Financial problems from personal injury

A personal injury means physical and mental trauma which in some cases, is life changing. It can have a devastating effect on you and your family and the impact of this cannot be underestimated.

But another important factor is that of financial distress. If you are injured in an accident or develop an illness –either of which were not your fault then this may result in financial hardship.

Loss of earnings

This is a major issue. If you have to take time off work, change jobs or are even unable to work following your accident then this will cause a range of problems.

One example of this is struggling to pay your mortgage or rent.

What can happen is that the injured person returns to work too early and before they have properly recovered from their injury. This only exacerbates their injury and may cause them to take time off again and for a longer period of time.

A claim can be made for loss of earnings, pension rights and if appropriate, a reduced life expectancy.

In regard to the last item: a severe illness or injury may have resulted in a condition or disability which is incurable and likely to shorten your life expectancy.

If this is the case then a claim can be made to secure compensation to help your family.

Time off work

A typical scenario is where someone takes time off work due to an injury which then sees their income drop. They will receive sickness benefit during this time but that is only a fraction of what they earn in a week (or month) which impacts upon their day to day expenses.

The sad fact is that even though your income reduces your mortgage/rent and utility bills stay the same. It is often the case that they increase whilst you are trying to manage on a vastly reduced income.

The main worry is that of wondering how you and your family will cope until you are able to return to work. If your injury is severe to the extent that you have had to give up work then this causes a great deal of stress for all of you.

If you are making a claim for compensation then your lawyer or solicitor can include in that a claim for loss of earnings. This claim is based upon your average salary before your accident and includes any expenses or bonuses.

Changed to a lower paid job

A compensation claim can also include the fact that you may have had to change jobs, and at a lower salary as a result of your injury. If this has been the case then your lawyer will help you apply for recompense for the effect this has had upon your career.

Had to give up work

Serious injuries such as a permanent disability may have forced you to give up work altogether. If this has happened to you then a claim can be made for future earnings.

Your lawyer or solicitor will help you this as part of your overall personal injury claim.

Debt

A personal injury can result in financial hardship such as debt. If this is the situation then seek help from any one of several organisations set up to deal with cases such as yours.

If you are in debt then the worst thing you can do is to ignore it.

Speak to someone at your local Citizens Advice Bureau or a specialist adviser.