A wrongful death settlement is the process through which surviving family members receive financial compensation after losing a loved one because of someone else’s negligence or wrongful act. In California, the wrongful death claims process involves investigating the death, gathering evidence proving liability, calculating damages, and negotiating with the defendant or their insurance company. To protect your rights, avoid costly mistakes in the settlement process, and ensure full and fair compensation, we recommend that you work with an experienced wrongful death attorney.
If you’ve lost a loved one due to someone else’s negligence or wrongful act, Saeedian Law Group can help you recover the compensation you deserve. With 16+ years of experience, our California wrongful death attorneys can help you gather strong evidence, handle insurance companies and negotiate settlements on your behalf, or represent you in court. Schedule a free consultation with us today
In this blog, we take a deep dive into how wrongful death settlements work, how settlement amounts are calculated, common mistakes to avoid, and answers to frequently asked questions.
What Is a Wrongful Death Settlement?
A wrongful death settlement is an agreement to financially compensate surviving family members after a person dies due to another person’s negligence or intentional misconduct. Instead of going through court trial, the liable party (or their insurance company) agrees to pay an agreed amount to resolve the case. Accepting this settlement effectively ends the wrongful death action. That means the decedent’s family cannot pursue further financial compensation for the same death.
The goal of a wrongful death settlement is to cover losses caused by the death. Such losses may include funeral expenses, lost wages and financial support, loss of companionship, etc. We’ll discuss the recoverable damages in detail later in this blog.
People prefer out-of-court settlements because it saves time and provides financial compensation. Hence, wrongful death settlements are much more common in the U.S., compared to court trials. In fact, only about three percent of tort cases are resolved through court verdict, according to the U.S. Bureau of Justice Statistics.
The Wrongful Death Settlement Process: Step-by-Step
The wrongful death settlement process follows a sequence of steps designed to determine fault, calculate damages, and secure compensation for the deceased person’s surviving relatives. Here, we’ve provided a summary of the general stages involved from start to finish.
Step 1: Case Evaluation and Eligibility Review
The process begins by confirming who can file a wrongful death claim in California and identifying the liable parties. At this stage, an initial review helps determine whether the case is strong enough to pursue.
Step 2: Investigation and evidence gathering
Next step is to collect evidence to prove liability and damages. Such evidence may be accident reports, medical records, police reports, witness statements, death certificates, and expert analysis. This is also the stage where you review financial records to calculate lost wages, benefits, and long-term support.
Step 3: Filing the wrongful death claim or lawsuit
Once the case is fully prepared, a formal claim is filed with the insurance company or a formal lawsuit is filed in court. Note that this step must be completed within the statute of limitations. Filing officially starts the legal process and notifies the responsible parties.
Step 4: Settlement negotiations
Both sides exchange information and negotiate based on liability, damages, and available insurance coverage. Offers and counteroffers may continue for weeks or months. Many wrongful death cases settle during this phase without going to trial.
Step 5: Court involvement if needed
If both parties fail to reach a settlement, the case may move forward through litigation, including discovery, motions, and possibly trial. Court approval may also be required if the settlement involves minor children or a related survival action. Judges may review the terms to ensure fairness.
6. Settlement agreement and payout
Once a settlement is reached, the agreement is put in writing and finalized. Attorney fees, court costs, and approved expenses are deducted first. The remaining compensation is then distributed to eligible beneficiaries according to California law.
How Is a Wrongful Death Settlement Calculated?
Wrongful death settlement is calculated by evaluating the total financial and personal losses suffered by the surviving family members due to the death. There is no fixed formula, but courts, attorneys, and insurance companies rely on several key factors to estimate a fair amount. Let’s look at such factors in detail.
Factors That Influence Wrongful Death Settlement Amounts
One major factor that influences the settlement amount in wrongful death cases is the deceased’s age, health, and earning capacity. Wrongful death cases involving younger individuals with stable careers or strong future earning potential often result in higher settlements. That is because of the supposed loss of long-term financial support. In cases like that, existing income, benefits, and career advancement are carefully reviewed.
