Two things that people often do not connect, but should, are car accidents and retirement funds. While younger generations have cited student loans, for example, as interfering with their ability to purchase homes and make other important investments, as it turns out, due to rising healthcare costs and other expenses connected to auto accidents, these accidents are now having a devastating impact on investment accounts and retirement funds, especially for younger generations.
This Includes Drivers Who Were Not At-Fault & Who Have Insurance
According to the National Highway Traffic Administration, more than three million Americans were involved in an auto accident 2016 alone. Those who are affected are not simply drivers who were at fault and did not have insurance; in fact, everyday auto accidents affect those hit by at-fault drivers without insurance – who totaled their car and severely injured them when they ran a red light. Auto accident victims who fail to bring personal injury lawsuits against the individual responsible often have to dip into their investments earmarked for their retirement or their children, and that includes paying penalties for going into these accounts before they reach a certain age. What this also means is that many of these individuals will not be able to purchase a home, attend graduate school, or achieve a number of other personal goals they might have.
Even if healthcare insurance covers hospitalization and rehab, and auto insurance covers the purchase of a new car, if you are left unable to work after an accident–even if your employer covers short term disability insurance–without long-term coverage, and with the number of health-related expenses that often have to be paid out-of-pocket after an auto accident, you can end up foregoing hundreds of thousands of dollars in income and additional thousands in medical expenses not covered by your health insurance.
Speak With An Auto Accident Attorney to Ensure That You Are Protected
This is why, if you have been involved in an auto accident that was not your fault, you do not want to negotiate with insurance companies on your own–even your own insurance company. A number of insurance companies fail to act in good faith when it comes to people filing legitimate claims–even when it comes to their own customers who were not at fault in the accident. It makes more sense to ensure that you obtain a free consultation with an auto accident attorney to find out what your options are so that you do not decimate your retirement funds to take care of yourself and/or your family.