
- Ask for deadlines in writing. If the insurer gives a short deadline to accept, get it in writing and request an extension if you need one.
- Do not give any recorded statement or sign medical authorization beyond what is necessary without legal advice.
- Request the insurer’s policy limits in writing if the at-fault party’s coverage might be insufficient.
- Get multiple medical opinions if the insurer questions the severity or necessity of your treatment.
- If you have Medicare or Medicaid, notify those agencies before settling — they may have repayment rights.
- Even after you file a lawsuit, most claims settle. Filing suit preserves rights and often encourages realistic settlement talks.
If you want, provide brief facts about your injury, the insurer’s offer, and any deadlines. I can outline a sample demand letter and the documents you should gather before contacting an Ohio attorney.