What if my Medical Bills Are More Than My Injury Settlement

Key Takeaways:

• Following a Michigan auto accident, medical expenses can pile up quickly and might include hospital fees, doctor consultations, diagnostic tests, surgical procedures, medications, rehabilitation costs, and more.
• When a settlement amount is less than accumulated medical bills, you should begin negotiating medical bills
  with your health insurance company immediately.
• Important steps to take before entering negotiations include thoroughly reviewing all medical bills for correct billing, notating if you received unnecessary care, and looking closely at exorbitantly high costs.
• Negotiating medical bills can help reduce costs and prevent financial strain, increasing the chance of receiving fair treatment and maximizing your settlement amount.

Can You Negotiate Medical Bills After a Settlement?

Yes, you can negotiate your medical bills. To start negotiations, you will need to gather all medical bills and documentation related to your settlement. Then, be sure to contact your healthcare providers to discuss potential negotiation options. If you are unsure of how best to approach negotiations, you should first consult with an attorney. A skilled legal professional will guide you through the process and what to expect.

What if My Medical Bills Are More Than My Settlement?

If your medical bills exceed your car accident insurance settlement, you should speak to a personal injury attorney immediately. A car accident lawyer will help guide you through the process to ensure you are duly compensated for all expenses. You should also begin negotiating medical bills with the lien holders as soon as possible. This includes parties such as your health insurance company. Steps to take include gathering your medical bills and documents, carefully notating all visits and costs, and, of course, speaking to a Michigan personal injury lawyer.

What Is Subrogation in Insurance

Insurers have what is called subrogation rights. Subrogation rights allow Insurers to demand the amount spent on your medical care to come out of the settlement. Look for this listed on your insurance policy. This can help you gain a better understanding of what it means so you can be prepared.

Steps to Negotiating Medical Bills After Accident Successfully

Actionable steps to take when negotiating your medical bills include the following.

1. Review all Medical Bills Thoroughly for Correct Billing

Begin by reviewing all medical bills thoroughly. Keep in mind that the amounts on these bills are not always accurate or reasonable, so scrutinize the breakdown of charges. In this breakdown, check off the medical services you know you received.

Healthcare providers are known, whether intentionally or accidentally, to list healthcare services you did not receive or inflate those that you did. Ways this occurs include:

• Billing code mistakes, including using codes for similar but more expensive medical procedures than you received (called upcoding).
• Billing duplication, billing more than once for the same procedure.
• Charging individually for procedures usually bundled together at a discounted price.

Identifying any of these errors will help you enter negotiations and protect more of your settlement money.

2. Notate if You Received Unnecessary Care

Review your medical records and bills and note any treatments or procedures you received from providers that did not contribute to your healing and eventual recovery. Each item listed should relate to medical care that was necessary to help you recover from the injuries sustained in the auto accident.

3. Look and Compare Exorbitantly High Costs

If, in your review of medical bills, you see costs that seem exorbitantly high for the type of care you received, compare them to what medical providers usually charge. For example, if you are uninsured, you may see higher medical costs than if you had your own private health insurance, Medicare, or Medicaid.

4. Negotiate with Health Insurance Companies

By reviewing and scrutinizing your medical bills and records, you can now enter negotiations with the insurance companies, pointing out any medical treatment or procedure that falls into any of the following categories.

• Unrelated to the accident and your subsequent recovery
• Considered medically unnecessary
• Ones where the costs appear exorbitantly high, and
• Those that appear to be improperly billed.

You can also consult with a Michigan accident attorney beforehand or at any time during the negotiation process.

How Much Can Lawyers Reduce Medical Bills

Although it’s impossible to say how much a car accident lawyer can lower your medical bills, a lawyer can negotiate directly with healthcare providers and insurance companies on your behalf to reduce your outstanding medical bills.
Your attorney may argue for reductions based on the total settlement amount, the nature of the injuries, or the likelihood of payment. They will typically discuss:

• Any billing errors
• Overcharging
• Discounts due to the bulk of the charges
• Out-of-network charges

While your attorney can’t give an exact prediction as to how much they can reduce your medical bills, they can identify and challenge any incorrect charges or excessive fees in your medical statements.

