Car accidents can come at a cost to your health, safety and unfortunately, your wallet.
Each year, millions of people experience a motor vehicle accident, causing concern for one’s health and safety. In 2019, the National Highway Traffic Safety Administration (NHTSA) estimated that there were 6.76 million police-reported traffic crashes, including an estimated 36,096 fatalities and 2.74 million people were injured. However, these accidents not only can affect one’s health, but can come with financial burdens.
Annually, car accidents cost the United States $230.6 billion and these costs can affect the individuals, businesses, and the surrounding communities involved. For companies and businesses, work-related accidents can be expensive and in 2013, they cost employers $47.4 billion. These expenses may include a loss to the workplace, medical costs, insurance, loss to productivity, and property damage. For individuals, the average cost of a car accident can range from $10,000 to over a million dollars. The costs of car accidents are dependent on various factors and liabilities.
What factors contribute to the cost of a car accident?
Concerning the costs of a car accident, there are varying factors that all contribute to the cost of a car accident. For instance, when you experience an accident, the damage caused by minor car crashes is drastically different from a head-on collision. Based on the damage to the vehicle and severity of the crash, the cost of repairs and the cost of the automobile itself will contribute to the expense of one’s accident.
Furthermore, a significant factor in the cost of accidents is the extent of injuries and fatalities. Emergency room expenses, ambulance rides, hospitalization, physical therapy, and continued medical treatment following an accident can factor into the cost of the crash. In the United States, accidents involving fatalities have an average cost of $1.41 million per death and the average cost of an accident with a non-fatal disabling injury can cost $78,900. Also, if there are passengers in the vehicle, the extent of their injuries can also contribute to the cost of the accident and you may be liable for damages.
Additionally, where the accident took place and the property damage can influence the cost of the accident. If the accident occurred outside a store front or involved a person’s home fence, the cost of these damages can contribute to the overall cost of the crash and you may be liable for the costs.
If you’re an employer and one of your workers is involved in work-related accidents, the cost of the accident is dependent on liabilities, the extent of injuries and damage. In addition, these accidents can further cost businesses due to a loss to the workplace, medical costs, insurance expenses, loss to productivity, and property damage.
Multiple parties suffer from the financial burden of car accidents and the struggle remains as these costs continue to rise. Car accidents can be tough physically and financially, and it’s important to understand what factors contribute to the cost of a car accident.