How Long Does a Car Accident Settlement Take?

After a car accident in Chicago, you may be facing medical bills, lost wages, and vehicle repairs while waiting for an insurance settlement. One of the most common questions people ask is, “How long will my settlement take?” 

Unfortunately, there is no one-size-fits-all answer, as the timeline depends on several factors, including the severity of injuries, the insurance company’s willingness to negotiate, and whether liability is disputed.

Understanding the settlement process, key factors that affect timing, and what you can do to speed up the process can help you manage expectations and make informed decisions about your case.

Typical Timeline for a Car Accident Settlement in Chicago

Every car accident case is unique, but in general, settlements follow a similar timeline:

• Immediately After the Accident: Seek medical treatment, report the accident, and begin gathering evidence.
• Within a Few Weeks: File an insurance claim and notify the at-fault driver’s insurer.
• 1 to 3 Months: The insurance company reviews the claim and may offer a settlement.
• 3 to 6 Months: If negotiations take time, settlement discussions continue.
• 6 Months to 1 Year or More: If the insurance company refuses to offer fair compensation, legal action may be necessary, extending the process.

While some minor accidents with clear liability settle within a few months, more complex cases involving serious injuries or disputed claims can take over a year to resolve.

Factors That Affect the Length of a Car Accident Settlement

Several key factors influence how long it takes to settle a car accident claim in Chicago.

Severity of Injuries and Length of Medical Treatment

If you suffered serious injuries, the settlement process may take longer because:

• You should reach maximum medical improvement (MMI) before settling. This ensures all medical costs, ongoing treatments, and rehabilitation expenses are accounted for.
• More severe injuries often involve higher compensation demands, which insurance companies may resist.

For example, if you suffered a traumatic brain injury or spinal cord damage, you may need months or even years of treatment, making it crucial to wait until your future medical expenses are clear before accepting a settlement.

Liability Disputes

If the at-fault driver’s insurance company disputes who was responsible for the accident, expect delays. Common reasons for disputes include:

• The insurance company argues that you were partially or fully at fault.
• The at-fault driver gives a different version of events than you.
• There is conflicting evidence, such as unclear witness statements or lack of video footage.

Resolving liability disputes often requires additional investigations, expert testimony, or accident reconstruction reports, all of which can extend the timeline.

Insurance Company Tactics

Insurance companies often intentionally delay claims to pressure victims into accepting low settlements. They may:

• Take weeks or months to process paperwork.
• Request unnecessary documents to stall the claim.
• Make lowball settlement offers, hoping victims will accept out of financial desperation.

If an insurance company is unreasonably delaying your claim, your attorney can demand a timely response and escalate the case if necessary.

Whether the Case Goes to Court

Most car accident claims settle outside of court, but if the insurance company refuses to offer fair compensation, you may need to file a lawsuit.

• Filing a lawsuit does not mean the case will go to trial, but it can extend the process by several months or even years.
• Insurance companies sometimes speed up settlement offers once a lawsuit is filed, hoping to avoid court costs.

If negotiations stall, your lawyer may recommend taking the case to trial, which can further extend the timeline.

What You Can Do to Speed Up the Settlement Process

While some factors are out of your control, there are steps you can take to help your case move faster.

Seek Medical Treatment Immediately

Delaying medical care can slow down your claim because:

• Insurance companies may argue that your injuries were not serious if you didn’t seek treatment right away.
• You need medical records to document the extent of your injuries.

Seeing a doctor promptly ensures your injuries are properly documented, which strengthens your case.

Gather Evidence Early

The sooner you collect evidence, the easier it is to prove your claim. Helpful evidence includes:

• Police reports detailing the accident.
• Photos and videos of the crash scene, vehicle damage, and visible injuries.
• Witness statements to support your version of events.
• Medical records and bills showing the financial impact of your injuries.

Providing strong evidence up front can help speed up the insurance company’s review process.

