A collision on the road is traumatic for all parties, but it’s even worse when you’re at fault. Besides the guilt, North Carolina is an at-fault state. If your insurance isn’t sufficient to cover damages, the other driver can sue you for compensation. This can hurt your bank account or even lead to the liquidation of your assets. In this scenario, many fear the risk of losing their home. This leads us to the question," Can I lose my house due to an at-fault car accident in NC?".
What Happens After an At-Fault Car Accident in NC?
In North Carolina, courts may hold an at-fault driver liable for the damages. This includes medical expenses, property damage, and other related costs. Ideally, your insurance will be able to cover everything. But if your coverage falls short, the other driver can pursue a lawsuit against you to recover the balance.
Can I Lose My House Due to an At-Fault Car Accident in NC?
The question "Can I lose my house due to an at-fault car accident in NC?" comes up a lot after an accident. When the defendant loses a car accident lawsuit, the law states they must pay the awarded damages. But most people don’t have the cash on hand to pay for an expensive accident. If you can’t pay, the plaintiff may target your assets. It’s possible that this can result in the loss of your home.
However, seizing a person’s home is an extreme step. Usually, courts will take every other measure to collect the funds. Even in severe accidents, robust insurance can cover all of the damages. If the remaining balance isn’t too large, then selling your home won’t be necessary. Losing your home in an at-fault car accident in North Carolina is only likely in accidents with serious injuries or even fatalities.
Liens and Forced Home Sales
If a court judgment is passed against you, the plaintiff can place a lien on your property. A lien is a legal claim on your property, which means that if you sell your house, you must pay off the lien from the proceeds of the sale. However, this doesn’t force you to sell your home and leaves you with other avenues to cover your debt. Forced sales can happen, but this is less common. In most cases, a forced sale will only occur in extreme cases where other collection methods have failed.
Avoiding Losing Your Home in a Car Accident
The best way to protect your home and assets from car-accident-related risks is through preventative measures. Here are some steps you can take:
- Invest in Strong Insurance: Ensure you have a robust car insurance policy that can cover extensive damages and potential liabilities.
- Seek Legal Assistance: If you've been involved in an at-fault accident, consulting with experienced legal professionals can help you navigate the complexities of your situation. A strong legal defense may reduce the scope of your financial liabilities.
- Understand Your Rights: Familiarize yourself with your legal rights and protections under North Carolina law regarding asset liquidation and forced home sales.
If you’ve already experienced an at-fault car accident in North Carolina, it’s too late to change your policy, but taking these steps can help you mitigate the damage and manage the financial fallout more effectively.
Once you’re dealing with the fallout of an accident, you’ll need to mitigate the damage. Good legal assistance can help. With a strong defense, you may be able to reduce the scope of payments and find a better way to pay back what you owe.
Need to Know More? Call Irons and Irons
Returning to the important question: "Can I lose my house due to an at-fault car accident in North Carolina?" While it is rare to lose your house following such an incident, the potential for significant financial impact makes it crucial to have strong legal representation. At Irons and Irons, we are dedicated to supporting victims of car accidents. As expert personal injury attorneys, we focus on representing those injured due to someone else’s negligence, ensuring they receive the justice and compensation they deserve. If you’ve been harmed in a car accident in NC, don’t wait—contact Irons and Irons to defend your rights and help you secure the compensation needed to protect your future. Call us at (252) 215-3000 or schedule a free consultation.