Injured by Someone Else? Here's How to Get Back on Your Feet Financially
Personal injuries can cripple an individual physically, emotionally, and financially. After surviving a road accident, medical malpractice, or occupational accident, how can one bounce back financially and improve their quality of life?
Take stock of the financial damage.
Accidents can lead to disabling injuries that make it hard to resume work or run a business as efficiently as before. There are often extensive medical bills, and, in some cases, the injured victims need continued care.
An in-depth financial assessment detailing the current and projected future costs resulting from the accident can help victims plan ahead. Victims must then sum up the resources they have and develop a plan to try to make things work.
Create a budget that mirrors the new financial situation
One way to survive the sudden financial hardship caused by an accident is working with a budget. One would need a new budget that aligns expenditures with the current financial situation. The budget should reflect the loss of income, medical bills, and the family's basic needs.
A budget can help eliminate excess spending. Through the plan, one gets to spend only on necessary items to ensure that basic things are covered before anything else. For example, it might not be the right time to remodel a house after a rideshare accident until maybe after receiving damage compensation.
Seek financial compensation
If the accident is caused by another person's negligent or intentional actions, an injured individual can pursue financial compensation. The process involves working with lawyers, eyewitnesses, and expert witnesses to prove fault on the part of the accused.
Compensation is awarded in settlement negotiations or by a jury. It may cover the medical bills, pain and suffering, lost income, and other damages.
In nursing homes, for instance, personal injuries can be from slip and fall accidents or physical abuse. Financial exploitation is also a major type of abuse in these elderly care centers. If an older adult falls victim to scams, coercion, or threats that lead them to lose their money, an experienced nursing home lawyer may help them pursue financial compensation.
Social Security Disability
Sometimes, personal injuries lead to long-lasting disabilities that permanently impact someone's ability to work. Apart from seeking damages compensation, injured individuals can file for social security disability benefits. If the application is accepted, one starts receiving a monthly stipend that could help the person bounce back financially.
It pays to explore all options on the table. Sometimes damage compensation is too little to cover for lost wages and long-term medical bills. Social security disability is a good back up plan. The application requires one to have all the supporting medical records. A social security lawyer can be helpful when applying for social security disability insurance or supplemental income benefits.
Consider a loan
Personal injury cases may drag on for months and even years. Bills, don't wait. If one has good credit, taking a small loan at this time could help him or her stay afloat.
The right loan should have low-interest terms with a flexible repayment plan. An alternative is crowdfunding or seeking assistance from family members. These approaches can help to keep the lights on before damage compensation is awarded.
Make a long-term financial plan.
Even after receiving compensation, life may not be the same after a personal injury. For example, a fatality crash can permanently remove the breadwinner of the family. Those left behind must work out a plan to keep the kids at school and pay rent and property taxes, and so on.
A long-term plan considers liabilities, assets, and attained compensation. It designates the smartest move to save, spend, or share what's at hand for the injured victim or the family's current and future well-being. The services of a financial planner could be helpful.
Financial recovery after an accident can be challenging. The above tips can help to keep a home or business running as victims seek to reestablish themselves.