Should You Accept a Settlement Soon After a Fatal Car Accident?

A recent ProPublica investigation involving Pittsburgh Pirates player Oneil Cruz raises an important issue for families dealing with the aftermath of a fatal motor vehicle accident: how soon is too soon to settle a claim?

According to ProPublica, Cruz was involved in a September 2020 crash in the Dominican Republic in which the vehicle he was driving struck a motorcycle, killing three young people. ProPublica reports that representatives of Cruz’s family subsequently negotiated payments to the victims’ families in exchange for documents withdrawing criminal and civil claims.

The circumstances reported by ProPublica arose under Dominican law, which differs substantially from the laws of Pennsylvania and West Virginia. The article nevertheless illustrates an important concern that arises in serious accident cases everywhere.

A family should be very careful about signing a release or accepting a settlement before the accident has been fully investigated.

The Days After a Fatal Accident Are Not the Time to Rush a Settlement

The death of a family member leaves families dealing with grief, funeral arrangements, financial concerns and questions about what happened. At the same time, an insurance company or representative of another party may begin asking questions or discussing payment.

There is nothing inherently improper about an insurance company attempting to resolve a claim. The problem is that the family may not yet have enough information to determine what the claim is worth—or even know all of the claims and insurance coverage that may be available.

Once a valid release is signed, it may be difficult or impossible to reopen the claim simply because additional evidence or insurance coverage is discovered later.

What Should Be Investigated Before a Wrongful Death Claim Is Settled?

Before resolving a serious injury or wrongful death case, an attorney should determine how the accident happened and identify all potentially responsible parties.

Depending upon the circumstances, that investigation may include police reports, witness statements, photographs and video, vehicle data, cell phone records, toxicology evidence, accident reconstruction, employment records and other evidence.

Insurance coverage also needs to be investigated. The policy covering the vehicle involved in the accident may not be the only source of recovery. Commercial policies, umbrella or excess coverage, underinsured motorist coverage and policies covering other responsible parties may also apply.

The damages resulting from a death also extend beyond the immediate funeral expenses. The nature of the recoverable damages depends upon the law of the state where the claim arises, but a proper evaluation may require consideration of lost income, services provided to the family, medical and funeral expenses, and the losses suffered as a result of the person’s death.

Those questions generally cannot be answered in the first days following an accident.

Understand Exactly What You Are Signing

The ProPublica investigation also demonstrates why families should understand every document they are asked to sign.

A settlement agreement or release is a legal document. Families should know who is being released, which claims are being released, how much is being paid, whether additional insurance coverage exists, and whether signing the document could affect other claims.

A person who has just lost a spouse, child or parent should not feel pressured to make those decisions immediately.

Get the Facts Before Giving Up Your Rights

Every accident is different, and an early settlement is not necessarily a bad settlement. There are cases in which liability, insurance coverage and damages can be determined relatively quickly.

But speed should never substitute for investigation.

Before a family permanently gives up a wrongful death or serious injury claim, it should understand what happened, who may be legally responsible, what insurance coverage is available and what rights are being released.

The time to answer those questions is before the release is signed—not afterward.