A car accident is one of the most unpleasant things that can happen to you, affecting your health, life, and livelihood immediately and in the long run. The average person is likely to experience up to four collisions in a lifetime.
Even though traffic participants are aware of the general rules and safety measures, they don’t always follow them, which can cause crashes. The most common causes of road accidents are traveling at excessive speed, drunken driving, and avoiding safety gear like seatbelts. The good news is the automobile industry is making progress in terms of making vehicles safer. Safety-focused technology can’t replace driving skills, but they help traffic participants enjoy peace of mind.
A car accident brings about hefty costs, whether a minor fender bender or a multiple-vehicle collision. The actual cost of a collision is a combination of direct and indirect expenses, which have an impact on the bottom line. This financial toll is only a fraction of the pain, suffering, and emotional damage the car accident inflicts. These are the unexpected ways a car accident can impact your income.
Damage To Your Car
Anything that is damaged in a car crash is considered property damage. Even if there seems to be no visible damage, it’s worth doing a thorough check. If your vehicle’s structural integrity has been compromised, it will cost a fortune to have it repaired, and you’ll never have peace of mind knowing it will be up to safety standards. Electrical system damage is considered “minor”, although the costs can quickly add up. Even a low-impact accident can loosen the wires connected to the taillights, headlights, and other components. The repair can range from affordable to expensive, depending on your car type, age, and location.
The insurance company is responsible for the repair, but you’re subject to any applicable deductible. Put simply, you pay out of pocket before the insurance company covers the rest. If you can’t afford the deductible, this will only delay the necessary repairs and force you to use alternative transportation. Whether it’s temporary or for the long term, you can use public transit, ridesharing apps, biking, and so on. If another person is responsible for the collision, you shouldn’t be responsible for paying a deductible on the claim.
Rising Insurance Rates
You can expect your insurance rates to go if you’re at fault in a car accident. The insurer will view you as a high-risk driver, which is likely to make more claims in the future. Your insurance company will stop charging you for the accident after several years. A no-fault claim won’t affect you as much as an at-fault claim will. If your car insurance rate is too high, consider switching providers. As you shop around for new car insurance, get quotes from several companies and compare them to your current rate.
Medical Bills
Whiplash is the most common type of injury sustained after a car crash. The intervertebral joints, discs, ligaments, cervical muscles, and nerve roots become damaged. Treatment for whiplash can prove to be very expensive. You might need scans, pain medication, and a cervical collar. Sometimes, physical therapy is recommended. If you don’t have health insurance, you can incur hefty costs as you’re charged for each separate service by your therapist. The pain and stiffness associated with whiplash can make working impossible, which can be a problem if your family is financially dependent on you.
In case you didn’t already know, you can recover medical expenses in a personal injury lawsuit. More exactly, you can file a claim against the driver who caused the accident, and you’ll be compensated for current and future medical bills resulting from your injury. You’ll have to negotiate with the insurance company of the other party to reach a settlement. To maximize compensation, you’ll need to make available medical records and bills highlighting the amount of money paid. If you’re unable to afford a lawyer, you can fund litigation through a no win no fee agreement. No win no fee solicitors in the UK don’t charge for their work because the costs are recovered at the end of the case.
Income Lost from Your Job
In many cases, it’s necessary to stop working to get better. A broken leg, for instance, will prevent you from doing your job. Not only is taking time off from work stressful, but it can also impact your income. Some employers don’t offer paid sick leave, which is considered an unlawful deduction from wages. You may be treated unfairly, disciplined, or even dismissed for asking for sick days. If, after the collision, you end up with a long-lasting or permanent disability that affects your ability to earn money for an indefinite amount of time. The loss of a stable income cuts off your access to sufficient food, heat, and the ability to pay bills.
Missing work due to a car accident puts your family’s financial stability at risk. Financial hardship can negatively affect your kids’ cognitive, behavioral, social, and emotional development. You don’t have to be poor to have money problems. The lack of financial stability can bring tension in your relationship and eventually turn into an argument. It’s difficult, if not impossible, to maintain a happy home. If you decide to bring a personal injury claim, recover damages for the wages you’ve lost and provide supporting documents, such as the doctor’s note, pay stubs, and the income verification letter.
Final Thoughts
Besides physical and emotional injuries, car accidents have lasting financial impacts. Even the most responsible driver can be involved in a crash as it’s impossible to control the behavior of other traffic participants. You may be able to find a way out. For example, you can file a personal injury lawsuit and recover compensation for your expenses.
It’s important to stress there are many types of personal injury compensation, so you must consult with a lawyer. If you can’t afford to pay a lawyer for your case, don’t fret because many legal professionals work on a conditional fee agreement. You can make a compensation claim with no financial risk.
