A car accident can create much more than vehicle damage. Depending on the circumstances, an accident may result in medical expenses, lost income, property damage, insurance disputes, and other financial losses.
After a serious crash, one of the most common questions is whether hiring a car accident lawyer is necessary and how a personal injury claim works.
The answer depends on the circumstances of the accident, the severity of the injuries, the insurance coverage available, and the laws of the state where the accident occurred.
This guide explains how car accident claims generally work, when an auto accident attorney may be useful, what damages can potentially be involved, how insurance coverage works, and what to consider before accepting a settlement.
This article provides general information only. State laws and individual cases differ.
What Does a Car Accident Lawyer Do?
A car accident lawyer is an attorney who handles legal matters involving vehicle accidents and related injury or property-damage claims.
Depending on the case, an attorney may help with:
- Investigating the accident
- Reviewing police and insurance reports
- Collecting evidence
- Communicating with insurance companies
- Evaluating potential damages
- Negotiating an insurance settlement
- Preparing legal documents
- Representing a client in litigation when necessary
Not every accident requires an attorney.
A minor crash involving limited vehicle damage and no injuries may sometimes be handled directly with an insurance company.
A serious accident involving significant injuries, disputed fault, multiple vehicles, or complicated insurance coverage can be considerably more complicated.
When Should You Hire a Car Accident Attorney?
There is no universal rule requiring an attorney after every accident.
However, speaking with a car accident attorney may be worth considering when:
You Suffered Significant Injuries
Serious injuries can involve substantial medical treatment, rehabilitation, lost income, and long-term effects.
The more significant the potential damages, the more important it may be to understand your legal and insurance options.
Fault Is Disputed
If the drivers disagree about who caused the collision, evidence can become extremely important.
Relevant evidence may include:
- Police reports
- Photographs
- Dashcam footage
- Traffic-camera footage
- Witness statements
- Vehicle damage
- Accident reconstruction
- Medical records
The Insurance Company Denies the Claim
An insurer may dispute liability, coverage, the severity of an injury, or the amount of damages being claimed.
A lawyer can explain the available options and negotiate on your behalf.
Multiple Vehicles Were Involved
Multi-vehicle crashes can create complicated questions about responsibility and insurance coverage.
A Commercial Truck Was Involved
A commercial truck accident can involve additional parties and insurance policies.
Potential parties can include:
- Truck driver
- Trucking company
- Vehicle owner
- Maintenance company
- Manufacturer
- Other contractors
Truck accident claims can therefore become more complicated than a typical two-car collision.
What Is a Personal Injury Claim?
A personal injury claim is a legal claim seeking compensation for losses resulting from an injury caused by another party’s conduct, when the applicable legal requirements are satisfied.
In the context of a car accident, potential damages can include certain:
- Medical expenses
- Lost wages
- Property damage
- Rehabilitation costs
- Other economic losses
- Non-economic damages where permitted by law
The exact types and amount of compensation available depend on state law and the facts of the case.
Not every injury automatically results in a successful personal injury claim.
How Do Car Accident Claims Work?
Although procedures vary by state and situation, a claim can generally involve several stages.
1. The Accident Occurs
Immediately after a crash, safety should be the first priority.
When appropriate and safe:
- Move to a safe location
- Contact emergency services
- Exchange information
- Document the accident scene
- Seek medical attention for injuries
2. Insurance Is Notified
The drivers involved may report the accident to their insurance companies according to the policy requirements and applicable law.
Auto insurance can provide different forms of coverage depending on the policy.
The NAIC explains that liability coverage generally includes bodily injury and property damage liability, while other coverages can include collision, comprehensive, medical payments, PIP, and uninsured/underinsured motorist coverage.
3. Evidence Is Collected
Evidence can help establish what happened and how the accident occurred.
This may include:
- Photographs
- Videos
- Witness information
- Police documentation
- Medical records
- Vehicle repair estimates
- Insurance records
4. Damages Are Evaluated
The potential losses associated with the accident may be calculated.
This can include medical expenses, lost income, property damage, and other legally recoverable losses.
5. Settlement Discussions
The parties may negotiate a settlement.
If an acceptable settlement cannot be reached, litigation may become necessary depending on the circumstances.
What Compensation Can You Get After a Car Accident?
Potential compensation depends on the applicable law and facts.
Medical Expenses
This can potentially include expenses related to:
- Emergency treatment
- Hospital care
- Doctor appointments
- Medication
- Physical therapy
- Rehabilitation
- Future medical treatment
Documentation is important because medical expenses should be supported by appropriate records.
Lost Income
If an accident prevents someone from working, lost wages can potentially become part of a claim where permitted.
For example, losses may involve:
- Missed work
- Reduced earnings
- Lost opportunities
- Certain future earning losses
The calculation can become more complicated when an injury affects someone’s ability to work long term.
Property Damage
Property damage may include repair or replacement costs associated with a damaged vehicle and, depending on the circumstances, other property.
Auto insurance coverage can address vehicle damage depending on the applicable policy.
The NAIC explains that collision coverage generally addresses damage to the insured vehicle caused by a collision, while comprehensive coverage generally addresses certain non-collision losses such as theft, weather, and fire.
Pain and Suffering
Some personal injury laws allow compensation for certain non-economic losses such as pain and suffering.
The rules for calculating and recovering these damages vary by state.
They can depend on factors such as injury severity, treatment, recovery time, and long-term effects.
How Much Is a Car Accident Settlement Worth?
There is no reliable universal number.
A car accident settlement can vary dramatically depending on:
- Severity of injuries
- Medical expenses
- Lost income
- Property damage
- Insurance limits
- Evidence
- Liability
- State law
- Long-term impact
- Whether multiple parties are involved
A serious injury case can have a very different value from a minor accident involving temporary discomfort and limited treatment.
Be careful with websites that promise a specific settlement amount without knowing the details of the accident.
How Insurance Coverage Affects a Car Accident Claim
Insurance coverage can be one of the most important parts of an accident claim.
Bodily Injury Liability
Bodily injury liability generally covers certain injuries caused by an insured driver to another person when the insured driver is legally responsible.
Property Damage Liability
Property damage liability generally addresses covered damage caused by an insured driver to another person’s property.
Uninsured Motorist Coverage
Uninsured motorist coverage may provide protection when an insured driver is injured by an uninsured driver or certain hit-and-run situations, depending on the policy and state law.
Underinsured Motorist Coverage
Underinsured motorist coverage may apply when the at-fault driver has insurance but the available limits are insufficient to fully cover a covered loss.
The exact requirements and availability vary by state.
What If the At-Fault Driver Has No Insurance?
An uninsured driver does not necessarily mean there is no possible insurance coverage.
Depending on the state and policy, an injured person may have access to:
- Uninsured motorist coverage
- Medical payments coverage
- Personal injury protection
- Other applicable insurance
Uninsured motorist coverage requirements vary by state.
The NAIC notes that most jurisdictions require auto liability insurance, although coverage requirements differ by location.
Can You Sue After a Car Accident?
Whether someone can bring a lawsuit depends on the facts and applicable state law.
Potential issues can include:
- Who was responsible
- Whether another party was negligent
- The nature and severity of injuries
- Available insurance
- Applicable deadlines
- State-specific rules
Some cases are resolved through insurance negotiations without a lawsuit.
Others may proceed to litigation when the parties cannot reach an acceptable resolution.
An attorney can explain the legal options that apply to a particular case.
What Is Negligence in a Car Accident?
Negligence generally involves failing to exercise the level of reasonable care required under the circumstances.
Examples can include allegations involving:
- Distracted driving