Are Medical Bills Paid from a Personal Injury Settlement?

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Getting into a car accident is scary and jarring, particularly when you sustain an injury. If you were injured in an accident caused by another person you may feel overwhelmed. You now have to navigate the legal process of filing a lawsuit or claim and negotiating with various parties, all while healing both physically and mentally. Expenses associated with a car accident and injury can quickly add up and become overwhelming. Your medical bills from an accident can be paid for using your personal injury settlement. Reach out to a San Mateo County, California car accident lawyer to discuss your situation and obtain help navigating the complexities of the legal system.

What is a Personal Injury Settlement?

A personal injury settlement is a legal agreement reached between the injured party and the at-fault party after an accident. The goal of a settlement is to ensure that the injured party is properly compensated for any damages while also avoiding going to trial. When lawsuits go to trial they can be time-consuming, expensive, drawn out, and messy. With a settlement, the at-fault party and their insurance provider can offer monetary compensation to cover the injured party’s various associated expenses. Settlements are calculated based on the following.

  • Medical expenses such as surgery, prescriptions and medication, rehabilitation, physical therapy, etc.
  • Property damage to your car or other personal items
  • Lost wages from missing work due to the injury
  • Emotional trauma
  • Pain and suffering

What if My Medical Bills Are Due Before I Receive My Settlement?

As established, a personal injury settlement is calculated based on various factors but mainly expenses accrued from the accident. The compensation you are awarded in your settlement can and should be used to pay for your medical bills. The issue many people face is that an agreement can take several months and even years to settle. During that time you are surely accumulating more and more medical expenses because of your injury.

If you are receiving medical bills but you have not yet been given your personal injury settlement, you should take several steps. Firstly, ensure you are utilizing your own health insurance if you have it. Your healthcare provider will pay certain amounts toward the care that you have received, reducing your owed amount.

After getting coverage if you can afford to pay your bills you can do so. You may not want to have an outstanding balance and if you pay right away you can simply collect the full amount of your compensation instead of using it to pay off your bills.

If you are struggling to pay or are unable to afford your medical bills without the compensation from your settlement you and your attorney can speak with your medical providers. You can agree upon a payment plan to lessen the amount you owe at the moment and pay it off in installments. You may also choose to have a lien placed on your settlement. This means that you do not have to pay at the moment but when your settlement is finalized a portion of the compensation will first be distributed to the companies you owe before you receive the money.

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