After a car crash, you might struggle to recover from significant injuries. Your car might be totaled, and your life completely turned upside down. How will you collect the money you need to recover and rebuild your life? What are the types of compensation after an auto accident in Arkansas?
Unfortunately, not all car accident victims can collect compensation after a car accident. Collecting compensation depends mainly on the type of insurance you carry, the other driver’s insurance, and who is responsible for the crash.
Can you collect compensation for medical expenses and other damages? Or are you on your own?
When a car accident derails your life, you need answers, and you need a law firm on your side that can help you find those answers. At Rainwater, Holt & Sexton, our auto accident lawyers can help you collect the compensation you are entitled to, so you can focus on what’s most important – your recovery.
After a car accident in Arkansas, you might wonder what type of compensation you can receive. Types of compensation available to you will vary depending on the type of accident, your injuries, and the insurance policies involved.
In general, accident victims can seek to recover compensation for both economic and non-economic damages, although some types of compensation may be subject to Arkansas tax.
Economic damages include anything easy to quantify. They’re based on financial losses and evidence, such as receipts and bills, including medical expenses, car repairs, and lost wages.
Non-economic damages include anything that is not easy to quantify, resulting in damages, including pain and suffering and decreased quality of life.
If another person’s negligence has damaged your car or motor vehicle, you can seek compensation for that loss. Damages could include the cost of repair or replacement if necessary. After an accident, it is a good idea to get a quality estimate on what it will truly take to repair your car. Your estimated quote should be an amount that is sufficient to repair your vehicle to the highest standards.
Injured accident victims are eligible to receive compensation for their medical expenses and any future, anticipated medical expenses, such as additional corrective surgeries or ongoing medications. Your lawyer will speak with your doctor to help determine how expensive your medical costs will be, both now – and in the future.
After an accident, you are entitled to seek compensation for pain and suffering. This could be money to compensate you for mental anguish, PTSD, depression, and physical pain. It can be challenging to put a dollar value on pain and suffering, and insurance companies work very hard to limit the amount of non-economic damages they pay.
Loss of consortium refers to the loss of married life or parenting benefits. When you suffer serious and life-changing injuries in an accident, this can rob you and your spouse of important marital time. You may not be able to show affection in the same ways as you did before the accident. In addition, your injuries may prevent you from being a part of your kids’ lives and from parenting in the way you would have done before the crash.
A car accident can rob you of the ability to enjoy the life you once had. Your injuries can prevent you from participating in an active lifestyle and enjoying hobbies. Your mental health troubles, such as PTSD might even prevent you from enjoying family gatherings or vacations. You can seek compensation for the loss of enjoyment you feel and the impact this has had on your life.
Injured accident victims may get an award for punitive damages in certain circumstances. These damages are meant to punish reckless drivers for their actions. They are not common, and an attorney can review your case to determine if punitive damages may be awarded.
Fault plays a big role in who pays for damages after an auto accident in Arkansas. If you’re found to be at fault, you may have to pay for the other driver’s damages. If the other driver is at fault, they may have to pay for your damages. In some cases, both drivers may be found to be at fault, and both may have to pay for each other’s damages. Arkansas’ modified comparative fault rule applies.
In general, the person responsible for your accident is responsible for paying for damages. If the liable party has insurance, their insurance company will pay for damages. If the liable party does not have insurance, you may need to seek compensation from your own insurance company and your uninsured motorist policy.
It’s important to note that fault is not always cut and dry. In some cases, both drivers may be partially at fault. For example, if one driver ran a red light, but the other driver was speeding, they may both be at fault.
Each insurance company is different, but there are some general guidelines about what kinds of damages your policy will cover after a car collision in Arkansas. Here’s a rundown of the most common types of coverage and how they can impact your claim:
This type of coverage will usually pay for damages caused by your negligence. For example, if you cause a car accident, your liability insurance would cover the other driver’s medical expenses and property damage. If you wish to pay for your own medical costs after you cause an accident, you can purchase an additional Personal Injury Protection (PIP) policy.
This coverage will help pay to repair or replace your own vehicle if damaged in an accident. You’ll likely have to pay a deductible before your insurance company covers any repairs, whether you have collision coverage. It does not pay for damage done to your vehicle that is not related to driving, nor does it cover damage to another person’s car.
