After reaching a settlement agreement in your personal injury case, you might wonder how long it will take to receive your personal injury settlement check. The process typically takes two to six weeks from the time you sign the settlement agreement.
Understanding the settlement check process can help ease concerns and set realistic expectations.
The Settlement Agreement Process
Both parties must sign the settlement agreement before you can get your settlement check. This document shows the payment terms, including the total amount and any conditions.
Key steps include:
- Your attorney will review the settlement agreement to make sure all terms are correct.
- They will then send the approved agreement to the defendant's insurance company for their signature.
- You’ll have to wait for the other party to sign the agreement.
This step usually takes one to two weeks, depending on how quickly both sides can review and sign the paperwork.
Release Document Requirements
After both parties sign the settlement agreement, you'll need to sign a release document. This legal document releases the defendant from further liability for negligence related to your accident and injuries.
The release document is separate from the settlement agreement. It serves as the final step before payment processing begins. Your attorney will explain the release language and make sure you understand what rights you're giving up.
Insurance Company Processing Time
Once the insurance company receives your signed release form, it will begin processing your settlement. This typically includes reviewing the paperwork, obtaining necessary approvals, and issuing your settlement check.
Different insurance companies have different processing times. Some companies process payments within a few days, while others may take two to three weeks.
Attorney Processing And Disbursement
When your attorney gets the settlement check, they won't immediately forward the full amount to you. North Carolina legal ethics rules require attorneys to deposit settlement funds into a trust account first.
Your attorney will check that the check amount matches the settlement agreement terms. They'll then deposit the funds and wait for the check to clear. This typically takes three to five business days.
During this time, your attorney will prepare the final accounting. This includes:
- Taking out attorney fees based on your fee agreement
- Paying any outstanding medical liens or bills
- Paying back case expenses, such as expert witness fees
- Calculating the net amount you'll get after all deductions
Once the settlement check clears, your attorney will prepare your disbursement check. They'll also provide a detailed accounting of how the funds were distributed.
Factors That Can Delay Payment
Several factors can extend the timeline for getting your settlement check. Understanding these delays helps you plan accordingly.
Common factors that cause delays include:
- Complex lien resolution involving outstanding medical bills or Medicare claims
- Disputes over attorney fees or expenses
- Settlement amounts requiring structured payments rather than lump sums
- Banking holidays and insurance company vacation schedules
Liens from Medicare, Medicaid, or the VA often require formal government approval before settlement funds can be released, adding several weeks to the payment timeline.
Receiving Your Final Payment
When your attorney is ready to disburse your settlement funds, they'll contact you to arrange payment delivery. Many attorneys offer multiple payment options.
Available payment options typically include:
- Direct deposit for fastest access to funds, often available within 24 hours
- Wire transfer for immediate access to large settlement amounts
- Physical check pickup from the attorney's office
Your attorney will provide a detailed settlement statement showing how the total settlement was distributed. Keep this document for tax purposes and your personal records.
Planning For Your Settlement Funds
Getting a significant settlement check requires careful financial planning. Before making major purchases, consider talking with a financial advisor.
You should keep the following things in mind:
- Tax implications, as money for physical injuries generally isn't taxable, but punitive damages may be
- Setting aside funds for future medical expenses related to your injuries
- Paying off outstanding debts to improve your financial position
- Establishing emergency savings or making conservative investments
Many settlement recipients benefit from developing a financial plan before making major decisions.
Contact a Fayetteville Personal Injury Lawyer at Riddle & Riddle Injury Lawyers for Legal Help
At Riddle & Riddle Injury Lawyers, we guide clients through every step of the settlement process—from negotiation through disbursement. If you need help navigating your personal injury claim, we are here to help. Contact us today to schedule a free consultation with one of our Fayetteville personal injury attorneys.
For more information, please contact Riddle & Riddle Injury Lawyers to schedule a free consultation with a personal injury lawyer in North Carolina today. We have twelve convenient locations in North Carolina, including Greenville, Raleigh, Goldsboro, Jacksonville, Kinston, Charlotte, Greensboro, Durham, Fayetteville, Wilmington, Winston-Salem & Garner.
Riddle & Riddle Injury Lawyers - Raleigh Office
4600 Marriott Dr STE 500, Raleigh, NC 27612
(919) 459-7855
Riddle & Riddle Injury Lawyers - Charlotte Office
1914 J N Pease Pl Suite 142, Charlotte, NC 28262
(704) 781-7980
Riddle & Riddle Injury Lawyers - Durham Office
100 E Parrish St STE 200, Durham, NC 27701
(919) 925-6039
Riddle & Riddle Injury Lawyers - Garner Office
500 Benson Rd Suite 111, Garner, NC 27529
(800) 525-7111
Riddle & Riddle Injury Lawyers - Greensboro Office
7B Corporate Center Ct Suite 15, Greensboro, NC 27408
(336) 395-5349
Riddle & Riddle Injury Lawyers - Greenville Office
300 E Arlington Blvd Suite 2A #110, Greenville, NC 27858
(252) 397-7400
Riddle & Riddle Injury Lawyers - Goldsboro Office
601 N Spence Ave, Goldsboro, NC 27534
(919) 759-6963
Riddle & Riddle Injury Lawyers - Jacksonville Office
3391 Henderson Dr, Jacksonville, NC 28546
(910) 910-1860
Riddle & Riddle Injury Lawyers - Kinston Office
807 N Queen St, Kinston, NC 28501
(252) 397-0134
Riddle & Riddle Injury Lawyers - Fayetteville Office
2517 Raeford Rd, Fayetteville, NC 28305
(910) 387-0861
Riddle & Riddle Injury Lawyers - Wilmington Office
1608 Queen St Suite 12, Wilmington, NC 28401
(910) 889-3926
Riddle & Riddle Injury Lawyers - Winston-Salem Office
102 W 3rd St, Ste 1007, Winston-Salem, NC 27101
(336) 396-6310