Rising Medical Costs; Red Stethoscope Wrapped Around Money, White Background

Accidents are unpredictable, and their consequences can extend beyond physical well-being to impact your financial stability. Did you know that medical debt from unpaid medical bills, is the leading cause of bankruptcy in the United States? 100 million or 40 percent of U.S. adults are currently in debt because of medical bills.1 Let’s explore the two significant ways an accidental injury can affect both you and your financial standing.

Medical Costs

Undoubtedly, the most significant impact arises from the substantial medical expenses associated with accidents. Emergency room visits, ambulance rides, copays, treatment, and rehabilitation costs quickly add up. Shockingly, an ambulance ride on average can cost $2,200 2 and the cost of an emergency room visit can range from $150-$20,000 depending on the severity of the injury and your insurance coverage.3 The financial burden of such unforeseen costs can be overwhelming.

Lost Wages

In addition to medical expenses, an injury may prevent you from being able to work while you recover.  Unlike on-the-job injuries covered by Worker’s Compensation, off-duty injuries can lead to lost wages. During this recovery period, you must continue to meet financial obligations such as rent or mortgage, utilities, car payments, groceries, and more. Balancing these ongoing expenses with a sudden loss of income can create significant financial strain.

Mitigating the Financial Impact

Start an Emergency Fund

Begin building an emergency fund if you haven’t already. Even small contributions each month can accumulate over time. Aim to save 3-6 months' worth of living expenses and allocate extra for unforeseen emergencies, like unexpected medical bills.

Exercise Caution

While accidents are often beyond our control, practicing caution can help prevent certain mishaps. Simple measures like being mindful, using appropriate safety gear, and avoiding distractions while driving can contribute to the safety of yourself and your loved ones. Check out our tip sheet for winter accident prevention!

Consider Accident or Disability insurance coverage

Investing in Accident Insurance can provide cash benefits directly to you, regardless of other coverage. It can help pay for initial care, treatment, facility care, follow-up care, it even offers a sports package that pays additional benefits if you’re injured during an organized sport.4 Visit our Accident Insurance page.

Disability Insurance is another option, offering tax-free income5 to replace a portion of lost wages during your recovery. Explore these options to prepare for the unexpected. Visit our Disability Insurance page. 

Dealing with the aftermath of an accident is challenging, but proactive planning today can significantly alleviate the financial burdens of tomorrow.

To learn more about The Family Security Plan® suite of affordable insurance products visit our website or click to contact us: