As the name indicates, a car accident injury settlement is a settlement between two parties that establishes a final finding relative to liability and compensation as it relates to a car accident they were jointly involved in. Car accident injury settlements award compensation for out-of-pocket expenses, medical bills, pain and suffering, and in some cases punitive damages, to the non-liable party. Unlike the other parts of the award, punitive damages are not awarded as reimbursement or for pain and suffering. Punitive damages are awarded as a way to teach the at-fault party a lesson as it relates to their negligence, and to deter others from engaging in the same behavior. A car accident injury settlement can run well into the thousands, and in some cases, the millions. Because of the nature of car accident injury, and the fact that it is due entirely to another party's negligence, car accident injury is not taken lightly by the courts.