Whether you’re accident-prone or extremely graceful, that doesn’t matter, as there’s this one fact: All it can take is one accident to forever change your life. Even if you eventually recover from it, it can have such significant and immediate effects that you aren’t able to work.

You’ve already got your hands full dealing with the pain and recovery of your accident. Add a loss of income on top of that, and it can be an extremely difficult time.

Luckily, navigating income loss is possible, and you can focus on recovering with less stress. Here are some effective ways to deal with personal injury income challenges.

File an Insurance Claim for Lost Wages

The good news is that there are several insurance options that can cover income loss. The main ones are auto insurance, workers’ compensation, and disability insurance.

Auto Insurance

The first avenue is personal injury protection, or PIP. Many auto insurance policies include PIP, which will cover both lost wages and medical expenses. What’s great about this is that you’ll have coverage, regardless of who’s at fault.

Another route is uninsured/underinsured motorist coverage (UM/UIM). If you’re the at-fault driver but don’t have sufficient insurance, then UM/UIM will help you recover lost wages.

The last is liability insurance, which is beneficial if another driver was responsible for the accident. You can claim lost income from their policy.

Workers’ Compensation

You can explore workers’ compensation if you were injured while performing job duties. In most states, you’ll get temporary disability benefits, which replace a certain percentage of lost income during recovery; this is usually 60-70%.

If your injury leads to permanent disability, then you may qualify for permanent disability benefits.

Disability Insurance

Some people may have short-term disability (STD) insurance through a private policy or their employer. With this, you’ll typically get income replacement for three to six months.

There’s also long-term disability (LTD) insurance. If you have to be out of work for a prolonged period, then LTD benefits can provide income for years or even a lifetime.

File a Personal Injury Lawsuit

Are you hurt because of another party’s negligence? Then filing a personal injury claim can help you recover financial losses.

Of course, you can receive compensation for lost wages, as you’ve missed work due to the injury. In addition, you can be compensated for the loss of earning capacity if you can no longer work at the same level as you did before.

On top of that, a personal injury lawsuit can cover your medical expenses that have resulted from the accident, both current and future. Should you have physical and emotional distress, you’ll get compensation for those too.

You’ll have to prove your lost income in the lawsuit, so gather the appropriate evidence first. Useful documents include:

  • Pay stubs and tax returns (income before the accident)
  • Employer statements (verify missed workdays and wages)
  • Medical records (demonstrate how the injury prevents you from working)

Apply for Government Benefits

There are ways to get income loss compensation from the government too.

You pay into Social Security, so you should be able to take out of it as well. Those who have long-term disabilities that last over a year may qualify for Social Security Disability Insurance (SSDI). Do note that approval can take months though, so apply as soon as possible.

There’s also Supplemental Security Income (SSI). This is intended for people with low income and limited assets, as it provides additional financial support for peace of mind.

In some states, there are state disability benefits available, like in California, New York, and New Jersey. If you’re unable to earn an income due to your injury, then check with the state to see if you can receive help.

Seek Financial Assistance and Alternative Income Sources

We understand that personal injury costs aren’t cheap, so finding any avenue to raise money can take a load off your shoulders.

First, check with the nonprofit organizations in your area, as well as charities and local government programs. Many offer rent assistance, food aid, and utility assistance, all of which can decrease your financial burdens.

Also, if you’re physically able to work, consider freelancing or consulting in your field. There’s online work too, which eliminates the need for commuting.

If you aren’t able to work at all, then try crowdfunding. Not only can you raise money from friends and family, but also from the community. You’d be surprised at how much people want to help, and if your social network shares your crowdfunding link passionately, you might get enough funding to rest and recover comfortably.

Negotiate With Creditors and Lenders

It’s difficult to build credit, but easy to lose it. Don’t put your future at risk and take action today; negotiate with creditors and lenders as soon as you know you can’t make payments.

Credit card companies, mortgage lenders, and utility providers can all work with you. You can request temporary payment reductions, deferments, or hardship plans, which will all allow you to focus on getting better with less worry.

Several financial institutions also offer emergency assistance programs, and yours may as well. This can come in handy when you’re faced with income loss.

Overcome Loss of Income and Get Peace of Mind

In most cases, people never see an accident coming, much less one that severely injures them. You can’t plan for how it’ll affect your life, but a loss of income is very possible.

To avoid preventable hardships, you should use the above legal methods to regain control. With things like insurance claims, lawsuits, disability benefits, and financial assistance programs, you can reach financial stability again. And if you consult with a reputable attorney or financial advisor, you can maximize your compensation and get through the legal process confidently.

Do you need a reliable personal injury attorney to represent you in your accident case? Then schedule a free consultation with Kearney, Freeman, Fogarty & Joshi, PLLC. We’ve served the Fairfax area for over 30 years and are dedicated to every case we handle.