Do I have to sign a release before the insurance company can issue payment?
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Do I have to sign a release before the insurance company can issue payment?
My car was backed into a month ago by a corp. I have $1,500 in rental care expenses and my car has been fixed a week and has not received payment. The insurance company wants me to sign a release for an amount that is less than what the car damage is due to a supplemental claim, and did not say anything about my rental car expense. I don’t want to sign the release until my car is paid for and my rental car expenses are paid. They told me to write something on that agreement. I’m scared to change it. i would rather not sign anything until the damage is paid for.
Asked on October 5, 2011 under Accident Law, California
Answers:
S.L,. Member, California Bar / FreeAdvice Contributing Attorney
Answered 13 years ago | Contributor
You will need to sign a release in order to receive the settlement check for the property damage to to your car. You should not sign the release until the settlement includes reimbursement for the rental car expense and until you and the insurance company agree on the amount you are to receive for the cost of repairs to your car. What is the supplemental claim that the insurance is claiming to offset the total cost of repairs to your car?
If you don't agree with the settlement terms, don't sign the release. If the property damage is not settled, you can reject the settlement and sue the other driver for negligence. You will need to file your lawsuit for negligence prior to the expiration of the applicable statute of limitations or you will lose your rights forever in the matter. If the property damage is settled with the insurance company, NO lawsuit is filed.
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