Another factor that matters is the relationship between the deceased and the surviving family members. Courts and insurers consider how closely the family depended on the deceased for care, guidance, companionship, and emotional support. As such, surviving spouses, minor children, and financially dependent parents usually carry greater claim value.
Liability and evidence play a critical role as well. The settlement value increases when there’s clear proof that the defendant was at fault. The less fault shared by the deceased, the more the settlement amount. Strong documentation also help prove fault, thereby increasing the settlement value. Other factors that influence the final settlement amount include insurance policy limits, available assets, and whether the case settles or goes to trial.
What are the Damages Included in a Wrongful Death Claim?
Wrongful death damages generally fall into two main categories: economic and non-economic damages. Economic damages cover measurable financial losses. Compensation in this category include medical expenses, funeral and burial expenses, lost wages, and the value of benefits such as health insurance or retirement contributions. The goal is to compensate for the financial support the deceased would have provided.
Non-economic damages include compensation for personal and emotional losses. Under this category, you can recover compensation for loss of companionship and emotional support. It may also include compensation for the pain and suffering the deceased suffered before their passing.
An example case study is the Mickel Lewis Sr. wrongful death case, which is reportedly one of the largest police shooting payout in California. Lewis Sr.’s family filed a wrongful death lawsuit against the Kern County Deputy Sheriff, Jason Ayala, for use of unreasonable, excessive force, battery, negligence, and violation of the Civil Rights Act in the shooting incident that led to Lewis’ death.
The jury ruled in favor of Lewis Sr’s family and awarded a total of $30.5 million to the family. The verdict award included $5 million for loss of life, $1 million for pre-death pain and suffering, and $24.5 million in wrongful death damages to his children.
In some wrongful death cases, the court may also award punitive damages, but only through a survival action and not the wrongful death suit itself. Punitive damages are aimed at punishing extreme misconduct, such as intentional harm or gross negligence.
What is the Average Wrongful Death Settlement Amount?
There’s no fixed average settlement amount because every wrongful death case is different. Moreover, many wrongful death settlement figures are confidential, so most publicly available averages are estimates. From our experience, many settlements in the U.S. range from tens of thousands to millions of dollars, depending of the factors of the case.
Such factors include the decedent’s age, income, future earning potential, family relationships For example, the clearer the fault, the higher the chances of higher settlements. If you’re unsure how much your wrongful death lawsuit is worth, consult with our experienced wrongful death attorneys for a free case review.
How Long Does it Take To Reach a Wrongful Death Settlement
Just as there’s no fixed settlement amount, there’s also no fixed timeline for wrongful death settlements. How long it takes to reach a wrongful death settlement varies from case to case. While some cases take a few months, others may stretch into years. The factors that combine to determine the timeline include fault disputes, the duration of the investigation, how many parties involved, and negotiation timeline.
Court schedules, legal motions, and whether the case goes to trial can also extend the timeline. Although faster settlements are possible, we recommend you don’t accept lowball offers too early. It’s best to allow enough time to fully understand the case, calculate damages, and pursue fair compensation. That’s why you should work with an experienced wrongful death lawyer to be sure you’re making informed decisions.
How is a Wrongful Death Settlements Paid Out?
Wrongful death settlements funds are usually paid either as a lump sum or structured payments, depending on the settlement agreement. Lump sum means the full amount is paid once and then distributed to the beneficiaries. On the other hand, payments can be structured over time through scheduled installments. For structured settlement funds, approved expenses such as attorney fees and court costs are usually deducted first before the funds are sent to the beneficiaries.
Meanwhile, California law specifies who can file a wrongful death claim. The goal is to make sure the settlement goes to the people that are most affected by the death. Eligible beneficiaries may include surviving spouse or domestic partner, children, grandchildren, and sometimes other dependents such as stepchildren or parents if they relied on the deceased for support.
Keep in mind that all eligible heirs must be included in a single wrongful death claim. If there are multiple beneficiaries, the settlement is divided among them based on legal entitlement or mutual agreement. If the beneficiaries disagrees on how the money should be split, the court may step in to resolve the dispute and determine a fair allocation.
