What Does a “Top and Final Offer” Mean in a North Carolina Car Accident Claim and Should I Accept It?

In North Carolina, an insurer’s “top and final offer” signals the carrier’s maximum settlement authority without filing a lawsuit. When you receive this offer, the company usually believes it has met its liability exposure. Accepting it ends further negotiation and releases the insurer from additional payment obligations. Before agreeing, review your total damages: medical bills, future care costs, lost wages, and non-economic losses such as pain and suffering. A low figure can leave you responsible for uncovered treatment and ongoing expenses. Compare the offer against documented expenses and an estimate for future needs. If the number falls short, you might reject it and consider filing suit. Keep in mind that litigation carries filing fees, court delays, and the risk of an unfavorable judgment. Practical steps to decide:

• Gather all medical records and bills, including projected future treatments.
• Calculate economic losses—lost income, property damage, and out-of-pocket costs.
• Estimate non-economic damages based on pain, suffering, and loss of enjoyment.
• Request a written breakdown of the insurer’s valuation.
• Consider the cost, time, and uncertainty of filing in small-claims or superior court.
• Explore further negotiation—ask the adjuster for a higher number or additional benefits.

If you receive Medicaid benefits, the state may place a lien on your personal injury settlement to recover what it paid on your behalf. Under N.C. Gen. Stat. § 108A-70.17, you must notify the Department of Health and Human Services (DHHS) of any pending claim. DHHS then files a lien against your case. Once you settle with the insurer, DHHS reviews the final amount and issues a demand for reimbursement. Resolving the lien involves:

• Filing a written notice of claim with DHHS before settling (per statute).
• Waiting for the agency to approve or dispute the lien amount.
• Obtaining a release from DHHS after you pay or negotiate the lien.
• Waiting for the insurance carrier to issue your net settlement check.

This process can take one to three months. Medicaid agencies often operate on their own schedule. Any delay in lien verification or payment slows receipt of your funds. To streamline the timeline:

• Submit your settlement documents to DHHS immediately after you sign the release.
• Follow up regularly with the Medicaid subrogation unit.
• Confirm lien amounts early in negotiations to budget for repayment.
• Consider setting aside part of your settlement in escrow until the lien clears.