How bad does an injury need to be to make it necessary to hire a lawyer?

That depends on the injured person and the lawyer. Most people who are injured want nothing to do with dealing with the insurance companies, the person who caused the injury, and the other issues that come from being the victim of an injury.  Whether it make sense to hire a lawyer to take care of those hassles will vary from person to person and lawyer to lawyer.  Most lawyers who represent injured people will provide a no-cost consultation, at which time there will likely be a discussion about whether the injured person should hire a lawyer and whether the lawyer is interested in handling a particular claim.  Just because one lawyer does not feel that the injury is bad enough for that lawyer to become involved does not mean that all lawyers would feel the same way.

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What if the insurance company is telling me not to hire an attorney?

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What if I am at fault in causing an injury?