A personal injury settlement covers all damages the plaintiff (you, the victim) incurred, including medical expenses. Ideally, the settlement amount pays for everything, as Colorado is an at-fault state for personal injury accidents. However, many medical facilities want to get paid now, not in a year or so after your personal injury case concludes.
An experienced Denver personal injury attorney can help you understand your options for paying your medical bills, or seeking a deferment, and negotiates solutions with the insurance companies so you can focus on recovery.
Colorado’s tort system for personal injury claims
Colorado is an at-fault state for personal injury claims, which means that the person or party who caused injury to another is legally responsible for covering all losses, like emergency room visits and follow-up care. Proving fault and processing your claim with the other party’s insurance carrier takes some time, even if the question of fault isn’t contested, so you may have to cover some of the cost upfront.
Paying for the medical care you need after an accident
Even though Colorado is an “at-fault” state, the person receiving the medical treatment is still financially responsible for payment. Usually, all your medical bills are paid out of your settlement, but many care providers may not accept “I’ll probably win my case” as payment.
You may need to use your own health or auto insurance policy coverage to initially receive treatment. Be sure to notify your insurer about the accident and your intention to file a lawsuit. Your personal injury lawyer can help with this, as there are often issues of subrogation (how the insurance company is repaid for paying your initial bills) that can be complex to understand if you’re unfamiliar with the process.
Using your MedPay insurance coverage for car accident injuries
Colorado law requires drivers to have liability insurance with a minimum bodily injury coverage of $25,000 per person and $50,000 per accident. In a severe car accident, though, $50,000 may not be enough to cover a lengthy hospital stay, surgery, and ongoing physical therapy. If your medical bills exceed the at-fault driver’s insurance coverage, you may be able to have the balance of the bills paid through your own Uninsured/Underinsured Motorist (UM/UIM) policy or your MedPay coverage.
MedPay is optional personal injury protection insurance specifically for post-accident medical expenses. It covers you, the driver, and your passengers in a car accident, regardless of fault, and can pay for deductibles, co-pays, and other out-of-pocket costs.
Using your personal health insurance after an accident
Med Pay typically only pays for medical bills stemming from a car accident, so if your injury was due to something else (slip-and-fall, dog bite, toxic exposure), you might not be covered. Instead, you can use your personal health insurance to cover immediate medical bills and inform your insurance company about your pending lawsuit.
The insurance company may require you to repay it out of your personal injury settlement, or it may elect to pursue repayment directly from the other party.
Medical liens for post-accident care
A final option for paying for medical care after an accident is to have a medical lien placed against any personal injury settlement you receive. Healthcare facilities provide your legal team with itemized lists of costs incurred for your treatment. Then, your attorney withholds the proper amount from your award to settle the lien, ensuring that it doesn’t impact your credit.
Do you need help resolving your medical bills after an accident? Contact Zara Injury Law at (866) 823-8288 for a free consultation with an experienced personal injury attorney.