While legal representation offers clear advantages in many car accident claims, there are instances where independently handling the claim (commonly known as self-settlement) may be a more practical, cost-effective approach. If you were recently in a minor car accident, or a fender bender, you may be wondering about what your next steps should be and if hiring a lawyer is right for you.

Determining whether you should hire a lawyer is incredibly important, as lawyer fees may range between 30-40% of the settlement amount. Accordingly, you must always consider whether the value added by a personal injury lawyer’s expertise justifies their legal fee. Depending on the circumstances specific to your case, the consequences of not hiring a lawyer could mean that you walk away without compensation for your injuries.

Many minor car accident injury claims can be settled without a lawyer, but what determines if a car accident is minor? Are there specific circumstances that strongly indicate you should hire a lawyer? What are the considerations you should take when determining whether to proceed independently or seek legal advice? 

This article will answer the above questions and more, guiding you through the common processes involved in a personal injury claim and what may inherently complicate claims, and assist you in deciding whether or not you need the help of a lawyer to advance your settlement.

Understanding What Qualifies as a Minor Car Accident

A car accident may be classified as minor based on several observable factors. 

Collisions that occur at a low speed, such as those in parking lots, residential streets, or in stop-and-go traffic, are more likely to be considered minor. These low-speed collisions also typically involve minimal vehicle damage. Instances where this damage is cosmetic or superficial like dents and scratches commonly indicate a minor accident. Vice versa, structural or mechanical damage suggests a higher-speed collision, and therefore a more serious accident.

Another important characteristic of a minor car accident is a lack of injuries entirely or injuries that are short-term. If the only treatment required for all parties was first aid or a singular doctor visit, the accident is likely minor. Conversely, an accident that requires emergency medical attention such as ambulance transport or hospitalization is more likely serious, especially if any party is receiving ongoing treatment or specialist care.

Minor injuries are distinct from minor car accidents, though the former may occur because of the latter, or from an accident of higher severity. In Nova Scotia, section 11(1) of the Minor Injury Regulations governs how to determine whether an injury is considered “minor”. Only three injuries are considered within the scope of these regulations: sprains, strains, and whiplash. As long as one of these injuries does not result in “a serious impairment”, they are considered to be minor.  This is important because the Regulation limits the amount you can recover in general non-pecuniary damages.

In no way should injuries such as concussions, fractures, burns, amputations, scarring or disfigurement, or mental health diagnoses resulting from the accident be considered as minor.

It’s important to keep in mind that not all minor car accidents are minor in their consequences. Even if you feel confident that the accident you were involved in was minor, it is crucial to avoid making assumptions about the severity of your accident immediately afterward. Some seemingly minor accidents can be deceptive because of the delayed onset of symptoms or the long-term consequences that emerge over time. For example, a slight headache after an accident may be the initial presentation of a concussion, or a soft tissue injury could develop into chronic pain.

If you were involved in a car accident of any kind, it is highly recommended that you consult a medical professional as soon as possible, even if you have no apparent injuries.

Key Steps to Take Immediately After a Minor Car Accident

  1. Call 911 or emergency services immediately if you or anyone else at the scene of the accident needs urgent medical assistance.
  2. Request that the police attend the scene, especially if you are considering pursuing an injury claim at a later date.
  3. Do not admit fault for the accident, as this may not be the case in actuality and blame can be very difficult to divert later. Voluntarily assuming any liability is in breach of the mandatory conditions of your motor vehicle insurance policy and can result in loss of coverage under your policy.
  4. Collect detailed information from the accident, such as: the other driver’s personal, insurance and vehicle information, as well as an accident report number from the police and any observations you had about the conduct of the other driver.
  5. Avoid speaking with the other driver’s insurance company at the scene of the accident, this kind of direct communication should be limited to pre-planned conversations that you are well-prepared for.
  6. Consult with a personal injury lawyer to learn about your rights and options. At NOVA Injury Law, we offer a free phone or in-person meeting with a lawyer that will leave you more educated about your claim.

