What to do if I have a claim with my insurance company for an auto accident (uninsured motorist) but it is low-balling my total settlement?

Started with only $10K, I’m asking for $49K. Today they came back with $32K.Still lower than I asked. I understand in my state that it is unlawful for my insurance company to require me to sign a waiver in order to cash this $32K check. Is this true? And, if yes, can I cash the check and then sue them for breach of contract and bad faith in their handling of this claim?

Asked on December 8, 2015 under Accident Law, California


SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 5 years ago | Contributor

No, you cannot cash the check and still sue them: cashing the check, when it is offered in settlement of the claim, constitutes acceptance of the settlement. You can take the money or you can sue them for the full amount you believe you are owed--you can't do both.

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