Short Answer

In North Carolina, insurers close accident claims when they receive proof of liability, proof of your injuries and bills, wage loss documentation, and lien information. Because you received workers’ compensation benefits, the comp carrier has a statutory lien on any third-party recovery, and the insurer typically cannot finalize payment without either the carrier’s written consent or Superior Court approval under the workers’ compensation statute. Expect to also provide a signed release and a completed IRS W-9 before funds are issued.

Understanding the Problem

You want to settle a North Carolina personal injury claim and need to know exactly what to send the insurer to close it. The issue is: what information must you (through your attorney) provide to the insurer’s claims or risk services unit so they can authorize payment, especially since you already received partial workers’ compensation benefits from your employer’s carrier?

Apply the Law

Under North Carolina law, an insurer needs enough documentation to evaluate fault, your injuries, and all liens that must be repaid out of the settlement. When workers’ compensation has paid benefits, the employer/carrier has a statutory lien on third‑party recoveries, and settlements generally require the comp carrier’s written consent or, if not obtained, approval by a Superior Court judge. Most settlements are negotiated informally or at mediation; written, signed settlement terms are essential to enforceability. The main forum for any required third‑party settlement approval is Superior Court. The common limitations period for personal injury claims is three years from the accident.

Key Requirements

• Liability proof: Accident/incident reports, witness details, photos/video, and a concise narrative connecting the insured’s conduct to your injury.
• Injury and treatment records: Medical records and itemized bills, plus a HIPAA‑compliant authorization if the insurer requires source verification.
• Wage loss and disability: Employer verification of time missed and pay rate (e.g., payroll records, W‑2/1099s) and provider notes supporting work restrictions.
• Liens and subrogation: Workers’ compensation payment ledger and lien confirmation; any health plan, Medicaid/Medicare, or other lien notices with current balances.
• Settlement logistics: Signed release language, IRS W‑9, and—if workers’ comp paid benefits—either carrier consent or a motion for Superior Court approval.

What the Statutes Say

• North Carolina Gen. Stat. § 97-10.2 (Workers’ comp liens and third‑party settlements) - Establishes the carrier’s lien and consent/approval requirements for third‑party settlements.
• North Carolina Gen. Stat. § 1-52 (Three-year limitations period) - Sets the general three‑year deadline for personal injury claims.
• North Carolina Gen. Stat. § 7A-38.1 (Mediated settlement conferences) - Authorizes court‑connected mediation; settlement terms should be reduced to a signed writing.
• North Carolina Gen. Stat. § 58-63-15(11) (Unfair claim settlement practices) - Describes standards for insurers’ claims handling conduct.

Analysis

Apply the Rule to the Facts: Here, you were hurt at work and received partial workers’ compensation benefits. That creates a statutory lien the liability insurer must account for before paying your claim, so they will ask for a workers’ comp payment ledger and a written lien confirmation. They also need the usual claim package: proof the insured was at fault, your medical records and itemized bills, and employer records showing your wage loss. To cut the check, they will require a signed release, a W‑9, and either comp carrier consent or Superior Court approval.

Process & Timing

1. Who files: Your attorney. Where: Sent directly to the liability insurer’s claims/risk services unit in North Carolina. What: A demand package with liability evidence, medical records and bills, wage documentation, and lien confirmations; if mediating, a written and signed settlement agreement. When: Aim to submit after treatment stabilizes and before the three‑year deadline from the accident.
2. Insurer review and follow‑ups: The adjuster verifies records, may request limited authorizations, and confirms lien amounts. If workers’ comp benefits were paid, your attorney secures the comp carrier’s written consent; if not obtainable, your attorney files a motion in Superior Court to approve the settlement and distribution under the workers’ comp statute. Timeframes vary by carrier and county.
3. Finalize payment: You sign the release and W‑9. After lien issues are resolved and any required approval is obtained, the insurer issues settlement funds (typically to your attorney trust account) for disbursement consistent with the liens and agreement.

Exceptions & Pitfalls

• Workers’ comp coordination: Settlements generally require comp carrier consent or Superior Court approval if benefits were paid; do not ignore this lien.
• Medicare/Medicaid: Conditional payments must be verified and resolved; unresolved government liens can delay or derail payment.
• Overbroad authorizations: Limit medical releases to relevant providers and timeframes to avoid unnecessary delays and disputes.
• Wage proof gaps: Missing employer verification, tax forms, or doctor work notes can slow evaluation of lost income.
• Mediation paperwork: Ensure any mediated agreement is reduced to writing and signed; otherwise enforcement can be problematic.

Talk to a Personal Injury Attorney

If you're dealing with a North Carolina accident claim and workers’ comp has paid benefits, 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.