Settlement

A settlement is an agreement between the injured person and the insurer to resolve a claim for an agreed sum, without a court deciding the case at trial.

Many road accident claims in Malaysia end this way, often after negotiation and once the medical picture is clear enough to value the injury properly. A settlement is usually recorded as a consent judgment, which makes it enforceable in the same way as any other court order.

Because a settlement is generally final, it is worth checking that your treatment and prognosis are settled before agreeing, so the figure does not leave out a cost that only became clear later.

Reviewing a settlement offer explains what to look for before accepting one.