For a more in-depth look into the steps you should take directly after a car accident, please refer to our recently posted guide on the subject that can help you navigate complexities and remain composed in the aftermath of the incident.

Your Duties and Obligations Following a Car Accident

In Nova Scotia, drivers involved in a car accident of any severity are subject to specific legal duties under the Motor Vehicle Act and the Insurance Act. Following these obligations are extremely important, as failing to do so can affect your insurance claim, lead to legal consequences, or limit your ability to seek compensation.

In addition to the above key steps to take immediately after an accident, you are legally required to stop your vehicle at the scene of the accident and can be subject to criminal charges if you leave the scene, even for minor damage. 

If you are insured through an auto insurance policy, you have already agreed to abiding by the rules and regulations of your specific policy. There are major obligations triggered within the context of car accidents. You must inform your insurance provider about the accident as soon as possible, complete any necessary forms, and cooperate with your insurance company’s investigation. There may be strict timelines and deadlines that need to be abided by in order to secure accident benefits or coverage. 

When working towards self-settlement, many people will only consider legal action as a distant possibility, far off into the horizon. While it is possible that your claim may not require taking any legal action, you should ensure that you are still prepared for that outcome. This is because there is a relatively short window of time where you have the right to pursue legal action in advancing your personal injury claim. Crossing over this threshold of time may result in you walking away without any compensation.

Though there are exceptions that may shorten the limitation period to one year, in Nova Scotia, Newfoundland and Labrador, New Brunswick, and Prince Edward Island, the typical limitation period is two years. Generally, this means that once the two-year anniversary of the accident has passed, you are at risk of losing your right to make a claim for compensation. This is true even if you are still actively negotiating with the insurance company. 

The only way that you can protect your claim is to file a legal action with the court prior to the end of your specific limitation period. While there is no need to file with the court if you will settle your claim well before the end of your limitation period, it is important to leave yourself with plenty of time to do so. Especially if you are considering seeking out legal help.

While you may have felt comfortable with the idea of settling your claim without legal assistance, it is possible that you may be hesitant about filing documents with the court, or uncomfortable continuing with proceedings without a lawyer. If you are in doubt about your comfort level with drafting legal documents, be sure to contact a lawyer that specializes in personal injury sooner rather than later. Hiring a lawyer or seeking out legal advice also does not stop the limitation period from running out. We suggest that you contact a personal injury lawyer at least three months prior to when your claim is set to expire, as many lawyers will not be able to take on last-minute claims.

What are the Key Categories of Benefits and Coverage in Auto Insurance Policies?

  • Section A: Protects at-fault drivers from the financial liability owed to a person injured as a result of their negligence. If you are the one that was injured by the at-fault driver, this means that your claim for injury is processed through their insurance company, not your own.
  • Section B: Provides mandatory coverage for medical and rehabilitation benefits, death benefits and loss of income payments to any person that was involved in the incident, regardless of any determinations of blameworthiness for the accident. Your own insurer normally provides such benefits
  • Section C: Optional coverage that may have been purchased for an extra premium that shifts the payment of costs associated with fixing damages to your vehicle onto your insurance company.
  • Section D: In the event that you are involved with an accident where an uninsured or unidentified driver was at fault, you make a claim against your own insurance company even though they would otherwise not be responsible for compensating you for your injuries.

Before discussing options for proceeding with settlement, it is important to recognize that there is more to an injury claim than the actual injury itself. Your ability to ask for compensation may depend on who was determined to be at fault for the accident.

Being “at-fault” in a car accident means that you are legally and primarily responsible for causing the collision. There are certain benefits in your insurance policy that you are not entitled to claim if you are found to be at-fault. Fault is not all-or-nothing and can be shared between drivers. Knowing who was found legally responsible for the collision is essential and not always clear-cut.

Is Self-Settlement Right For Your Case?

Prior to deciding to attempt self-settlement, you must ensure that you are committed to taking control of your own claim. You may have an easier time handling your small injury claim if you are familiar with your own financial information and medical records and comfortable handling the negotiations with the insurance company.

