Detailed Answer

Short answer: If you sign a “full and final” settlement and release, you generally give up the right to make any further claims against the payer for the same injury — including future medical treatment that later becomes necessary. That release is a binding contract in most cases. There are narrow exceptions (fraud, mistake, duress, or material nondisclosure) that may allow you to challenge or undo a release, but those are often difficult to prove. Before signing any full-and-final document, get medical guidance and legal advice.

What does a “full and final” settlement mean?

A full-and-final settlement typically includes a payment to you and a signed release that extinguishes your legal claim against the insurer, adjuster, or negligent party for the incident described. The release language commonly says you “release and forever discharge” the defendant from all claims related to the incident. Once signed, you normally cannot recover additional compensation later for the same accident, even if new injuries or additional treatment appears.

Why this matters for future medical care

Medical treatment for some injuries can be delayed or may uncover new problems later. If you accept a lump-sum settlement and sign a broad release before your condition has stabilized (for example, before a doctor says you have reached maximum medical improvement), you may be solely responsible for any additional medical bills and related losses that arise after the settlement.

When can a release be undone or challenged?

Courts will sometimes set aside a release if you can prove one of the following:

• Fraud by the insurer/adjuster — the other side intentionally misrepresented material facts.
• Material mistake — both sides were operating under a fundamental mistake about a fact that affected the agreement.
• Duress or undue influence — you were forced or coerced into signing.
• Lack of capacity — you lacked legal capacity when you signed (e.g., severe impairment).
• Concealment of material information — important facts (like the severity of injury) were hidden.

Proving these claims is fact-specific and can be difficult; courts do not lightly unwind clear, voluntary releases.

What to do before you sign a settlement offer

Take these steps to protect your rights and health:

• Get a current written medical opinion about your condition and whether you have reached maximum medical improvement (MMI) or if additional treatment is reasonably likely.
• Do not sign a release the same day you are offered the payment. Ask for the full written settlement package and time to review it.
• Ask the insurer to carve out ongoing or future medical expenses in the release, or ask for money specifically allocated for future care to be placed in escrow.
• Consider requesting a structured settlement or periodic payments if future care is likely.
• Speak with a personal injury attorney before signing anything that says “full and final” or contains a broad release clause.

What to do if you already signed and now need more treatment

If you already signed a full-and-final release and later need more medical care, your options include:

• Ask the insurer if they will reopen negotiations voluntarily. Sometimes carriers will agree to a modest additional payment for goodwill or to avoid dispute.
• If you believe the insurer committed fraud, concealed material facts, or the release was obtained by duress or mistake, consult an attorney about filing a lawsuit to rescind (undo) the release. Be prepared: these cases involve detailed proof and are not guaranteed to succeed.
• Contact the Alabama Department of Insurance to report suspected bad-faith or unfair claim practices. The Department can investigate consumer complaints and provide guidance: Alabama Department of Insurance.
• Consult a lawyer promptly. If litigation is a possibility, timing matters. An attorney can evaluate whether you have grounds to challenge the release or pursue other avenues.

Practical examples (hypothetical)

Example 1 — You accept a full settlement the week after a car wreck. Two months later a neck MRI shows a disc herniation that requires surgery. Because you signed a broad final release, you typically cannot seek additional money from the at-fault driver’s insurer unless you can prove the carrier knew about that condition and intentionally concealed it.

Example 2 — You accept a settlement but insist on language that reserves claims for any medical care related to the accident that arises within the next two years. The insurer agrees and the release contains that carve-out. If more treatment is needed within two years, you can seek payment under the carve-out language.

How to limit risk when negotiating

Include specific terms in the settlement: an allocation for future medical costs, a limited release that excludes future medical claims, a right to reopen if new injuries are discovered, or conditional/structured payments. Put negotiated terms in writing and have a lawyer review them.

Resources in Alabama

• Alabama Department of Insurance (file a consumer complaint or learn about unfair claim practices): https://www.aldoi.gov/
• Alabama Judicial System — information about courts and civil procedure: https://judicial.alabama.gov/

Disclaimer: This article explains general principles and common practices under Alabama law and is for educational purposes only. It is not legal advice, does not create an attorney-client relationship, and should not replace advice from a qualified attorney about your specific situation.

Helpful Hints

• Never sign a full-and-final release on the spot — ask for time to review and consult a doctor and attorney.
• Obtain a written medical opinion about MMI and the likelihood of future care before agreeing to settle.
• Ask for carve-outs or escrow for future medical costs if your injury is not fully resolved.
• Document everything: medical records, communications with the adjuster, and settlement papers.
• If you suspect bad faith or fraud by the insurer, report it to the Alabama Department of Insurance.
• If you already signed and need more treatment, consult a lawyer immediately to assess whether the release can be challenged or whether the insurer will reopen the claim.