Horrific Injuries can Lead to Bankruptcy
Posted Monday, April 02, 2018 by Ed Harper
Recent studies have shown that the need for one to have health and auto insurance is a vital 1st step in the preparation one must take to be prepared for misfortune. When a long-term chronic medical condition arises, it poses a significant financial burden on injured persons. Personal injuries to an uninsured person or family member can lead to catastrophic results following an accident.
Medical bills and an interruption in one’s ability to work have dire financial consequences as many people live paycheck to paycheck.
“Families bankrupted by medical problems include things such as trauma/orthopedic/back problems for nearly 1/3 of all those who file bankruptcy after an accident.… And 51% of the medical problems involved ongoing chronic illnesses.” (Illness and Injury Contributors to Bankruptcy, December 3, 2004). As a result of financial decisions made during tough economic times, people have been forced to reduce or even eliminate health and auto insurance.
Further, of those who have filed bankruptcy after an injury, many initially had health insurance. This study showed that 20% of those injured that filed bankruptcy had insurance but lost the insurance coverage because of their inability to work.
I’ve represented many personal injury clients with uninsured or underinsured motorist claims when an individual has been injured. Unfortunately, the other driver – the at fault party – failed to have adequate coverage, yet one still recouped for some, if not all, of the effect from the detrimental injuries and damages. To avoid this problem, the UM portion of your policy is vitally important to review and consider adding.
Just as the Boy Scout motto states, “Be prepared.” Have good health insurance and also have good automobile insurance with special attention paid to uninsured motorist coverage. This coverage applies if you are struck by an uninsured motorist, who is at fault, so that you can still be protected from their negligence.
Call Harper Law if you have any questions regarding your insurance benefits.
We Are Here to Help
Although our office does not handle all types of cases, we hope you will contact us regarding any legal issues you may encounter. We will answer your questions, or refer you to another quality and trustworthy attorney if we are unable to assist you.
