If you resolve your personal injury case by way of a settlement, compensation is typically paid at the time of settlement, especially where there is an insurance company involved. If the settlement funds are not paid immediately, generally the terms of the settlement would control is interest is allowable. If a car accident or personal injury claim proceeds to trial and is successful, different standards apply to allowable interest allowable. Can you collect interest on a Judgment if it is not timely paid?
Typically, you are granted interest on the amount you are awarded in court until it is paid.
Absent exceptional circumstances, pre-judgment interest [interest that would cover the time period from the date of the injury to the date of the verdict or settlement] is NOT awarded in personal injury cases. The rationale is that the amount of pain, suffering or emotional anguish is not subject to ready measurement.
However, once the amount of the award is reduced to a judgment of the court, post-judgment interest of 10% will accrue from the date of the judgment until paid.
An experienced Baltimore personal injury attorney can assist you, not just in obtaining a judgment for you, but also in ensuring you collect the interest due on that judgment.
-This Article was updated by Eric Kirk on 3/23/19.