Do not sign a “Release of Claims” for property damage before having The Hoffmann Law Firm review it.
If you were hurt in a crash in the St. Louis area, there may come a point where the at-fault driver’s insurance company offers you money to settle. Before they send a check, they will almost always ask you to sign a document called a release of claims. It is one of the most important papers you will handle in your case, and once you sign it, the decision is usually final.
FREE CASE EVALUATION
What a release of claims actually is
A release of claims is a legal agreement. In it, you accept a set amount of money from the insurance company, and in exchange you give up your right to pursue any further compensation connected to that accident. It is sometimes called a “release of all claims,” a “liability waiver,” or a “settlement release.”
Once you sign and the payment goes through, your case is generally closed. You agree not to bring any additional claim against the at-fault driver or their insurer for that crash, even if something comes up later.
The form usually includes the date and location of the accident, the parties involved, the claim or reference number, the settlement amount, and the scope of what you are releasing. Many releases also state that the other side is not admitting fault by paying you.
Why the insurance company wants you to sign
Insurance companies use the release to protect themselves and their policyholders from any future claims arising from the accident. Once you sign, they know the matter is resolved, and they will not be asked to pay more for that incident.
That is a reasonable thing for them to want at the end of a fair settlement. The part to be careful about is timing and amount. Insurers sometimes offer a quick settlement early, before the full picture of an injury is clear, because settling fast can cost them less. There is often room to negotiate before anyone signs anything.
What signing may mean for you
The most important thing to understand is that a release is usually permanent for that accident. After you sign:
- You typically cannot ask for more money later, even if you discover your injuries are more serious than they first seemed.
- You generally give up the right to sue the at-fault driver and their insurer over that crash.
- Any future medical costs connected to the accident may become your responsibility if the settlement did not account for them.
This matters most when you are still treating. If you have not reached the point where your doctors know your full prognosis, settling and signing a release could leave later costs uncovered. Many people choose to wait until their treatment is largely complete, or until the long-term outlook is clear, before they consider settling.
Not all releases are the same
The wording in a release can vary, and the differences can affect you. A release may be written narrowly to cover only specific, known claims, or broadly to cover all claims, including ones that are not yet known. The exact language determines what you are actually giving up.
There can also be added provisions, such as an indemnification clause, which may ask you to cover certain future costs or third-party claims tied to the accident. Because these terms can carry real consequences, it helps to understand exactly what a particular release says before signing it.
One more Missouri-specific point: if you may need to file an underinsured motorist claim under your own policy because the at-fault driver’s coverage is not enough, the timing of any release can matter. It is worth sorting that out before you sign anything.
What to do before you sign
A few practical steps can protect you:
- Don’t rush. A “take it or leave it” deadline is often more pressure than fact. There is usually room to talk.
- Make sure the settlement covers everything. That includes medical bills, future care, lost wages, and other losses connected to the crash.
- Read the scope carefully. Understand whether the release is narrow or broad, and whether it covers unknown future claims.
- Get the details right. The accident facts, the parties, and the payment terms should all be accurate.
- Have someone review it. A St. Louis car accident lawyer can read the release, explain what it means for your situation, and point out anything that could leave you exposed.
Talk to a St. Louis car accident lawyer before you sign
A release of claims is short, but its effect is lasting. Before you give up your right to further compensation for a crash, it can help to have someone review the terms with your situation in mind.
The Hoffmann Law Firm has focused exclusively on car accident law in St. Louis for 25 years. We are locally owned; you work directly with Attorney Christopher Hoffmann, and the initial consultation is free. If an insurance company has handed you a release or offered a settlement, we can walk through what it means before you decide.
FREE CASE EVALUATION