Do I Need to Pay Back My Health Insurance Company After a Car Accident?

After a car accident, the expenses for medical bills and damage repairs can accumulate rapidly, leaving victims overwhelmed with the mounting costs. One of the most pressing financial matters in these instances is the surprise fees related to medical care. Not only do you have to worry about receiving the proper compensation for your bills, but also repaying your health insurance provider for their support. If you have recently been injured in an auto collision, you may have some concerns about the process of repaying your health insurance provider. To better prepare yourself for this repayment, see the details below as provided by the experienced attorneys at Douglas & London.

What to Know About Subrogation

No one ever expects to end up in a situation in which they are forced to pay for medical treatment for injuries incurred in an automobile collision. This is simply not a situation you can prepare for, so, no matter the extent of your injuries, it is normal for you to feel blindsided by the costs. One thing you must also be aware of when taking care of your medical bills is the process of subrogation. This is when you repay your insurance provider for all medical bills incurred from the incident. These repayments are made with the funds distributed to you from your settlement.

Unfortunately, as the policyholder, you are not legally allowed to file a claim with your insurance provider for coverage. If you were allowed to do so, any funds distributed to you through your automobile insurance and health insurance would be considered a double payment. Many people are unaware of the subrogation process. This often results intheir surprise in reaction to the later request of their insurer to repay the funds distributed to them. This can be disastrous if you receive funds from the insurer of the guilty party and fail to allocate the money properly. You may be left with little to no money to pay the insurance provider back, resulting in worse financial circumstances than before.

Do I Need to Pay Back My Health Insurance Company After a Car Accident?

What to Be Aware of When Paying Medical Bills After a Car Accident

Be aware that, if you hold a private health insurance policy, your insurer can seek repayment of these bills if you use the expenses as the foundation of a third party recovery claim. (In the eyes of your insurance provider, they are being reimbursed from the negligent party just as you are. If you do not receive recovery funds from a third party, your insurer does not need to be refunded.)

It is crucial that you hire legal help to get you through the process of covering medical expenses and associated repayment after a car accident. Once you hire an experienced car accident lawyer, they will alert you upon receipt of the subrogation letter or lien from your health insurance provider. They will walk you through the requested payments and interest, ensuring that all elements of the case are addressed and handled appropriately.

If you wish to keep your finances secure following a car accident, make sure to get a good car accident lawyer by your side. They will ensure that all repayment requests are fair and accurate, and will fight to have them reduced if the amounts are unnecessarily high.

Author: Robin Gupta