3 Financial Effects of a Car Accident:
First question that comes to mind if involved in a Car accident is, “How much is this going to cost me?” Let us look at 3 Financial Effects of a Car Accident.
Unfortunately, even if you and the other drivers involved have insurance, you may need to pay a deductible. There are certain expenses that might not be covered.An experienced Personal Injury Attorney will be able to explain the uncovered expenses.
It’s common for accident victims to underestimate the total cost of a crash(An experienced personal injury attorney will help you estimate the most accurate cost). As a result, you make unwise financial decisions such as accepting a low settlement from the insurance company.Most importantly, you might choose not to file a personal injury claim against the liable driver.
Below, we’ve outlined 3 financial effects of a car accident that all drivers should know:
1. Expect a hike in your car insurance premiums.
In some states, auto insurance companies can increase a policyholder’s premiums after an accident no matter who was at fault. Fortunately, California law prohibits insurers from upping their rates for drivers who are involved in a no-fault crash.
That said, you can certainly expect an uptick in your premiums if you are liable for the collision. The increase in the premium depends on:
- Your Insurance provider
- The cost of your claim
- The facts surrounding the accident
Therefore,this increase could be quite substantial and cost you thousands of dollars in the long run. If this happens, Compare quotes from auto insurance companies before your policy renews. Some insurers offer competitive rates to drivers with one crash on their record.
Most importantly,you get a discount simply for switching to a new provider.
2. Medical bills, lost income, and property damage aren’t the only costs to consider.
Even if the insurance company covers your healthcare expenses, lost wages, and vehicle damage, there are other costs that might arise after a crash. Alternative transportation, child care, home and vehicle modifications to accommodate any disabilities, and other expenses can add up quickly. Some Insurance providers may not cover these losses.You can obtain the necessary funds by filing a Personal Injury Claim against the party who was liable for the crash.
3. Future damages can be costlier than the damages you’ve already incurred.
The most common mistakes a car accident victim makes is accepting a low settlement before they know the full extent of their damages. Besides the medical bills and vehicle repairs, lost income should also be considered.It is also important to consider future damages such as lost earning capacity and ongoing medical care. Overlooking these losses will take a huge bite out of your savings and possibly force you to file bankruptcy.
Therefore the smartest step you take after a serious collision is to consult an attorney. Fortunately, most personal injury law firms offer free initial consultations. An experienced Personal Injury Attorney/lawyer will help you:
- Identify all potential avenues for pursuing compensation
- Calculate your damages
- Help you negotiate with the insurance company for the highest possible settlement.
Most important thing is hiring an attorney.This will send message to the insurer:
- That you expect to be treated fairly
- That you are ready to take the case to trial if they refuse to cooperate
In conclusion; get a free evaluation of your claim/case.Simply visit https://lainjury.wpengine.com/contact-us/ for a free evaluation.