There were 2,607 people seriously injured in South Carolina car accidents in 2020. Catastrophic car accident injuries change lives and can impact a person financially and personally.
Bobby Jones Law explains the financial impact of a catastrophic injury car accident.
What Is the Financial Impact of Catastrophic Car Accident Injuries?
The National Highway Traffic Safety Administration (NHTSA) reports that the financial impact of a critically injured car accident survivor is $979,000. Medical expenses and lost income are the largest contributors to the financial impact of catastrophic car accident injuries.
Statistics—Financial Impact of Catastrophic Traffic Accident Injuries
- NHTSA reports that traffic accidents cost the U.S. economy $340 billion in 2019. The figure represents 1.6% of the U.S. gross domestic product.
- Alcohol-related crashes account for 20% of the economic loss from traffic accidents.
- Nonfatal traumatic brain injuries incur $40.6 billion in healthcare costs each year.
- The average cost for a person requiring hospitalization for accidental injury was $52,250 in 2019. In addition, these individuals sustained an average of $7,820 in lost income.
- The National Security Council reports an average cost of $162,000 per disabling injury in 2022.
What Are Catastrophic Car Accident Injuries?
Catastrophic car accident injuries are life-changing injuries. They are injuries that are serious enough, because of their nature or duration, that the course of the person’s life will change.
The worst car accident injuries may be catastrophic because they:
- Impair a person’s mobility
- Limit a person’s independence
- Cause debilitating pain
- Require extensive medical intervention
- Involve major organ damage
- Result in burns over a person’s body or disfigurement
- Cause paralysis
- Significantly shorten life expectancy
- Prevent a person from working and earning an income
Immediate Medical Costs After a Catastrophic Car Accident
Immediate medical costs after a catastrophic accident will include stabilization, diagnostic, and comfort care. A person will need evaluations and imaging tests to diagnose injuries. Organ damage and bleeding will need to be addressed quickly. The person may need stabilization to prevent additional harm. Immediate medical attention can minimize the risk of complications and infection.
Because not all severe injuries are immediately apparent, a person may remain under observation for a period. After emergency attention, a person may need more surgeries, treatment, and diagnostic care. They may be transferred to long-term care to begin rehabilitation.
Long-Term Care Expenses for Catastrophic Injuries
Long-term care expenses for catastrophic injury may address medical needs, rehabilitation, and personal care. A person with catastrophic injuries will likely need ongoing medical care. They may need mobility devices replaced and updated. If they are an amputee, they may have artificial limbs that require fitting and replacement. Organ damage may require periodic health checks.
In addition, the person may benefit from rehabilitation. Rehabilitation will focus on the person’s needs and prognosis. They may benefit from physical therapy to learn to walk and improve fine motor control. They may learn new ways of communicating. Training can cover learning how to use a wheelchair or other mobility devices. Mental health care can help a person process the mental and emotional anguish of their injury.
The cost of long-term care expenses covers both therapies and the person’s daily care. A person with catastrophic injuries is likely unable to care for themselves for a period of time.
Lost Wages and Reduced Earning Capacity
Serious car accident injuries will likely impact a person’s wages and reduce their earning capacity. If a person is not yet retired, or if they are a young person who has not entered the workforce, they are likely to have reduced income. Over the course of a lifetime, this may be a significant amount.
Catastrophic injuries are likely to impact a person regardless of their profession. A person who is a general laborer will have their career impacted by catastrophic injuries. Likewise, a person in a skilled profession is likely to have career limitations because of their injuries. To the extent these changes can be identified, they can be included in a legal claim.
Note: A family may experience financial loss because of the loss of household services that the injured person used to provide for the family. For example, children may need childcare, whereas before, a parent provided the care. This is a type of economic loss because of catastrophic car accident injuries.
Non-Economic Damages: Pain, Suffering, and Quality of Life
In addition to all the ways that a person with catastrophic car accident injuries suffers financially, they also suffer in their quality of life. Severe physical injuries are often extremely painful. A person may be physically and mentally adapting to limited mobility. They may have changes to their social circle. Activities they used to enjoy may now be impossible.
These changes to quality of life are not a financial impact of catastrophic car accident injuries, but they are a very real and devastating loss to the people who experience it. Non-economic damages may be a part of a compensation claim brought by the victim. The amount should be proportionate to the severity of injuries. In a case of life-changing injury, the amount awarded may be significant.
How Insurance Policies Handle Catastrophic Injury Claims
Unfortunately, insurance companies often fight catastrophic claims. They’re high-value claims, so the insurance company may try especially hard to reduce their costs by refusing to pay.
Remember that the insurance representative is an adversary. They’re not on your side. You can’t count on them to tell you what your claim is worth. You must identify all sources of compensation, including future damages. You will need to support your claim with documentation, including medical records and testimony, factual witnesses, and other financial information.
A settlement may be appropriate, but you may need to take your claim to court.
Contact an Experienced Car Accident Lawyer
If you or a loved one has suffered catastrophic car accident injuries, you already know the financial impact can be severe.
Contact an experienced car accident lawyer at Bobby Jones Law. We help people like you take on the insurance companies and protect their futures. Call or message us now.