When a child is injured in a car accident, you may wonder what a fair settlement might look like.
The average settlement in Texas is around $25,000. However, settlement values depend on various factors, such as the severity of injuries and future impacts.
What’s more, the settlement process for minors involves some extra steps that can further complicate your claim.
Not to worry!
We’ll get you up to speed on the settlement value for car accidents, the factors that affect it, the legal process, and the steps to follow to get an ideal settlement.
However, while we can prepare you for the general procedures, every case is different. If you want to discuss your unique child injury case with an experienced Texas personal injury attorney, you can contact No Bull Law for a free case consultation.
In a car accident settlement, insurance adjusters calculate the settlement value the same way for adults and children. A child injury settlement isn’t inherently worth more.
The average settlement for a car accident claim in Texas is around $25,000, provided cases have legal representation. According to an Insurance Research Council study, cases settle for 3-3.5x more on average when a lawyer handles the process.
It’s important to remember that every car accident case is unique, and the average settlement amount isn’t always a good indicator of what your case is worth.
Some key factors may increase or decrease the value of a child injury claim. Let’s explore them.
When assessing the true value of your child’s personal injury claim, the following six factors have the greatest impact:
1. Types of Damages
Texas car accident settlements are made up of three types of damages:
Economic Damages:
Economic damages are costs with built-in financial value. In cases involving children, these damages are more likely to affect the parents than the child directly.
Parents often face immediate expenses like medical bills and legal costs, which the settlement can address. Additionally, if a parent has to take time off work or leave their job to care for their child’s injury, they may be compensated for lost wages in the child’s settlement.
If the parent’s property was damaged in the accident, they must file their own property damage claim, but if the child owns the damaged property, it can be included in the child’s settlement.
While children may not experience direct economic damages at the time of the accident, the financial impact can extend into their future. For example, a severe or catastrophic injury might limit their career opportunities or earning potential as adults, leading to a claim for future lost wages.
Non-economic Damages:
Children can be compensated for emotional distress, trauma, pain and suffering, and loss of quality of life – factors that don’t have a dollar value but are assigned one based on severity.
Punitive Damages:
If the at-fault party broke any laws when they caused the accident (for example, drunk driving accidents, excessive speeding, etc.), you may be entitled to additional punitive damages if your car accident case goes to court.
2. Injury Severity
A severe or catastrophic injury presents long-term considerations for treatment, future earning capacity, and quality of life. They’re also more costly to treat. These generally result in higher settlements than minor injuries.
However, injuries to a child’s still-developing body can have serious impacts on their future. Even minor or moderate injuries can have a greater influence on the settlement amount than they would in an adult’s case.
In the unfortunate event that a child passes away in a car accident, you may bring forward a wrongful death suit. These tend to settle for the highest amounts relative to injury severity. Juries also tend to award higher compensation in wrongful death cases involving children compared to adults.
3. Legal Representation
As we mentioned earlier, cases settle for 3-3.5x more on average if handled by an attorney.
Children’s cases can be complex and high-stakes. If you don’t have legal support, you might make mistakes or miss deadlines that jeopardize your injury claim.
Your personal injury lawyer will guide you through every step to ensure a better final result. We’ll discuss how exactly they help in an upcoming section.
4. Insurance Limits
Texas law mandates drivers to have car insurance consisting of a minimum of $25,000 for property damage, $30,000 per person, and $60,000 per accident.
Insurance companies are only required to pay out within the limits of the at-fault party’s policies.
For example, if the at-fault driver had the minimum insurance coverage, you could not recover more than $30,000 for your child regardless of your damages.
Your lawyer can help you find alternative routes to cover your damages if insurance limits stand in the way.
5. Liability and Negligence
Texas uses a comparative negligence rule. Insurance adjusters or juries can assign each party a percentage of liability for their role in an accident and reduce their settlement accordingly.
This can raise complications for your personal injury claim, such as if multiple or no drivers are found at fault for the crash. You or your child might even be found partially at fault. A lawyer can help you unpick these complexities.
On the other hand, if the at-fault driver was highly negligent or malicious for the rights or safety of the plaintiff, your settlement can be much higher.
6. Seatbelts and Car Seats
Adults with minor passengers (17 years old and under) are responsible for ensuring that all passengers wear a seatbelt or sit in a car chair as appropriate for their age.
The settlement can be higher if your child was a passenger in a car accident where the driver failed to ensure the correct use of seatbelts and car seats.
While factors like these shape a personal injury settlement, securing that settlement has its own stipulations when children are involved. Let’s explore the unique legal process for cases like these.