Do You Have to Pay Your Medical Bills From a Personal Injury Settlement?

Typically, you are not required to pay your medical bills directly from a personal injury settlement. Your medical bills will initially go to your health insurance provider; they typically cover medical expenses minus any deductibles. The medical care providers will bill your insurance carrier accordingly. Many healthcare providers offer payment plans or reduced bills based on income for those without insurance. State-sponsored programs or Personal Injury Protection (PIP) may also cover accident-related medical costs. A personal injury lawyer can assist in negotiating these bills, ensuring you minimize out-of-pocket expenses.

Paying the medical bills after a settlement is why having an attorney talk with your insurance company with you present on your behalf is so important. Many insurance adjusters will try to “lowball” you into accepting a personal injury settlement that will not cover all your medical bills, leaving you with large out-of-pocket expenses.

Seeking Additional Compensation to Cover Medical Bills

If your medical bills exceed the financial coverage available after a motor vehicle accident, you should consider seeking additional compensation from these sources:

• Uninsured/Underinsured Motorist Coverage (UM/UIM): If the at-fault driver has insufficient insurance coverage for damages you sustained in an accident, your own UM/UIM policy can fill the gap. UM/UIM coverage is designed to cover expenses that exceed the at-fault driver’s insurance, so you’re not left paying out of pocket for someone else’s negligence.
• Personal Injury Lawsuit: When insurance falls short or if you are unsure of your UM/UIM coverage, a personal injury lawyer can help file a personal injury claim. Your personal injury settlement can provide the funds needed to cover your medical expenses. By filing suit against the party responsible for the accident, you may secure compensation that better reflects the full extent of your injuries and financial losses.
• Examine Liability of Other Parties: In some cases, responsibility for an accident may go beyond just the other driver. A personal injury lawyer can help you identify other parties that may be obligated to pay compensation for your injuries. Other parties may include employers, vehicle manufacturers, or government entities.

The Southfield car accident attorneys at Matz Injury Law can help assess which options are applicable to your unique situation. Our injury lawyers can prepare a thorough car accident claim and seek compensation on your behalf.

Case Study Example Where Medical Bills Exceeded a Victim’s Injury Settlement

Reaching a settlement following an auto accident may appear at first to be the end of a very long process. However, that often is not the case. We recently read a Reddit feed on how to negotiate medical bills after a settlement. This got us thinking, and we wanted to dive into this particular topic more in-depth.

While sitting at a red light, a driver rear-ended the Redditor’s car, injuring all three passengers. It was classified as a non-fault accident, and the driver was able to reach a settlement with his insurance company, which has a 25/50 policy.

As a result, he received $25,0000, the maximum available amount. However, his medical bills following the accident added up to around $30,000, which was higher than the actual settlement.

While this particular Redditor has health insurance through the military, the hospital and the provider, Tricare, both have been added to what is referred to as a medical lien. Medical liens are essentially payment agreements, allowing you to receive medical care and defer payment until you reach that personal injury settlement.

At this point, with the settlement negotiations concluded, our Redditor has been advised to attempt negotiations with the hospital itself but does not know how to go about it in the best possible way.

If you find yourself in a similar situation, Matz Injury Law is here to bring justice to the situation. Below, we break a scenario like this down and texplore options for negotiating medical bills after a car accident.

Understanding Michigan Medical Bills Post-Accident

Following a car accident, various medical expenses can quickly add up. These expenses include medical care costs necessary to treat injuries resulting from the accident up until healing begins.

