Detailed Answer

If an insurance company tells you its settlement offer is “final,” you still have options. Under Virginia law, insurers cannot automatically end the negotiation simply by saying an offer is final. What that statement usually means is the insurer does not plan to increase the offer without new information or formal procedures in your policy (for example, appraisal, arbitration, or suit). You should respond intentionally and quickly so you do not lose rights or miss time limits for filing a claim.

Quick checklist of practical steps to take now

• Calmly request the insurer to put the “final” offer in writing, including exactly what the payment covers and any conditions (for example, a release you must sign).
• Preserve all records: medical records, repair estimates, photos, bills, correspondence, and the policy itself.
• Review your policy for deadlines, appraisal or arbitration clauses, and any release language before signing anything.
• Consider getting independent estimates or medical opinions that could justify a higher value.
• If the insurer refuses to budge, ask about formal dispute processes in the policy (appraisal for property damage; arbitration; or internal appeal) and the insurer’s complaint process with the Virginia Bureau of Insurance.

How to evaluate whether you should accept, counter, or take other action

Decide using three basic questions:

• Does the offer fully compensate the losses the policy promises to cover? Compare the offer to independent estimates and medical records.
• Does the insurer require you to sign a release? If so, read it closely. A release can give up your right to sue or pursue further claims.
• Are there alternative dispute-resolution processes in your policy (appraisal or arbitration) or legal deadlines you must meet? If so, moving forward may require acting within the time limits in the policy or statute.

When to get an attorney

Contact an attorney if any of the following applies:

• The insurer’s offer clearly fails to cover your documented losses.
• The insurer pressures you to sign a broad release before you have full information.
• There is a complex coverage dispute (for example, policy exclusions or multiple responsible parties).
• You suspect the insurer engaged in unfair settlement practices or bad faith.

Important Virginia legal timelines to keep in mind

Before you let time pass, know these common limitations under Virginia law:

• Personal injury lawsuits generally must be filed within two years. See Va. Code § 8.01-243: law.lis.virginia.gov/vacode/title8.01/chapter5/section8.01-243/
• Actions on written contracts (including many first-party insurance contract claims) are subject to a five-year limitation. See Va. Code § 8.01-246: law.lis.virginia.gov/vacode/title8.01/chapter5/section8.01-246/

Reporting and administrative options in Virginia

If you believe the insurer is handling your claim unfairly, you can file a complaint with the Virginia State Corporation Commission’s Bureau of Insurance. The Bureau can investigate consumer complaints and provide information on your rights:

https://scc.virginia.gov/pages/Bureau-of-Insurance

What to avoid

• Do not sign a general release or full settlement until you have a clear understanding of what you are giving up.
• Do not accept an offer under pressure if you lack records or evidence to assess full value.
• Do not miss the statute of limitations while attempting to negotiate. If you plan to sue, file suit before the deadline; you can often continue settlement talks after filing.

When an insurer’s conduct may be actionable

In Virginia, an insurer’s unreasonable delay or refusal to pay valid claims can lead to legal claims, including a breach of contract or, in certain situations, a bad-faith claim. Whether a case exists depends on the facts and the policy. If you suspect unfair practices, collect evidence of communication and delays, then consult an attorney for evaluation.

Sample next-move template

Use this as a model when you respond in writing:

“I received your written offer dated [date]. Please confirm in writing what exactly the payment covers and whether you require a release. I am still evaluating medical/repair records. I request 30 days to provide additional documentation for your consideration. If you decline further review, please confirm the denial and the basis in writing. Otherwise, please advise the procedural steps for appraisal/arbitration under the policy.”

Helpful Hints

• Keep all communications in writing. Follow phone calls with an email or letter that summarizes what was said.
• Get independent cost estimates—auto repair shops, contractors, and medical providers can supply records that raise settlement value.
• Ask for a written explanation of how the insurer calculated the offer (line items and method).
• Check your policy for an appraisal clause (common in property claims). Appraisal can force a neutral valuation without suing.
• If you sign a limited release (for a portion of damages), make the release specific to the payment received and reserve other claims that are not covered by that payment.
• File a complaint with the Bureau of Insurance only after you’ve tried a written appeal with the insurer; the Bureau will often ask for copies of correspondence and the insurer’s response.
• Act before deadlines. If you are considering litigation, consult an attorney early to avoid missing the statute of limitations (see Va. Code § 8.01-243 and § 8.01-246).

Disclaimer: This article is for general information only and is not legal advice. It does not create an attorney-client relationship. For advice about a specific situation, consult a licensed Virginia attorney.