After you reach a settlement in your personal injury case, you might expect your check immediately. But this final step can take longer than many people realize. A personal injury lawyer does not usually hand you the check the moment the insurance company agrees to pay. Instead, there are some rules and steps that must be followed before the money gets to you.
Waiting for your settlement can feel frustrating, but knowing why delays happen may help you feel less stressed. Your lawyer needs to pay bills, clear liens, and ensure all agreements are final. Only after these steps can you receive your share of the settlement.
Why Isn’t the Check Released Immediately?
Reaching a settlement is a major step in a personal injury case. This means that both sides agreed on how much money you should get. But agreeing on a number is not the same as having the money in your hand.
The insurance company first has to process the payment. After that, they will send the funds to your lawyer. Your lawyer will then place this money into a special trust account. This account is separate from the lawyer’s own funds and is used only for holding client money. Lastly, your lawyer must take care of any debts connected to your case before giving you what remains.
Paying Medical Bills and Liens
If you were injured, you likely received medical treatment. This care often comes with bills; some providers might have placed liens on your settlement. A medical lien is a type of legal claim to part of your settlement. It means certain people or groups, like hospitals or insurance providers, get paid before you do.
Your lawyer will work to pay off or lower these liens, which can reduce the amount owed and leave more money for you. This can be a big help, but it takes time.
Moreover, your lawyer has to talk with healthcare providers, insurance companies, and even government agencies in some cases to confirm how much money is owed and negotiate with these respective parties if possible. Only after these debts are settled can the lawyer release your part of the funds.
Clearing the Check
Before your lawyer can pay anyone, the settlement check itself needs to clear. Just like a personal check, it must be processed by the bank. This usually does not take very long but adds a few more days to the process.
Once the check clears, the lawyer can pay out the required amounts. First, they will take their agreed-upon fee. This fee was likely discussed at the start of your case. Next, they will pay any costs from your claim, such as court fees or expert witness charges. They will also pay the liens and other bills. Whatever remains is yours.
How Long Might the Delay Be?
There is no exact number of days or weeks that applies to every case. Many factors can affect how long it takes, including:
- How fast the insurance company issues the check
- How long the bank takes to clear the funds
- How many liens or medical bills need to be paid
- How easy or hard it is to confirm and negotiate these debts
In some cases, you might have your check within a few weeks after settlement. In other cases, it might take a couple of months. Your lawyer should keep you informed about each step and the reasons for any delays.
Steps Your Lawyer Must Take
To better understand the process, here is what your lawyer usually does once the settlement agreement is reached:
- Receive the Check: The insurance company sends the check to your lawyer’s office.
- Deposit It Into a Trust: The lawyer deposits the check into a trust account that follows strict rules.
- Wait for Clearance: Your lawyer waits until the bank confirms the funds are available.
- Resolve Liens and Bills: Your lawyer contacts anyone who has a legal claim to part of your settlement. They will confirm the amounts owed and try to reduce these bills if possible.
- Pay Expenses and Fees: After settling liens and bills, the lawyer will take their fee and pay any outstanding case costs.
Whatever is left is then given to you. Your lawyer may write you a check or arrange a direct transfer to your bank.
Can You Speed Things Up?
There may not be a way to rush the bank or the insurance company, but you can do a few things to help your lawyer. Share all the information about your medical bills and liens early on, and respond quickly when your lawyer needs details or documents. Clear and timely communication helps prevent unnecessary delays.
Knowing what to expect can help you feel more at ease. If you find yourself waiting for a while, remember that your lawyer is following the rules to protect you. They are ensuring that when you get your money, it’s yours, free of unpaid bills or legal claims.
What If You Think It’s Taking Too Long?
If you believe your lawyer is holding your check for no good reason, ask them for an update. They should explain what is happening and why. Sometimes, the delay is beyond their control — perhaps a medical provider is slow to respond, or the insurance company’s process is not yet complete.
Ethical rules require lawyers to handle client funds with care. They cannot keep your money without cause. If you still feel uncertain, consider getting a second opinion from another lawyer. But start by talking with your current lawyer. Clear communication can solve most misunderstandings.
Contact an Orlando Personal Injury Attorney for a Free Consultation
If you have questions about your settlement or the steps involved, consider speaking with an experienced Orlando personal injury attorney. A skilled personal injury lawyer can guide you through the process, explain any delays, and help you understand your rights.
For more information, contact our law firm at Payer Law Personal Injury Lawyers for a free consultation. This conversation can give you a clearer picture of what to expect and help you feel more confident while waiting for your settlement check. You can call us at (407) 648-1510.
