Short Answer

Yes. In North Carolina, you can negotiate a settlement at any time before you sign a release, even if the insurer says your claim is under “audit” or internal review. Negotiations do not pause the statute of limitations, and nothing is final until you receive a clear written offer and accept it in writing. Confirm the insurer’s authority, get terms in writing, and protect your filing deadline.

Understanding the Problem

You want to know whether you can keep negotiating with a North Carolina liability insurer while it reviews your claim internally. You (the claimant, through your attorney) seek to discuss or improve a preliminary offer. The trigger is that the adjuster mentioned an offer but has not sent it, and your attorney has followed up and updated contact information.

Apply the Law

Under North Carolina law, pre-suit personal injury settlements are private contracts. An internal insurer “audit” does not bar negotiation, but it also does not stop legal deadlines. A settlement becomes binding only when there is a clear offer, acceptance, and agreed terms (including release and lien handling). The main forum is out-of-court negotiation with the insurer; if you cannot resolve the claim before the statute of limitations, you must file a lawsuit in the proper North Carolina court to preserve your rights.

Key Requirements

• Clear offer in writing: Ask the adjuster to send the amount and key terms (release scope, liens, payment timing) in writing and confirm settlement authority.
• Acceptance in writing: Your claim is not settled until you accept the written offer on the stated terms.
• Deadlines keep running: Negotiations and audits do not pause the statute of limitations; file suit on time if needed to preserve the claim.
• Lien resolution: Settlements must account for valid medical provider liens, which are paid from proceeds within statutory limits.
• Release to finalize: Payment typically follows your execution of a release; review the release for scope, parties, and lien language before signing.

What the Statutes Say

• North Carolina Gen. Stat. § 1-52 (Three-year limit for personal injury) - sets the general deadline to file a negligence action.
• North Carolina Gen. Stat. § 58-63-15(11) (Unfair claims settlement practices) - prohibits unreasonable claim delays and requires prompt, fair handling.
• North Carolina Gen. Stat. § 44-49 (Medical provider liens) - allows providers to assert liens on settlement funds.
• North Carolina Gen. Stat. § 44-50 (Payment of liens from proceeds) - governs how settlement funds are applied to valid liens.

Analysis

Apply the Rule to the Facts: Because the adjuster has only mentioned a preliminary offer, there is no binding settlement yet—keep negotiating and request the offer in writing with all key terms. The insurer’s “audit” does not prevent you from countering or setting a reasonable response date; it also does not toll the statute of limitations, so track your filing deadline. Your attorney’s follow-up and updated email help ensure you receive the written offer and can respond promptly. When the written offer arrives, review the release and account for any medical liens before accepting.

Process & Timing

1. Who files: Claimant or attorney. Where: With the insurer/adjuster (email or letter). What: Request the written offer; confirm authority; send a counteroffer or a time-limited response request; ask for release and lien terms. When: Follow up every 10–14 days or as agreed; do not let this approach your limitations deadline.
2. If settlement is reached: Review and negotiate the release language (scope, parties, confidentiality, liens). Execute the release; the insurer issues payment per the agreement. Lienholders are paid from proceeds as required.
3. If settlement stalls near the deadline: File a civil Complaint in the proper North Carolina county. Where: Clerk of Superior Court. What: Complaint and Civil Summons (AOC-CV-100); arrange service per the Rules of Civil Procedure. When: File before the statute of limitations expires; service deadlines then apply.

Exceptions & Pitfalls

• Unreasonable delay: You may escalate to a supervisor or consider a Department of Insurance complaint if responses are not timely; keep documenting follow-ups.
• UIM/consent-to-settle: If underinsured motorist coverage may apply, get your own insurer’s written consent before releasing the at-fault driver to avoid jeopardizing UIM rights.
• Overbroad releases: Watch for language releasing non-parties or future claims; negotiate scope before signing.
• Medical authorizations: Limit releases of medical records to relevant providers and dates; avoid blanket authorizations when unnecessary.
• Liens and subrogation: Identify and address medical provider liens and any reimbursement claims (e.g., Medicare/Medicaid/ERISA) before finalizing.
• Verbal-only offers: Do not rely on oral promises; insist on a written offer with clear terms and payment timing.

Talk to a Personal Injury Attorney

If you're dealing with a pending offer and insurer “audit,” our firm has experienced attorneys who can help you understand your options and timelines. Call us today at [919-341-7055].

Disclaimer: This article provides general information about North Carolina law based on the single question stated above. It is not legal advice for your specific situation and does not create an attorney-client relationship. Laws, procedures, and local practice can change and may vary by county. If you have a deadline, act promptly and speak with a licensed North Carolina attorney.