When you are injured in an accident due to the negligence of another person, you may have the right to file a personal injury claim for compensation. If you are successful in your claim, you may be awarded damages which will encompass all the losses and expenses incurred as a result of your injuries. One of the biggest expenses is often your medical bills. You may understandably be worried about who will pay for these bills.
This article will outline the different methods that can be used to pay for your medical bills if you win your personal injury claim.
Table of Contents
Health Insurance
If you have health insurance, your policy may cover your medical expenses arising from your injuries, subject to your policy’s terms and conditions. This means that your insurance provider would pay your medical bills, and possibly, your out-of-pocket expenses. The amount that your insurance provider will pay will depend on the terms and conditions of your policy.
It is important to be aware that if your health insurance provider pays for your medical bills, they may have a right to be reimbursed for some or all of the costs from any personal injury settlement or award that you receive.
Personal Injury Protection (PIP)
Personal Injury Protection, or PIP, covers medical expenses and other expenses that arise from an accident. This is a type of coverage that is included in your car insurance policy. In some states, PIP is mandatory, while in others, it is optional. PIP will cover your medical expenses regardless of who is at fault for the accident.
If you have PIP coverage, you may need to exhaust this coverage before your health insurance begins to cover your medical expenses. Once your PIP coverage is exhausted, your health insurance can cover any remaining medical bills.
Medical Payments Coverage
Medical Payments Coverage is another type of coverage that is included in your car insurance policy. This coverage pays for medical expenses regardless of fault. Unlike PIP, however, medical payments coverage is optional in most states. It is important to check your insurance policy to see if you have medical payments coverage.
Out-Of-Pocket Expenses
If you have health insurance, PIP, and/or medical payments coverage, you may still have out-of-pocket expenses that are not covered by your insurance policies. For example, you may pay a deductible, copayments, or coinsurance for medical treatment. You may also have expenses that exceed your policy limits.
In many personal injury cases, the at-fault party’s insurance company will ultimately be responsible for compensating you for your out-of-pocket expenses. However, you may need to settle your personal injury claim before receiving compensation for these expenses.
Medical Bills Liens
Medical bills liens allow healthcare providers, such as hospitals, to assert a claim against your personal injury settlement or award for the treatment they provided to you. Essentially, this means that the healthcare provider has a right to be repaid out of your settlement or award for the medical treatment they provided.
It is important to note that medical bills liens can significantly reduce the amount that you will receive from your settlement or award. If you have received medical treatment, it is important to discuss the possibility of a medical bills lien with your personal injury attorney.
Conclusion
In a personal injury claim, it is important to understand how your medical bills will be paid. Your health insurance, PIP, and medical payments coverage may all contribute to paying your medical expenses. However, you may still have out-of-pocket expenses that are not covered by insurance policies. Ultimately, the at-fault party’s insurance company may be responsible for compensating you for your out-of-pocket expenses. Additionally, healthcare providers may have a right to a portion of your settlement or award through medical bills liens. It is important to consult with a personal injury attorney to review all of your options for paying your medical bills after an accident.