Fighting For Your Rights

How to cover your bills while your legal claim is pending

On Behalf of | Aug 2, 2022 | Motor Vehicle Accidents

For a lot of car accident victims, money was tight before their wreck. Now that medical bills in excess of their insurance coverage are coming due, especially in conjunction with the reality that they’ve had to take significant time off work to focus on their recovery, it’s becoming impossible to make ends meet.

If you’re in that situation, then you’re probably stressed to the max, wondering how you and your family are going to get by. Although a lawsuit against the driver who caused your wreck may eventually give you the relief that you need, the reality is that you may not be able to wait that long.

How can you cover your bills while the legal process plays out?

Although you might feel completely overwhelmed, there’s good news. There are ways to cover your medical costs and your everyday expenses while you wait for your legal claim to play out. Here are some of the options at your disposal:

  • Negotiate a hospital lien: Your medical provider is probably going to understand that you don’t have the money upfront to pay your medical bills, especially if they’re extensive. If they know that you’re pursuing a personal injury lawsuit, then they’ll probably give you reprieve in exchange for what is essentially a promise to pay the hospital once your claim resolves. This can buy you time and give your medical provider the reassurances that it needs.
  • Pursue a lawsuit loan: To help pay your rent or mortgage, cover your utilities, and put food on the table, you might have to turn to a lawsuit loan. These loans use your legal claim as collateral, meaning that you’ll have to pay the loan back if and when you settle or otherwise win your case. Just keep in mind that these loans carry interest, which means that they could be more expensive than you anticipated. Also, you’ll still be on the hook for paying the loan back even if you don’t win your legal claim. So, there is some risk here.
  • Rely on your savings: If you’re fortunate enough to have savings to help cover your losses, then you can turn to those in your time of need. Just make sure that you’re keeping track of what you pull from your savings so that you can seek reimbursement through your personal injury claim.
  • Ask your loved ones for help: Another option is to seek out assistance from family and friends. We know that can be tough, but they’re here to help you. If it makes you and your loved one feel more comfortable, you can put any loan agreements in writing so that each person’s expectations and obligations are clear.

Focus on your recovery while an attorney focuses on your legal claim

You’ve got a lot on your plate in the aftermath of a car accident. And what you really need to do is focus on your recovery and support. That can be tricky to do when you’re trying to navigate a legal claim.