If you’ve been injured in an accident in Louisiana, you may be entitled to compensation for your medical bills, lost wages, and other damages. However, the process of recovering compensation can be confusing.
Many injury victims wonder whether they should file an insurance claim vs. a lawsuit. While both options seek financial recovery, they follow different procedures and have distinct advantages. Understanding how personal injury claims and lawsuits work can help you determine the best course of action for your case.
What Is a Personal Injury Claim?
A personal injury claim is a formal request for compensation filed with an insurance company. Claims do not involve the court system and are typically resolved through negotiations between the victim (plaintiff) and the at-fault party’s insurer.
The claims process usually follows these steps:
- Filing the insurance claim – The victim notifies the at-fault party’s insurer of their injuries and losses.
- Investigation and evidence gathering – The insurance company reviews accident reports, medical records, and other evidence.
- Settlement negotiations – The insurer may offer a settlement based on their evaluation of the claim.
- Accepting or rejecting the offer – The victim can accept the offer and close the case or negotiate for a higher amount.
Most personal injury cases begin with an insurance claim. This is because settlements are quicker, cheaper, and easier than going to court.
Filing a claim may be the best option if the at-fault party’s liability is clear and the insurance company is willing to negotiate fairly. Claims are also preferable when injuries are not catastrophic, and damages are relatively straightforward to calculate.
When Does a Claim Become a Lawsuit?
A personal injury lawsuit is filed when an insurance company refuses to settle for a fair amount or denies the claim altogether. Unlike claims, lawsuits involve the court system and require formal legal proceedings.
Victims often turn to lawsuits when:
- The insurance company denies liability and refuses to pay.
- The settlement offer does not fully cover medical expenses, lost wages, and other damages.
- The victim’s injuries are severe, permanent, or disabling.
- The at-fault party’s actions were grossly negligent or intentional, making punitive damages possible.
While lawsuits can result in higher compensation, they also take longer to resolve and may require going to trial. Many lawsuits still settle before trial, but they involve more legal complexity than insurance claims.
How Does the Personal Injury Lawsuit Process Work?
If an insurance claim does not lead to a fair settlement, the next step is filing a personal injury lawsuit in civil court.
The legal process typically includes:
- Filing the complaint – A lawsuit is filed in court, detailing the facts of the case and the damages sought.
- Serving the defendant – The at-fault party is officially notified of the lawsuit.
- Discovery phase – Both sides exchange evidence, take depositions and interview witnesses.
- Pre-trial negotiations – Settlement discussions continue before trial. Many cases are resolved at this stage.
- Trial and verdict – If no settlement is reached, the case goes before a judge or jury for a final decision.
Lawsuits are necessary when insurance companies refuse to settle fairly, but they also come with risks. Trials can be unpredictable, and there is no guarantee of winning the case.
Louisiana’s Comparative Fault Rule in Claims and Lawsuits
Louisiana follows a pure comparative negligence rule. This law affects both claims and lawsuits by determining how damages are awarded when multiple parties share fault.
If the victim is partly at fault for the accident, the system will lower their compensation. The reduction will match their percentage of responsibility.
For example, if a jury awards $100,000 in damages but finds the victim 20% at fault, they will receive $80,000 instead. Louisiana is different from some states. It lets victims get some compensation, even if they are mostly at fault. However, their award will be reduced based on their level of fault.
Insurance companies often use comparative fault to lower payouts. This makes it important to have a lawyer who will fight for your full compensation.
How Long Do You Have to File a Claim or Lawsuit in Louisiana?
Louisiana law sets strict deadlines for filing injury claims and lawsuits. These deadlines are known as statutes of limitations and vary based on the type of case.
For personal injury cases, Victims must file a lawsuit within two years of the accident date under Louisiana law. Families of deceased victims have one year to file a wrongful death lawsuit.
If a lawsuit isn’t filed by the deadline, the victim can’t seek compensation. It doesn’t matter how strong their case may be. If you are unsure about your deadline, consult a personal injury lawyer as soon as possible.
Should You File a Claim or a Lawsuit?
Deciding to file a claim or lawsuit depends on a few key factors. First, consider how serious the injuries are. Then, think about whether the insurance company is open to negotiation. Finally, look at how complex the case is.
Filing a claim is typically the best option when:
- The at-fault party admits responsibility.
- The insurance company offers a fair settlement.
- The injuries are not permanent or disabling.
- The victim wants to resolve the case quickly without legal delays.
Filing a lawsuit may be necessary when:
- The insurance company denies the claim or blames the victim.
- The settlement offer is too low to cover medical expenses and losses.
- The injuries are catastrophic, resulting in lifelong consequences.
- The at-fault party acted recklessly or intentionally, making punitive damages possible.
Many cases start as insurance claims but escalate into lawsuits if negotiations fail. Talking to a personal injury lawyer early can help find the best way to get the most compensation.
Contact Our Baton Rouge Personal Injury Lawyers for Help With a Claim or Lawsuit
If you get injured in an accident, you may deserve significant compensation. At Mansfield Melancon Car Accident and Personal Injury Lawyers, our team has 50 years of combined experience helping Louisiana accident victims recover tens of millions in settlements and verdicts.
Whether you need help filing a claim or taking your case to court, we will fight for the best possible outcome. Our attorneys negotiate with insurance companies. If needed, they also represent clients in lawsuits. This way, clients get the full compensation they deserve.
Schedule a free consultation today at (225) 263-4787.