The legal process for a child’s car accident settlement is uniquely designed with added protections to prioritize the child’s best interests. Here are the most important differences to know about:
- Children Cannot File Insurance Claims or Lawsuits Independently: Adults can file claims and lawsuits in their own name. However, most children need an adult (parent or guardian) to act on their behalf. The rare exception is emancipated children.
- The Statute of Limitations for Lawsuits can Be Extended: Adults generally have two years from the accident date to file a personal injury lawsuit. However, if a child wants to file a lawsuit in their own name, the court can pause the statute of limitations until they turn 18. They then have two years from their birth date to file.
- The Court Must Approve Settlements Involving Children: Texas law requires you to attend a minor settlement hearing with a judge and guardian ad litem to approve any settlements, ensuring they’re in the child’s best interest.
- The Factors Affecting the Settlement Are Often Different: Some damages that apply to adults can be higher or lower for children, and some don’t apply at all.
- You Are Not Entitled to the Full Settlement Amount As the Parent: The settlement can compensate you for financial damages, but the court holds the rest of the funds for the child when they turn 18. We’ll cover payouts and fund distribution below.
- Settlements Can Be More Complex Overall: Many complications can arise in children’s cases. You or your child could be blamed for the accident. You may need to prove the potential impacts of the accident on your child’s future health. You’ll need to appear in court even if you settle through insurance. Therefore, it’s crucial to hire an attorney who understands the possible intricacies of children’s personal injury cases.
Seems pretty daunting, right?
To make it easier, let’s break down your approach into manageable steps so that you can get the best possible result for your child.
Having a clear plan makes all the difference in navigating the settlement process. Here are nine actionable steps to ensure your child is properly compensated.
- Go to the Scene if Possible: Document anything that may be useful for your injury claim. This can include photos, videos, voice recordings, contact details of witnesses or anyone involved, police names and badge numbers, etc.
- Seek Medical Care: Always take your child for medical care, even if they seem uninjured or minorly injured. Some medical concerns are not easy to see at a glance or may worsen over time.
Be sure to follow all medical advice to a tee, as insurance adjusters may look for any way to undermine your claim. For example, if you delay medical treatment or fail to follow prescribed care, they could argue that the injury was not severe or unrelated to the accident.
- Contact an Experienced Personal Injury Lawyer: It’s best to do this early, as things can get complicated. Remember, most personal injury lawyers only take a percentage of the final settlement, so you don’t have to worry about paying upfront. A lawyer can help you get the best result for your child’s case.
- Document their Injuries: Take photos of the injuries right away and as they heal. Keep any documentation regarding medical treatments and expenses for your injured child.
- Get a Copy of the Police Report: Report the incident to the police or get a copy of the police report if they were dispatched to the accident scene.
- Make a Claim with the At-fault Party’s Insurance Company: Texas is an at-fault state, meaning whoever was responsible for the accident is liable to cover the victim’s damages. Your lawyer can help you file a claim in the required timeframe with plenty of supporting evidence.
- Work with a Lawyer to Negotiate a Fair Settlement: Insurance companies have a financial incentive to undervalue your claim and often make lowball offers. Your lawyer wants the best possible outcome and can evaluate settlement offers to assess when to push for more and when to settle.
- Proceed with the Minor Settlement Hearing: Settlements in child injury cases have to be approved by a judge to ensure they serve the child’s best interest. The court will assign a guardian ad litem as an objective assessor of the settlement amount and the plan for distribution of funds. You’ll then appear in court to finalize the agreement.
- Take the Case to Court if Necessary: If you can’t reach a fair settlement through insurance, you can file a personal injury lawsuit against the at-fault party. Your lawyer, who should be very familiar with your case, can represent you in court to fight for maximum compensation.
Let’s take a closer look at what happens once a case settles and the funds are ready to be released.
When a minor receives a personal injury settlement, certain funds can be paid out to the parent for things like medical liens and legal expenses. The judge, guardian ad litem, and your personal injury attorney will explain how the settlement proceeds should be divided.
The remainder of the funds (such as non-economic damages) must be placed in a trust or annuity to be given to the child when they turn 18. Either way, funds can be paid as a lump sum or structured settlement.
What’s the difference between a trust and an annuity?
If you choose a trust, the money is held in the court’s registry and gains interest at standard bank rates. Upon turning 18, the child gains full control of the funds and can use them however they choose.
