How does an "A" settlement differ from a Full Release Settlement?

An "A" settlement is distinct in that it permits the insured to retain rights to pursue additional claims in the future beyond the current settlement. This is particularly beneficial for claimants who may be uncertain whether all potential damages have been accounted for at the time of the settlement. By allowing the insured to keep such rights, this type of settlement provides flexibility and acknowledges that there may be further expenses or claims that arise later.

In contrast, a Full Release Settlement typically requires the insured to relinquish their rights to any further claims related to the incident, effectively closing the case permanently upon the acceptance of a lump sum. This means that after a Full Release Settlement is executed, the claimant cannot return to seek additional compensation for damages already covered in that settlement.

Understanding the nuances of these settlement types is essential in the context of automotive damage appraisals and insurance claims, particularly regarding the rights and options available to the insured post-settlement.