Car Accidents, Medical Expenses, and Bankruptcy

Nashville Car Accident Lawyers Who Care About Your Future

While bankruptcy can happen for multiple reasons, the financial debt one may accumulate after an automobile accident is a common cause.

In some cases, you may be underinsured or the other driver involved might not have an insurance policy that will cover all of your expenses. Even worse, they could have no insurance coverage at all.

If you’re left paying out of pocket for your medical expenses and damages after an accident or your insurance does not completely cover an accident in which you were at fault, filing for bankruptcy may be the only option you have.

At Mitch Grissim & Associates in Nashville, Tennessee, we understand that a disaster can happen at any moment. When you’ve been in a car accident, it can be overwhelming to handle alone. Our Nashville car accident lawyers want to guide you through the legal process to help ensure you don’t receive a low settlement for your injuries.

Tennessee Car Insurance Requirements

According to The Department of Motor Vehicles (DMV), all drivers are required to have liability insurance. Listed below are the required minimum limits:

• $25,000 for each injury or death per accident
• $50,000 for total injuries or deaths per accident
• $15,000 for property damage per accident

Other options are available for additional protection above the required minimums such as collision, comprehensive, and uninsured motorist coverage.

What If You’re Underinsured or Uninsured?

Esurance stated, “1 in 8 drivers are uninsured.” If you’re the driver at fault in a car wreck and your insurance policy does not cover all the claims filed by the other driver, filing a Chapter 7 or Chapter 13 bankruptcy could reduce or eliminate the amount you’re held liable for or required to pay out of pocket.

What If the Other Driver Is Underinsured or Has No Insurance?

If you are involved in a motor vehicle accident where the other driver is underinsured or has no car insurance, uninsured motorist coverage may be your best option. This type of coverage protects you in the event that the other driver does not have insurance, or their coverage is not high enough to cover all the damages and medical expenses you suffered.

If you don’t have uninsured motorist coverage included in your policy, then you could file a lawsuit to go to court. However, keep in mind that if the driver at fault does not have insurance or sufficient coverage, they probably won’t have the money to pay you if you choose to take them to court.

What Happens When You Have to Pay?

If you have not filed for bankruptcy, some of the expenses you may be charged for could include:

Wage Garnishment: An Order Set By the Court

A wage garnishment is when the court has issued an order that requires your employer to withhold a certain amount of money from your paycheck that is to be sent to an institution or individual until your debt is paid off.

Medical Expenses

Medical expenses can pile up quickly when you have been injured, and if you don’t have your own personal health care insurance, you may be stuck with those medical bills. These expenses can include, physical therapy, medication, and doctor appointments.

Property Damage

Property damage includes any damage done to your vehicle and can include repairs or car replacement.

Wage garnishment, medical expenses, and property damage can lead you to file for bankruptcy if you’re unable to afford the payments.

Contact Our Car Accident Attorneys

At Mitch Grissim & Associates, we know how debt after a car accident can put you or your family in a bind for money. Car accident debt and medical expenses can greatly impact your finances.

We serve our clients with the utmost respect and dedication because we believe they deserve reliable legal representation. Whether you were injured in a truck accident or motorcycle accident, we can help.

If you or a loved one has been injured in an accident and you’re uncertain about the next steps, call our law firm to speak with one of our Nashville car accident lawyers at 615-255-9999 or fill out our free consultation form.