Common Mistakes to Avoid in a Wrongful Death Settlement
Unfortunately, many families lose out on fair compensation because of avoidable mistakes they make in their wrongful death settlement process. Such errors can weaken your case or cause delay in the process. Worse still, they may reduce the final settlement amount. That’s why we’ve curated this list of the most common mistakes so you avoid them and maximize compensation.
- Waiting too long to take legal action: Wrongful death claims are subject to strict deadlines under California law. Delaying can lead to lost evidence, unavailable witnesses, and even complete dismissal of the case if the wrongful death statute of limitations expires. The statute of limitations is even shorter when you’re filing against a government entity or public employee, according to the California Tort Claims Act.
- Accepting an early settlement offer: Insurance companies often offer quick settlements that are lower than the case is worth. If you accept too soon, the compensation might not be enough to recover damages, especially long-term losses and future expenses. It’s safer to consult a wrongful death lawyer before making any decision.
- Failing to document all losses: You need accurate and complete documentation to prove damages like medical bills, funeral costs, lost wages, and household support. You also need to correctly calculate non-economic losses, such as companionship and emotional suffering. While some people look for wrongful death settlement calculator online, it’s recommended to work with a seasoned lawyer or law firm. Inability to provide verifiable documentation can affect your settlement negotiations.
- Not including all eligible beneficiaries: California law requires all eligible heirs to be included in one wrongful death claim. Leaving someone out can cause legal disputes, delays, or court intervention that complicates settlement distribution.
- Overlooking shared fault issues: If the deceased is found partially at fault, compensation may be reduced according to California’s comparative negligence rule. Therefore, failing to address or counter partial fault claims with strong evidence can significantly lower the final payout.
- Handling the claim without legal guidance: Wrongful death cases usually involve complex legal and financial issues. Without expert guidance from a skilled wrongful death attorney, families may undervalue their claim, miss important steps, or struggle with negotiations and distribution issues.
Let’s Help You Pursue Maximum Compensation
Understanding the wrongful death settlement process, available damages, payment structures, and factors that affect value can help families make informed decisions. Remember that you must file within the statute of limitations to have a valid claim. Apart from that, you should also avoid other common mistakes that may affect your final payout. That’s why we always recommend you hire a wrongful death attorney who can help protect your rights and guide you through the legal requirements and process.
If you’re seeking compensation in a wrongful death claim or unsure how to go about the process, we’re here to help. Our personal injury lawyers in California have been handling wrongful death and other personal injury claims for over 16 years. So, we have the experience and expertise it takes to help you secure fair compensation. We work on a contingency basis – no attorney fees unless you win. Contact us today for a free consultation.
Frequently Asked Questions
With over 16 years of experience in handling wrongful death suits, we’ve provided answers to some of the most common questions people have. These FAQs will help you understand how wrongful death settlements work.
How long does it take to receive a wrongful death settlement?
The timeline varies by case. Some settlements are reached within a few months, while others may take a year or longer if liability is disputed or the case goes to trial. Once a settlement is finalized, payment usually follows within a few weeks.
What are the costs associated with a wrongful death settlement?
Common costs include attorney fees, court filing fees, expert witness fees, and investigation expenses. Most wrongful death attorneys work on a contingency fee basis, meaning they are paid a percentage of the settlement and only if the case is successful.
Are wrongful death settlements taxed?
In most cases, wrongful death settlements are not taxable under federal or California law. Compensation for personal losses, lost support, and emotional suffering is generally tax-free. However, certain portions, such as punitive damages or interest, may be taxable.
Can multiple parties be held liable?
Yes, more than one party can be held responsible for a wrongful death. Each party may be required to pay a portion of the settlement based on their level of fault. This can increase the total compensation available.
Do all family members have to agree to the settlement?
All eligible heirs must be included in the wrongful death claim, but they do not always need to agree on the division upfront. If disputes arise, the court can step in to determine a fair allocation of the settlement.
What happens if the case does not settle?
If a settlement cannot be reached, the case may proceed to trial. A judge or jury will then decide liability and the amount of compensation. Trials take longer and carry more risk, but they may result in higher awards in some cases.
Michael Saeedian founded Saeedian Law Group in 2009 with the goal of providing injured individuals and their loved ones with caring, personalized, and attentive legal representation.