State Farm Settlement Process: What to Expect

When you’re involved in an accident, one of the first things on your mind is likely how your insurance company will handle the claim.

If State Farm is involved, whether they’re your insurer or the insurer of the other party, you might wonder what to expect from the settlement process.

The State Farm settlement process is generally straightforward, but there are important steps and nuances to understand. However, this process isn’t always as fast as you might expect. There will be forms to fill out, phone calls to make, and possibly a little back-and-forth to ensure everything is in order. But the more you know ahead of time, the smoother the ride will be.

Let’s walk through how it all works step by step.

Here’s What to Expect in a State Farm Settlement Process

Here’s what the settlement process typically looks like with State Farm.

Reporting the Accident and Starting Your Claim

When you’re in a car accident, one of the first things you need to do is report it to your insurance company, and with State Farm, it’s best to do this as soon as possible.

Your policy might even require you to report the accident quickly, so that you don’t lose out on any compensation. If the other driver hasn’t contacted their insurance yet, that’s okay; you can still reach out to State Farm and start your claim. It won’t hurt your case, and you can get the ball rolling even before their insurance steps in.

If you have a lawyer, they can take care of contacting State Farm for you, so you don’t have to worry about it.

Once you do reach out to State Farm, they’ll assign a claims adjuster to your case, and this person will review everything. They’ll gather details about the accident and collect the necessary information to look into the situation.

Damage Assessment

After you file your claim, State Farm will do a damage assessment. This just means they’ll check out the damage to see how bad it is and how much it’ll cost to fix. They might look at pictures, repair quotes, or even send someone to look at it in person.

They do this to make sure they understand everything before deciding how much to offer you. It’s an important step because it helps them figure out how much money you should get for the damage.

Investigation

The next step in the State Farm settlement process is the investigation. This is when State Farm looks into what actually happened. They’ll gather all the details, like talking to any witnesses or checking out pictures and videos of the damage. They might also look at police reports or repair estimates to get the full picture.

The goal here is for State Farm to understand exactly what went wrong and how much it’s going to cost to fix it.

The Claims Process and Recorded Statements

State Farm has a user-friendly online portal that lets you start your claim on your own, but having an attorney involved can help protect you, especially during the negotiation process.

One part of the claims process is being asked to give a recorded statement about the accident. Even though you might want to cooperate, many personal injury lawyers suggest you decline this request. The information you give could be used against you later to reduce your settlement or even deny your claim.

Remember, you don’t have to give this statement, and State Farm can’t deny your claim just because you say no.

Negotiating Settlement Offers

After the claims adjuster has looked over everything, they’ll either offer a settlement or deny your claim. If they make an offer, it’s often much lower than what you actually deserve. This is why it’s so important to know how much your losses are worth. You need to figure out if the offer they give you is fair.

In most cases, it’s best to reject the first offer. Insurance companies, including State Farm, tend to offer less than what the claimant deserves, especially if they think you don’t know the full extent of your damages. Be ready to negotiate and ask for a settlement that covers all your expenses and losses.