Alternatively, you can use the settlement proceeds to purchase an annuity from a court-authorized insurance company. This allows your child to receive a structured settlement of regular payouts over time. The agreement terms are legally binding, and your child typically can’t alter the agreement after turning 18.
Sound complicated?
Your car accident lawyer can simplify it for you. Let’s see what other benefits you get when you hire a personal injury law firm.
Taking shortcuts is not an option when it comes to your child’s well-being after a car accident. Hiring a skilled car accident lawyer ensures you’re fully prepared to protect them.
Here’s how they assist you during the settlement process:
- Compiling Evidence: A lawyer can gather critical evidence, including medical records, accident reports, and witness statements, to build a strong child personal injury case.
- Communicating with the Insurance Company: They handle all interactions with the insurance company, ensuring you stick to the required timelines and allowing you to focus on your family.
- Assessing and Negotiating Settlement Offers: A lawyer evaluates settlement offers with an expert eye to determine if they are fair and negotiates for maximum compensation.
- Helping you Navigate Minor Settlement Hearings: They guide you through court-mandated minor settlement hearings, ensuring the process goes smoothly and the outcome benefits your child.
- Explaining Your Options for Compensation: A lawyer can clarify additional compensation options, such as suing the at-fault party or identifying other liable parties, to help you recover the full amount your child deserves.
- Representing You and Your Child in Court: If your child injury claim goes to trial, they advocate for your child to secure the best possible outcome.
When it comes to a child personal injury case, having the right legal team by your side can make all the difference in securing your child’s future.
That’s why you need a Texas personal injury law firm like No Bull Law that will fight tirelessly for justice and that has expertise in cases like yours.
At No Bull Law, we understand that, as a parent, nothing is more important than your child’s well-being and future.
That’s why we fight relentlessly to secure the justice and compensation your family deserves after an auto accident, providing personalized care, straightforward guidance, and unwavering protection every step of the way.
Here’s how it works:
- Schedule a free, no-risk consultation and get honest, straightforward feedback.
- Our dedicated team will immediately begin investigating your car accident claim with attention to every detail.
- If we take your personal injury case, we’ll grab the bull by the horns and fight for justice for your child.
And the best part? You don’t pay unless we win!
Now, let’s tie up some loose ends and resolve some queries you may still have.
4 FAQs About Child Car Accident Settlements
Navigating the complexities of a child’s car accident settlement often raises important questions, from understanding legal roles to managing settlement funds. Below, we’ll address common concerns to help you make informed decisions for your child.
1. Can You Access Your Child’s Trust Fund Before They’re 18?
The purpose of the trust fund or annuity is to protect your child’s money from misuse. Parents can’t use the money for anything that is their responsibility to provide for their child.
However, if you make an appeal to the judge, they may approve funds to be released early for something that will benefit your child – e.g., a school trip that pertains to their education and future plans, which you could otherwise not afford.
2. Can You Invest Your Child’s Trust Money?
Yes, you can work with the court and a lawyer to place the trust fund money in secure investments so that it grows at a faster rate.
A guardian ad litem, or attorney ad litem, is appointed by the court to oversee cases involving minors. Their purpose is to ensure that the child’s best interests are upheld.
The ad litem will objectively assess your case before the minor settlement hearing. At the hearing, they may support your claim or argue for it to be adjusted. They also assess your plans for distributing and paying out settlement funds.
Your personal injury lawyer cannot be your ad litem. The ad litem must be objective, and your personal injury attorney has a conflict of interest that prevents them from taking up the role.
Yes, this is possible.
Teens as young as 15 can start driving with a learner's permit. At 16, they can drive unsupervised with a provisional license. If they cause an accident, fault is determined just like it is for adults under Texas’s comparative negligence laws.
Parents may also be held responsible if they explicitly and irresponsibly give their child permission to drive — E.g., if the child doesn’t have a license or has exhibited reckless behavior in the past.
Even a younger child could cause a pedestrian accident or bicycle accident by crossing a road without looking for cars, for example. In such cases, parents might be liable if a lack of supervision contributed to the accident.
If you’re worried about legal consequences, contact a lawyer for guidance.
Protecting What Matters Most After a Texas Car Accident
Car accidents can have long-term impacts on children’s lives, physical health, and mental well-being. These cases require careful attention to protect your child’s future and ensure they receive the full compensation they deserve.
A skilled lawyer is essential to navigate the complexities, advocate for your family, and secure the best possible outcome.
At No Bull Law, we provide compassionate, straightforward representation.
With our free personal injury case consultations, you can get honest, risk-free advice tailored to your needs. Contact us today, and let us fight for justice for your child.