Medical bills post-settlement can include various charges, such as:

• Hospital fees
• Doctor consultations
• Diagnostic tests (e.g., x-rays, CT scan, MRI)
• Surgical procedures
• Medications, and
• Rehabilitation costs (e.g., physical therapy)

With so many potential charges adding up, it is no wonder that a Michigan accident victim will feel overwhelmed. You also may be dealing with various co-pays, meeting a set deductible, and figuring out your auto insurance limitations.

Its difficult healing and dealing with the psychological effects of an accident itself. Often, victims are left feeling anxious about how to pay for it all.

The Importance of Negotiating Medical Bills in Michigan

The importance of negotiating medical bills in Michigan cannot be overstated. You deserve to be treated fairly, and this means you must take steps to protect your personal injury settlement and have these bills reduced.

In essence, negotiating medical bills can help reduce costs and prevent financial strain, providing a higher chance that you receive fair treatment and maximize your settlement amount.

Going forward, you can also become more proactive in your healthcare by asking questions, discussing options when your insurance coverage clearly will not pay for a certain procedure or treatment, and negotiating a price beforehand.

Related Resources for Negotiating Medical Bills

To learn more about subjects involving car accidents, injuries, and necessary compensation, we provide the following related resources to help you find the answers you need.

Can You Sue for Aggravated Injuries Due to an Accident: Understand what aggravated injuries are, how to prove a pre-existing condition, and more.

How Long Does a Car Accident Settlement Take?: Learn more about the settlement process, Michigan’s no-fault insurance laws, and the various tactics an insurance company may use to delay a personal injury claim settlement.

What Is So Dangerous About Concussions from Car Accidents?: Find out what the signs of a concussion are, how serious it can be, and what you should do after a car accident.

If I Have Medicare, Can I Opt Out of PIP Insurance?: Learn what personal injury protection insurance is in Michigan, whether you can opt out if you have Medicare, and how the insurance claims process and coverage differ between the two.

Is Your Injury Case Settlement Taxable?: Find out when a personal injury settlement is not taxable and what requirements must be in place.

If you have more questions involving your personal injury or wrongful death case, reach out to our law offices for answers and advice.

Why Michigan Residents Choose Matz Injury Law?

Our dedication to injury clients throughout the years and confident knowledge of personal injury and insurance law have earned us heartfelt testimonials from clients throughout Michigan. We value the attorney-client relationship first and foremost and listen to our clients while working together to obtain the most out of their lawsuit. Earning over $300 million dollars for clients so far, our law firm continues to advocate for the injured and seek fair settlements in each case.

Testimonials

“For anyone looking for an attorney, please look no further than Matz Injury Law!! Not only was Jared professional, he helped me beyond what I could have asked for. I’m so thankful for you all!!! To say I’m appreciative and grateful is an understatement. There’s no need to look for any other attorneys for your auto accidents!! They are so wonderful!!! Highly recommended 10/10!!!!!” — Tessa C.

“Steve Matz was there when I needed him. Nobody expects to be a victim of a car accident, but when I found myself in that situation, it was overwhelming. Steve made everything easy. Steve did not accept the insurance Company’s first offer. He held out and got me a better settlement. Steve is very kind and professional. I highly recommend Matz Injury Law.” — Sharon K.

“I reached out to Steve after my car accident, and even without paying him, he was there for me. They offered me advice and told me everything I needed to know about what my insurance company owed me. He cares about people, and it shows!” — Ky W.

Quotes to Empower Your Healing

“It’s not the strength of the body that counts, but the strength of the spirit.” — J.R.R. Tolkien

“What lies behind us and what lies before us are tiny matters compared to what lies within us.” — Ralph Waldo Emerson

Our Attorneys Can Help Negotiate Medical Bills After Your Accident

Following an auto accident, you can feel overwhelmed and wish to get past it as quickly as possible, especially when it comes to dealing with the insurance companies. However, never settle for less than what you deserve. We can help. Request your free consultation with a experienced personal injury attorney by calling our office phone number, 1-866-22Not33, or submitting the online contact form today.