Cost Of A Car Crash: How Your Personal Finances Suffer

There are many of us that haven’t been in a full-scale car crash before. Hopefully, we’ll never have to experience anything so horrific. But, it’s almost mind-boggling how financially detrimental that sort of scenario can be. Where do you start? The car itself? The insurance? The injury claims? It’s really difficult to get your head around how your finances will take a hit. So, let us simplify it for you. Here are a few areas that you’ll need to consider if it ever happens.

cost of car crash

Insurance & Claims
When you decide to claim on your insurance, it often spikes the premium. Unfortunately, you’re not going to be able to get around this easily. Also, you might find that policies become void when you claim, causing serious potential issues. Of course, injury claims from companies like David & Philpot, P.L. could also be sought. If you weren’t the person who caused the accident, your finances shouldn’t have to suffer too much!

Car Repairs
If you’ve gone with either of the options above, you’ll hopefully be able to recover the cost of most repairs. But, there are a few exceptions to that rule in some cases. If you caused the crash, you’re certainly going to struggle a lot more. You might find yourself having to pay a considerable amount to get your car back on the road anytime soon.

Medical Bills
If you ever find yourself in a crash, you shouldn’t be thinking about finances right away. Your first priority is to get yourself checked out for any health-related issues; physical or mental. When the drama subsides, you’re going to be asked to pay for the care you’ve received. Hopefully, this will be taken care of via a claim, but this depends on the scenario. All those days spent in the hospital might just add up to a hefty premium.

Lost Wages
A bad car crash can leave you unable to work indefinitely. Over time, this can lead to some serious cash losses. Even if you are OK to work, think about all the extra time you’re going to need to spend sorting this thing out. Meetings with lawyers, attending court and more can lead to a lot of time out of the workplace. If your employer isn’t willing to allow a lot of flexibility on your part, it might be a tricky scenario.

Rental Costs
I’m hoping your car doesn’t get totaled, but it could happen. In a case like this, you’re going to need to arrange alternative transport until you can sort the problem out. You still need to go to work, and you still need to live your life. This often means you’ll get a rental car from your insurer if you claim with them. Or, you might be able to claim back the cost through a lawyer. In some cases, though, you’ll be required to fork out the funds from your own pocket. Ouch!

If you find yourself in a crash, do what it takes to protect your funds as best you can. There’s a lot of help out there!