In general when it is time for you to settle your car insurance claim, the insurance company working on the claim will send you a release form (a general release or "release of all claims"). The form is basically to release the insurance company and the person who they are representing (their policyholder) from future liability. The standard language on these release forms usually says that you agree to not sue the other party or their insurance company once you receive the stated settlement for the accident.

In some states there may also be a fraud warning in the release form telling you what penalties you may receive if the claim is fraudulent in any way. The witness, notary or otherwise, likely does not keep a copy of the release unless they work for the insurance provider.

Insurance companies’ protocols and rules differ so each company usually has their own system for settlements and what they do with the release forms that are signed during the settlement process. State laws may also dictate what an insurance company has to do with their release forms.

After you completely finish settling an insurance claim the settlement paperwork, including the release, is normally kept by the insurance company in their archives. Since insurance companies guidelines and state laws can differ, if you are signing a release form and want to know more about what will become of it, ask the claims adjuster or claims department of the auto insurance giving you the settlement.