If you’ve been injured due to someone else’s negligence, you may be entitled to compensation through a personal injury settlement. Whether the injury occurred in a car crash, slip and fall, dog bite, or another incident, most cases are resolved through settlements rather than trials. But what actually happens after you agree to settle your claim?
Let’s break down the personal injury settlement process in Wisconsin, including how the funds are disbursed.
What Is a Personal Injury Settlement?
A settlement is a legal agreement in which the injured party (the plaintiff) accepts a specific amount of money from the at-fault party (usually through their insurance company), typically in exchange for closing the claim and releasing the at-fault party from further liability.
Most personal injury cases in Wisconsin are settled out of court. Settlements outside of court can often be faster, less expensive, and less emotionally draining than going to trial.
How Are Settlement Amounts Determined?
The amount of a personal injury settlement depends on several factors, including:
- Medical expenses (past and future)
- Lost wages
- Pain and suffering
- Emotional distress
- Loss of enjoyment of life
- Property damage (if applicable)
- Degree of fault (Wisconsin follows a modified comparative negligence rule—your compensation may be reduced if you are partially at fault)
An experienced personal injury attorney can help calculate a fair settlement value and negotiate with the insurance company on your behalf.
The Settlement Process
- Negotiation and Agreement
Once both parties agree on a settlement amount, and the corresponding terms of the settlement, the injured party signs a release of liability form. This document states that you are giving up your right to pursue any future legal action related to the injury in exchange for the agreed-upon amount. - Issuance of the Settlement Check
The insurance company typically issues a check made out to both you and your attorney (if you are represented). The check is sent to the law firm handling your case. - Negotiation with subrogated entities.
Your attorneys at Doar Drill and Skow will attempt to negotiate any outstanding liens other entities (such as your health insurance company) may have on your settlement by way of paying your bills while the case was pending.
How Is the Settlement Money Disbursed?
Once your attorney receives the settlement check, here’s how the funds are typically disbursed:
- Depositing and Processing
The check is deposited into the attorney’s trust account. It may take a few days to clear, especially for larger settlements. - Payment of Liens and Expenses
Before you receive your share, the attorney will pay any outstanding medical liens, health insurance reimbursements, or Medicare/Medicaid claims related to your treatment. These entities have legal rights to be reimbursed from your settlement. - Attorney’s Fees and Case Costs
Your attorney will deduct their contingency fee (often a percentage of the total settlement) and any case-related expenses they advanced, such as expert witness fees, court filing fees, or medical records. - Client Disbursement
After all deductions, the remaining funds are issued to you—usually in the form of a check. Your attorney will provide a settlement statement that outlines exactly where the money went.
How Long Does It Take to Receive Settlement Funds?
It generally takes 60-90 days to receive your final disbursement once an agreement is reached, depending on:
- How quickly the insurance company issues the check
- How long it takes to come to an agreement on release language
- How complex the liens or deductions are
Your attorney should keep you informed throughout this process and answer any questions you have.
Final Thoughts
Personal injury settlements can feel complex, especially when you’re already dealing with the stress of recovery. But with a knowledgeable Wisconsin personal injury attorney by your side, you can ensure your rights are protected and that the settlement process goes as smoothly as possible.
If you’ve been injured and are unsure of your next steps, don’t hesitate to reach out for a free consultation. You may be closer to recovery, both physically and financially, than you think.