Did Your Funds Take a Hit After a Car Accident? You Can Recover Financially

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 An auto accident doesn’t just damage your car. You can end up with injuries that lead to medical bills and lost time at work. An accident can also increase your insurance rates, not to mention the bills you may accrue from repairing your car. If you’ve been in a car accident that has led to damages and financial offsets, there are steps you can take to recover financially and get back on track.

 Hiring Legal Representation

 After a car accident, you should hire a personal injury attorney. If you’ve suffered financial impairment or wish to prevent it, the expertise of an attorney is advantageous. You’ll only be charged if you win, and the charges are based on a percentage of the settlement you receive.

 Although insurance companies sometimes tell clients they can handle the claim and an attorney isn’t necessary, you might end up with less compensation. Attorneys are well-versed in what kinds of damages and financial offsets to which you’re entitled if the accident wasn’t your fault, and can help you get the maximum amount. They can also ensure you’re paid in a timely manner and that a hospital doesn’t overcharge you.

 However, if you’re at fault for the accident, you still should hire an attorney if the accident resulted in criminal charges. For example, if you were under the influence, you’ll need to hire a lawyer. While you can go with a government-appointed lawyer, hiring an attorney is advisable. Hiring an attorney is just one of the costs you’ll endure if you’re charged with a DUI; you’ll also pay for bond, an increase in insurance, court fees and fines, license reinstatement fees, and lost wages from potential jail time and the loss of your license. It never pays to drive under the influence.

Keep in mind that when you hire an attorney, there will be a lot of paperwork involved. Avoid letting it pile up and become disorganized by digitizing records and storing them online. If you and your attorney are emailing particularly large files, you can compress a PDF online so it’s less time-consuming to send. A PDF compressor tool will reduce the size of the file while preserving its format and images. 

 Working with Insurance Companies

 When you’re in an accident, you’re required to report the accident to your insurance company. Upon speaking with you, they’ll ask a series of questions about the collision, including the date, location, who was involved, and more. After conducting an investigation of the events, the insurance companies will work to get your car and the other party’s car get repaired. They’ll also help you receive compensation for medical expenses, lost wages, or pain and suffering from the accident.

 If you were at fault for the accident and the other party involved hires a personal injury attorney, your insurance company will cover you unless you need to hire an auto accident attorney for specific circumstances. Your insurance company will compensate the other party for their losses based on the personal injury protection policy. This is why having adequate car insurance is important.

 Managing Your Finances

 If you’re at fault, sometimes your insurance policy won’t cover all of the other party’s losses, and you’ll be left footing the remainder of the bill. If you weren’t at fault and didn’t receive a settlement, you’ll also be left with bills to cover because of your accident. Regardless of the situation, you’ll need to adjust your budget to recover financially. Evaluate your budget to see if you can cut back your spending. While you may have an emergency fund, it may not cover everything, and you’ll need to find a way to replenish it.

 Some people consider taking out a loan to cover their expenses. This may be an option if you have great credit, but it shouldn’t be your first choice. Many businesses will work with you to pay back what you owe them. Call each company and ask if they’re willing to set up a payment plan, and be honest about what you can afford to pay. You could also refinance your home to lower your monthly mortgage payments. Some people take on part-time, temporary employment. Others find side gigs, such as selling crafts, babysitting, or freelance work. No matter what, never opt for high-interest payday loans. The interest can be higher than 300 percent on the loan you take out, and thus should be avoided at all costs.

 A car accident can have a serious impact on your finances. However, it doesn’t have to result in financial ruin. By hiring legal representation when necessary, working with your insurance company, and carefully managing your finances, you can offset the costs of the car accident and replenish your savings.

If you’re ready to repair or rebuild your vehicle on your own, visit DIY Auto today!