This coverage protects you from damages not caused by a collision, such as theft, vandalism, or weather damage. Like collision coverage, you’ll usually have to pay a deductible before your insurance company covers any repairs. This type of insurance is optional in Arkansas. However, many lenders require it.
UM/UIM stands for “uninsured/underinsured motorist” coverage. If you’re in an accident with a driver who doesn’t have insurance or doesn’t have enough insurance to cover the damages, this coverage will kick in to help cover the costs. In Arkansas, UM/UIM insurance is optional. However, it is a valuable policy to purchase because many drivers are underinsured.
Keep in mind that each insurance company is different, so it’s important to read your policy carefully to understand what kinds of damages are covered. If you’re ever in doubt, you can always reach out to your car accident attorney for clarification.
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When insurance adjusters determine the value of a car accident claim in Arkansas, they begin trying to look for any way to deny or reduce your compensation. They must look for ways to pin some blame on you or claim that you had a pre-existing injury.
When calculating the value of a claim, they typically use one of three methods: the multiplier method, the damage formula, or the per diem method. Your attorney can review these methods with you and help you understand the true value of your claim.
The multiplier method is the most common way that insurance adjusters determine the value of a claim. The adjuster will take the total amount of damages and multiply it by a factor to determine the final payout amount. The factor can be based on the severity of the damages and the policy limits.
For example, suppose you suffered injuries in a car accident and racked up $10,000 in hospital bills and medical expenses. The insurance adjuster may decide to multiply the medical expenses by 3 to help them arrive at a starting point for negotiations. Using the multiplier method, they will determine your pain and suffering to be $30,000. Any settlement they offer will factor in this amount, plus compensation for the medical bills and any additional lost wages.
There are limitations and disadvantages to using the multiplier method, as with any process. While it may be pretty straightforward, it is inconsistent. An accident victim with a spinal cord injury could find one adjuster using a multiplier of three, while another may use a multiplier of two.
In addition, the multiplier method only looks at medical bills and other tangible bills. It fails to consider an accident victim’s true pain and suffering and living circumstances. A victim who owes less medical expenses may experience more pain and suffering.
For example, a surgeon who suffers a hand injury may have significantly more pain and suffering because of their inability to continue in their chosen profession than someone who works a desk job. Pain and suffering are unique and should be calculated to accurately reflect the victims and their suffering.
The damage formula is another way that insurance adjusters may determine the value of a claim. The adjuster will calculate the cost to repair or replace the damaged property with this method. They will then subtract any depreciation from that amount to get the final payout figure.
The per diem method is typically used for claims where there is a loss of use of the property. With this method, the insurance adjuster will calculate the daily rate for the loss of use and multiply it by the number of days the property was unavailable. This will give them the final payout amount.
It is important to note that insurance companies will often use different methods to determine the value of a claim, so it is difficult to say definitively how much a claim may be worth. However, understanding how insurance adjusters determine the value of a claim can help you better understand what to expect from your insurance company when you file a claim.
To calculate a rough estimate of how much you may be owed after a car accident in Arkansas, you will need to consider a few different factors.
Once you have all of this information, you can begin to calculate a rough estimate of how much you may be owed. However, it is important to remember that this is only a rough estimate, and the actual amount you are owed may be different.
We’ve all seen the car accident settlement calculators online. You enter some basic information about your car accident in Arkansas, and boom – you have an estimated value of your claim.
But how accurate are these calculators?
The truth is, they’re not very accurate and can be misleading.
Here’s why:
If you’re like most people, you probably don’t have a lot of experience dealing with insurance companies, making it difficult to estimate the value of your car accident claim.
An experienced lawyer can help by providing an accurate estimate based on their deep expertise and knowledge of various insurance companies.
In addition, an Arkansas lawyer can help negotiate with the insurance company to get you the maximum compensation possible for your car wreck claim. Contact a qualified car accident lawyer today to learn more about how they can help you get the compensation you deserve.
Being involved in an auto accident is terrifying and can cause significant financial burdens to you and your family. State law allows accident victims to collect specific types of compensation after an auto accident in Arkansas and contacting an experienced attorney can help.
With offices throughout Arkansas — Little Rock, Springdale, Conway, Hot Springs, Bryant, Jacksonville, and Jonesboro– our personal injury lawyers are easily accessible when you need help.
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