A traffic accident can be one of the most traumatic events in a person’s lifetime. Besides lasting emotional and physical trauma, medical bills and lost wages can lead to severe financial hardship. An injured person can file a claim with their insurance carrier, but this may not be enough to cover their losses.
Pennsylvania drivers may also have the right to sue a negligent driver after an accident, but this depends on their insurance policy. If you opted out of “no-fault” coverage, you can seek legal compensation after a collision and apply for our Pennsylvania car accident loans from High Rise Financial.
Pennsylvania’s Unique Insurance System and Your Legal Rights
Most U.S. states are either “no-fault” or “at-fault.” No-fault means victims file claims with their own insurance company, no matter who was liable for the accident. Conversely, in at-fault states, the negligent driver is responsible for damages, and victims can sue them for additional compensation.
Pennsylvania is one of three states in the Union considered choice no-fault. This hybrid arrangement allows you to decide if you want to remain in the no-fault system or opt out.
- If you choose no-fault: No-fault or limited tort insurance policies usually have lower premiums and faster payouts. However, they also restrict your ability to sue the at-fault driver if you are hurt in an accident.
- If you opt out: Alternatively, you can choose a full tort policy when purchasing car insurance. These policies cost more, but they preserve your right to sue for damages and obtain pre-settlement legal funding if you’re injured in a wreck.
What Is Pre-Settlement Funding?
Pre-settlement funding, also sometimes mistakenly called a loan, is a way for a plaintiff in an active lawsuit to get early access to some of their future compensation. A Pennsylvania car accident loan is a form of legal funding.
Acquiring this money immediately rather than waiting months or years for your case to conclude can help relieve the financial pressure that can result during and after a personal injury lawsuit.
Your creditors won’t wait while your case winds its way through the system; however, you can avoid missed payments when you receive pre-settlement funding. In addition, you can use the cash for nearly any expense, including household costs, vehicle repair or replacement, and medical bills.
As we’ve said, people sometimes refer to pre-settlement financing as a loan, but it’s not a loan. You are not obligated to pay it back or make monthly payments during your legal proceedings.
If you win your case, we’ll collect repayment from your settlement, and if you lose, the funds are yours to keep. We won’t send your account to collections, seize assets, or garnish your wages the way traditional lenders do.
When Can You Sue and Get Legal Financing in Pennsylvania?
Pennsylvania’s automobile insurance and tort regulations are complicated, and it can be challenging for injured motorists to understand their legal rights. However, knowing whether you are allowed to seek compensation from the driver who caused your injuries could prevent wasted time and unnecessary hassle.
You can only get legal funding if you have a pending lawsuit, so anything that prevents you from filing a legal claim will also interfere with your ability to apply for funds. You are allowed to sue the party responsible for your accident in Pennsylvania and apply for pre-settlement funding if:
- You opted out of the no-fault insurance restrictions when setting up your policy. This frees you from any limits on your ability to sue, allowing you to get compensation for financial losses and non-economic damages like pain and suffering.
- You are less than 51% at fault for the accident. Anything above this threshold means you are more liable than the other driver, and the courts would not accept your case.
- You have a no-fault insurance policy, but you sustained disabling or disfiguring injuries. In this case, you can only seek compensation for economic losses like lost wages or doctor bills. You cannot get an award to compensate you for the pain or emotional trauma you endured.
- It has been less than two years since your accident. Any longer than that, and your personal injury lawsuit would be invalid under Pennsylvania’s statute of limitations found in Pa. Code § 5524.
Determining Your Pennsylvania Car Accident Lawsuit’s Value
When we approve your legal funding application, we will give you up to 20% of your lawsuit’s value. That means if you can reasonably expect a $100,000 settlement or jury award, we may be able to provide you immediate access to as much as $20,000.
Of course, your lawsuit may be worth more or less than $100,000. So, how do you calculate your Pennsylvania car accident lawsuit’s value? Here are some of the factors we will consider in our calculations:
- The degree of damage you sustained in the accident: More severe injuries cost you more, so the defendant will have to pay a higher dollar figure to reimburse you fairly. A more significant potential settlement means a case with a higher valuation.
- Whether you were partially at fault for your injuries: You can seek compensation for your injuries even if you are up to 50% to blame for the accident. However, your settlement will be reduced by your portion of responsibility, which also decreases your case’s value.
- The defendant’s insurance policy coverage limits: Drivers in Pennsylvania must carry bodily injury coverage of at least $15,000 per person and $30,000 per accident. If the at-fault party has higher limits on their policy, your lawsuit will be worth more because you can expect to recover more money in your settlement.
Qualifying for a Car Accident Loan in PA
If you had concerns that you would not qualify for a Pennsylvania car accident loan, you will be pleased to learn that high-rise financial stipulations are not designed to make you jump through hoops. We simply require:
- Recipients must be represented by a legal advocate
- Your legal advocate must anticipate a settlement
- You must be at least 18 years old
There is no minimum credit score needed, nor do we need to see proof of income or request credit references. Our Pennsylvania car accident loans are non-recourse, so you will not have to pay them back unless your attorney wins your case. Your car accident settlement will then be used to repay your car accident loan. Car accident loans cannot be repaid in any other way.
Get No-Risk Legal Funding for Your Pennsylvania Lawsuit
When you apply for car accident legal funding in Pennsylvania through High Rise Financial, we won’t analyze your credit history, income, or bank account balances. All that matters is that you have a winnable case and an attorney who agrees to participate in the funding process.
If you meet these criteria, we can approve your application within one hour and have the funds in your bank account by the next business day. We won’t collect an application fee or compound interest, and we’ll never hit you with surprise charges. Applying with us is risk-free, so you have no reason to delay. Contact our team to learn more, or get started today.