Self-settlement can be a difficult and drawn-out process. Keep in mind that up until you have signed the final release, you can change your mind and hire a lawyer to assist you at any point in your claim.

At the core of a successful self-settlement is a claim where there is minimal debate on the details between the two opposing parties. Typically, this means your claim is more straightforward, with clear injuries, impact, and a predictable recovery. If your claim shares commonalities with those below, it may be an indicator of an excellent opportunity for a lawyerless settlement:

  • The physical damage to the vehicle (property damage) is minor.
  • You did not need immediate medical care.
  • You missed one week of work or less.
  • You needed less than a combined 21 treatments by physiotherapists, chiropractors, massage therapists, or other treatment providers combined for the resolution of your accident-related injuries.
  • Your treatment provider discharged you from their care and you agree with their assessment that no further treatment is needed for your accident-related injuries.

It is possible that your accident shares only a few of the points above, but differs in others. Depending on the significance of the discrepancies, these borderline claims may require special care or expertise in order to ensure that you are walking away with a fairly-valued settlement.

Prior to independently beginning the negotiation process for your claim, consider the following:

  • How much time do you have left to access Accident Benefits? Medical and Rehabilitation expenses are generally payable only for 4 years following a collision; loss of Income benefit time limits are more complicated to determine, and depend on you establishing substantial inability to perform the essential duties of your occupation (payable during the first 2 years following the collision) and thereafter, proof of your inability to engage in any occupation or employment you are reasonably suited by education, training or experience.  
  • Are you prepared and suitably knowledgeable to make the first offer?
  • Do you know the true value of your claim?

Even in seemingly simple cases, there are risks to settling a claim without legal advice. Be aware of the following cautions before choosing to self-settle:

  • You may underestimate future medical issues → With some injuries, symptoms do not manifest right away. If you accept a settlement too soon and accident-related medical complications arise afterwards, you may be left without any legal recourse.
  • You may miss hidden coverage that you are eligible for → Insurance policies are layered, complex, and often include difficult to understand language. A personal injury lawyer is experienced in reading these policies and can identify additional benefits that you may have been unaware of.
  • You forfeit legal rights once you settle your claim → Upon acceptance of a settlement and signing of the release form, you typically cannot reopen your claim. It is critical that you understand the rights you are giving up.

Need Help with your Self-Settlement?

If you are attempting to self-settle your injury claim, you don’t have to be in it alone. Sometimes, no matter how much effort you have put into the process, you hit a roadblock–commonly with the injury adjustor. Many people have taken considerable time to learn about the law, have gathered their documents, and clearly presented their view to the insurance company, only to be left at an impasse by an adjustor who refuses to make an offer within an acceptable range.

In cases such as these, we are able to provide cost-effective consulting services. We can meet with you to develop a strategy that can help flesh out your claim and provide you with a guide for how you should proceed with negotiations for your specific claim. As many firms offer a free consultation meeting, there is no downside to speaking with a lawyer early on in the process to help you decide whether you should attempt self-settlement.

If you’re interested in a self-settlement lawyer consultant, the legal team at NOVA Injury Law can provide the guidance you need. For more information, please contact info@novainjurylaw.com to arrange a free consultation meeting.

Circumstances That Heavily Indicate You Should Seek Legal Counsel

Just as there are case indicators which may suggest your claim is a good candidate for self-settlement, there are cases that are clearly non-minor claims that are best suited to be handled by a lawyer. Often these claims involve broken bones, scarring, hospital admissions, ongoing chronic pain or an inability to return to work. If your claim involves any of the above, it is a major indication that a personal injury lawyer should be at minimum sought out for a free consultation.

If you are in doubt, you are well advised to stray on the side of caution and reach out to legal representation for a free consultation. Below is a non-exhaustive list of situations where you will likely need legal counsel:

  • Injuries with long-term consequences → These injuries typically indicate a larger settlement amount, as well as significant impact to your daily life. Self-settlement can be an unnecessary additional stressor that can lead to negative repercussions if you make a mistake.
  • Disputes over fault → Sometimes, determinations of fault are not easily made out. If the other driver does not agree they were at-fault, if the police report is unclear or unfavourable, or if an insurance company is attempting to shift partial or full blame onto you, it is essential to obtain legal representation to thoroughly defend your position.
  • Insurance company pushback → The insurance adjustor responsible for your claim may be pressuring you to settle quickly or accept a low offer. This could be a sign that your claim is being undervalued. If you’ve reached a roadblock with settlement negotiations, obtaining a lawyer may provide the extra push needed to get the adjustor to accept a fair offer.
  • Complex accident circumstances → If you are dealing with multiple parties such as multiple other drivers or commercial vehicles, pedestrians, cyclists, or government vehicles, having an experienced lawyer can help mitigate these complexities.
  • Denied or delayed claims → If your claim was denied or its processing has been unreasonably delayed, a lawyer can escalate the issue and compel the other party to reach a timely resolution.
  • Upcoming expiry of your limitation period → As explained earlier, only filing a document with the court can freeze the clock on your limitation period. If this is something that you are not comfortable with doing independently, be sure to contact a lawyer immediately.

What are the Benefits of Hiring a Lawyer for Your Car Accident Claim?

  • Maximizing compensation → Lawyers understand how to calculate the full scope of damages, both economic and non-economic. An experienced personal injury lawyer can increase the value of a settlement that more than covers the legal fees associated with the process.
  • Objective guidance during stressful times → After an accident, you may be in pain, stressed, or otherwise emotionally overwhelmed. Having legal representation provides you with a more balanced perspective. A lawyer can offer clarity, focus, and direction, so that you do not make rushed or uninformed decisions.
  • Proper management of evidence → There can be an extensive amount of paperwork associated with making an injury claim, such as medical records, accident reports, witness statements, and expert opinions. Having a lawyer ensures that you do not need to worry about missing or forgetting to obtain important documentation.
  • Expertise in local laws → Each Atlantic province has nuanced differences in caps, benefits, and procedural requirements. When self-settling or self-representing, it can sometimes be confusing or difficult to ensure you are following the correct procedures and regulations. A local personal injury lawyer will ensure your claim is tailored accordingly.
  • Representation in negotiations and litigation → Whether your case involves dealing with adjusters, other legal teams, or appearing in court, your lawyer advocates on your behalf. Lawyers are experienced and trained in negotiation and trial litigation, ensuring that your rights are protected and your voice is heard.
  • No upfront legal fees → Many personal injury lawyers in the Atlantic region work on a contingency fee basis, meaning that you only need to pay legal fees if your case is successful.

If I Want to Proceed Without a Lawyer For Now, What Else Should I Know?

Keep these best practices in mind if you decide to settle your claim independently:

  • Document everything → Take clear photos of the vehicle damage, injuries, and the accident scene. Save all receipts for repairs, medical expenses, and related costs.
  • Get a medical evaluation → Even if injuries seem minor, it’s in your own best interest–and the best interest of your claim–to get checked out by a medical professional. This creates a record that can act as an evidentiary paper trail if symptoms develop or worsen later.
  • Know your coverage → Review your insurance policy and ensure that you understand any and all applicable sections. This will help put you in the best place for negotiating and prevent you from missing out on any additional benefits that you may be entitled to.
  • Do not accept the first offer without review → Be cautious if an adjustor is pressuring you to settle quickly, especially over the phone. You can always request a written offer and take time to assess it.
  • Consider a free legal consultation → Even if you do not intend to hire a lawyer, you can make use of a free consultation to get a brief review of your case to verify that nothing critical has been overlooked.

If you have been injured in a car accident and wish to read a comprehensive guide that explains all of the essential information relevant to your situation, including explanations, preparing your application, tips for a successful claim, sample documents, and so much more, we have an excellent recommendation. 

Jeff T. Mitchell, Principal Lawyer and Founder of NOVA Injury Law, has published The Must-Read Guide to Nova Scotia Car Accident Claims which provides a roadmap to car accident claim success. This incredibly helpful resource can be downloaded for free, and is useful to any person that has been involved in a car accident, not only those that wish to handle the process on their own.