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Interesting Statistics Around Car Accident Loans

by Eliza Beth - 19 Jun 2022, Sunday 184 Views Like (0)
Interesting Statistics Around Car Accident Loans

1. Global Car Accident Statistics: According to the CDC, a staggering 1.5 million people die on the roads every single year. 3,700 people die every day due to crashes. Cyclists, pedestrians, and motorcyclists take up over half that number.


Non-fatal injuries that lead to disabilities are as high as 20 to 50 million. By the year 2030, fatal and non-fatal injuries will cost the global economy over $1.8 trillion. Without a doubt, road safety is a critical issue that has long-reaching effects.  


2. Car Loan Funding Usage: You may be wondering what a majority of recipients of car accident loans use the funding for. Many people will use the money to pay rent and avoid foreclosure.


It makes a lot of sense if you take into account the fact that 78% of families within the US live paycheck-to-paycheck. They only manage to put away 3 weeks of reserve funds for rainy days. This brings us to statistic number two. 


3. Length of Accident Claim Settlement: You would think that insurance companies take a short time to settle claims if all the documents are in order. But, it can take anywhere between 6 to 12 months to settle. And, this applies to a case where you do not file a car accident lawsuit. If the case reaches the court system it will take a much longer time.


Now, letís go back to the point we made above. Families only have enough reserve funds to last for 3 weeks. After that time, it will be a real struggle to survive. During this time, applying for car accident lawsuit funding can provide some relief.  


4. Car Funding Approval Rates: One thing that makes car loans so attractive is that the qualification process is not as stringent. If you have ever had to apply for a traditional loan, you know how stressful the process can be. You have to be patient as the lenders run credit history checks. Poor credit scores mean high-interest rates on whatever amount you borrow.


Car funding approval ratings are as high as 78%. It is only in rare cases that lenders will turn down an application. Do note, to qualify you must have an active lawsuit. Your lawyer must also approve of the third-party legal funding.


Your case should be strong enough, thus improving your chances of winning. Remember the funding company will be assuming all the risk. They would not want to sink their money into a case that could see them losing the cash advance they give you.  


5. Car Accident Settlements: It is interesting to note that out-of-court settlements for personal injury cases are as high as 95%. Up to 57% of car accident cases favor plaintiffs.


Now, what happens in the case that the defendant wins the case and you have a car accident loans? Well, as we stated above, you only pay the funding company when you win the case. The non-recourse clause removes any obligation on your part to use your money to repay. The collateral for the loan is your settlement.   


Reading statistics on road accidents can send a shiver down your spine. In the worst-case scenario, the result is fatalities. Those who survived may have to contend with disabilities or other implications. Without a doubt, such times can be crippling on so many levels. We are talking about physical, emotional, and financial implications.  


Taking car insurance is a legal requirement. It provides compensation in case you get into an accident. The underwriters will take care of medical bills and damages depending on the cover you take.