Hire an Experienced Car Accident Lawyer

A lawyer can help prevent unnecessary delays by:

• Handling communications with insurance adjusters.
• Negotiating aggressively to avoid drawn-out settlement discussions.
• Filing a lawsuit if the insurance company refuses to negotiate fairly.

Legal representation ensures that insurance companies take your claim seriously and do not stall the process.

How Long Does It Take to Receive Settlement Money?

Once a settlement agreement is reached, it typically takes two to six weeks to receive payment. However, this timeline can be delayed if:

• There are disputes over medical liens (outstanding medical bills that must be paid from the settlement).
• The insurance company delays issuing the check.
• Additional paperwork needs to be signed and processed.

An attorney can help ensure you receive your payment as quickly as possible after reaching a settlement.

What If Your Case Takes Too Long? Can You Still File a Lawsuit?

In Illinois, the statute of limitations for car accident claims is two years from the date of the accident. If your case is taking too long due to insurance delays, it is crucial to:

• File a lawsuit before the two-year deadline to preserve your right to compensation.
• Work with an attorney to ensure all legal deadlines are met.

If you wait too long, you may lose your ability to recover any compensation.

Is It Worth Waiting for a Higher Settlement Offer?

Many accident victims feel pressured to settle quickly, especially if they are struggling financially. However, accepting a low settlement too soon could mean missing out on compensation for future medical costs, lost wages, and long-term suffering.

It’s often worth waiting for a fair settlement that fully accounts for your damages, rather than rushing into a quick but inadequate payout.

What Illinois Laws Affect Car Accident Settlement Timelines?

Illinois follows fault-based insurance laws, meaning the at-fault driver’s insurance is responsible for paying damages. However, several state laws can impact how long a car accident settlement takes:

• 735 ILCS 5/13-202 – The statute of limitations gives you two years to file a personal injury lawsuit. If you wait too long, your case may be dismissed.
• 735 ILCS 5/13-205 – If you’re only seeking compensation for property damage, you have five years to file a claim.
• Illinois Comparative Negligence Law (735 ILCS 5/2-1116) – If you are partially at fault, your settlement may be reduced. If you are more than 50% responsible, you cannot recover damages at all.

Understanding how these laws apply to your case can help you anticipate possible delays in settlement negotiations.

How Does Comparative Negligence Affect the Settlement Process?

Illinois follows a modified comparative negligence rule, meaning the amount of compensation you receive depends on how much fault you share for the accident.

• If you are found less than 50% at fault, your compensation will be reduced based on your percentage of responsibility.
• If you are found 50% or more at fault, you cannot recover compensation.

For example, if you were awarded $100,000 but were found 20% at fault, your final settlement would be $80,000.

If the insurance company tries to argue that you share fault, this can extend negotiations as lawyers and adjusters dispute liability. A skilled attorney can push back against unfair blame-shifting tactics to protect your settlement amount.

How Do Illinois Bad Faith Insurance Laws Impact Settlement Delays?

Under Illinois law, insurance companies must handle claims fairly and cannot delay payments without reason. However, insurers often use tactics to stall the process and pressure victims into low settlements.

Common bad faith insurance practices include:

• Unreasonably delaying claim processing with unnecessary paperwork.
• Denying valid claims without explanation.
• Failing to communicate with the injured party.
• Offering a settlement that is far below what is owed.

If an insurance company acts in bad faith, you may have grounds to file a lawsuit against them under Illinois law (215 ILCS 5/155). This law allows victims to recover penalties and attorney fees if an insurer unreasonably delays or denies payment.

If you believe the insurance company is deliberately stalling your settlement, a lawyer can escalate the case and take legal action if necessary.

What Role Do Illinois Mediation and Arbitration Laws Play in Settlements?

If a car accident claim is taking too long to settle, Illinois law allows for alternative dispute resolution (ADR) methods, such as mediation and arbitration, to speed up the process.

• Mediation (710 ILCS 20/1) – A neutral third-party mediator helps both sides reach a voluntary agreement. This can significantly shorten the settlement timeline.
• Arbitration (710 ILCS 5/1) – In some cases, Illinois courts require binding arbitration, meaning a neutral arbitrator makes the final decision, which can prevent drawn-out court battles.

Many car insurance policies require arbitration clauses, meaning accident victims must go through arbitration before filing a lawsuit. If your case involves arbitration or mediation, an attorney can ensure that the process is handled correctly and that your rights are protected.

How Does a Wrongful Death Claim Affect Settlement Timelines?

If a car accident results in a fatality, the victim’s family may file a wrongful death claim under Illinois’ Wrongful Death Act (740 ILCS 180/1). These cases often take longer because:

• The estate must go through probate court, which adds legal steps.
• Families must prove the financial and emotional impact of the loss.
• Insurance companies typically dispute high-value claims, making negotiations more complex.

The statute of limitations for wrongful death lawsuits is two years from the date of death, but delays can occur if probate issues arise or if multiple family members are involved in the claim.

How Does Subrogation Affect Car Accident Settlements?

Under Illinois subrogation laws, if your insurance company pays for your medical bills or vehicle repairs after a crash, they have the legal right to seek reimbursement from the at-fault driver’s insurer.

• Your health insurance provider may file a subrogation claim to recover medical expenses.
• Your auto insurer may seek repayment for repair costs if they covered vehicle damage.

These claims can delay your final settlement, as subrogation liens must be resolved before you receive full compensation. An attorney can negotiate with insurance providers to ensure that subrogation doesn’t eat up your settlement unfairly.

Does the Illinois “Dram Shop Law” Affect Settlement Time in DUI Accidents?

If the at-fault driver was drunk at the time of the accident, Illinois’ Dram Shop Law (235 ILCS 5/6-21) may allow victims to seek compensation from the bar, restaurant, or liquor store that overserved them.

While this law expands your options for recovering damages, it can also extend the settlement timeline because:

• The case requires evidence that the business knowingly overserved the driver.
• Insurance companies for bars or restaurants may fight liability aggressively.
• Multiple defendants may be involved, complicating negotiations.

If you were injured in a DUI-related crash, working with an attorney ensures that all liable parties are held accountable without unnecessary delays.

What If the At-Fault Driver Is an Out-of-State Resident?

If the driver who caused your accident lives in another state, your claim may take longer because:

• The at-fault driver’s insurance company may have different policies than Illinois insurers.
• If a lawsuit is necessary, jurisdictional issues may arise.
• The at-fault driver may delay responding to legal notices, making it harder to resolve the claim quickly.

Because Illinois law still applies to accidents that happen in the state, your lawyer can ensure that the claim proceeds efficiently, even if the driver is from out of state.

How Can a Lawyer Expedite the Settlement Process?

If your car accident claim is taking too long, an experienced lawyer can take action to move the case forward. Some of the ways an attorney can speed up the settlement include:

• Filing a demand letter that forces the insurance company to respond.
• Pushing for mediation or arbitration if negotiations stall.
• Filing a lawsuit before the statute of limitations expires, putting legal pressure on the insurer.
• Investigating bad faith insurance tactics and holding companies accountable.

Taking legal action sooner rather than later can prevent unnecessary delays and increase the likelihood of receiving fair compensation in a timely manner.

How Long Should You Expect to Wait?

While some car accident settlements are resolved in a few months, others take a year or longer, especially if there are disputed liability issues, severe injuries, or insurance company delays.

The best way to ensure a smooth and efficient settlement process is to:

• Seek medical treatment right away.
• Gather strong evidence to support your claim.
• Work with an experienced car accident lawyer who can handle delays and negotiate on your behalf.

If you or a loved one was injured in a car accident in Chicago, don’t let insurance companies stall your claim. Legal guidance can help move the process forward while ensuring you receive the compensation you deserve.

Contact a Chicago Car Accident Lawyer Today

If you’re waiting for a settlement or struggling with insurance delays, Walner Law can help. Our legal team fights for car accident victims in Chicago, ensuring they receive fair and timely compensation.

Call (312) 410-8496 today for a free consultation with a Chicago car accident lawyer.