How Do I Pay for Medical Treatment During my Personal Injury Claim?
Posted on behalf of Lynch Law Firm on March 8, 2021 in Car Accident News. Updated on May 25, 2023
It could take months to secure compensation for the cost of treating your accident-related injuries. However, doctor’s offices and other medical providers are still going to want payment soon after their services are provided.
What do you do about these bills while you are waiting for a settlement or jury verdict?
Many people do not have the means to pay these costs out of pocket. Fortunately, you may have some options for keeping medical providers and bill collectors at bay.
The New Jersey car accident lawyers are committed to pursuing maximum compensation for medical expenses and other damages created by an accident. There is no cost to work with us unless we recover compensation on your behalf, so there is no risk to you.
Filing a Claim Through Your Own Insurance
New Jersey is a no-fault state. That means, regardless of who caused a car accident, any injured person or persons must file a claim through his or her own insurance before filing a claim with the at-fault driver’s liability policy.
Personal Injury Protection (PIP)
The most common way to get your medical bills paid after a New Jersey car accident is by filing a claim through your personal injury protection (PIP) coverage. New Jersey requires drivers to purchase a minimum of $15,000 per person in PIP coverage, but many drivers purchase more than the minimum. You can use PIP coverage no matter who is at fault for the accident.
Using Your Health Insurance
In no-fault states, the law requires an injured person to exhaust his or her PIP benefits before a private or public insurer, like Medicare or Medicaid, will cover medical bills.
Once you exhaust your PIP benefits, your health insurance should kick in. However, you will be responsible for out-of-pocket costs not covered by your policy. It is also important to note the insurance company will likely claim a portion of any settlement you receive to cover what it paid for your treatment. This is also known as subrogation.
However, you may want to get your attorney involved. He or she may be able to negotiate a reduced payment so you can keep more of the settlement. This should free you up to stay focused on your treatment and recovery.
Negotiating a Payment Plan
Hospitals are usually willing to negotiate a payment plan when a patient cannot pay the full cost right away. Sometimes hospitals will take a lump sum payment that is less than the full cost and wipe out the rest of the debt. They would rather do this than accept smaller monthly payments over a longer period.
If you need to make small payments, make sure you can afford these payments and can make them on time. If you miss a payment, the hospital may request the rest of the bill immediately. If you cannot pay it, they may send it to a debt collector, which hurts your credit.
In some cases, your attorney may be able to send the hospital or medical provider a letter asking them to wait to collect until you receive a settlement. This saves you from having to pay out of pocket.
Asking a Friend or Relative for Help
It can be embarrassing to ask someone else for financial help. However, sometimes this may be your only option left. You can reach an agreement with your friend or relative to pay the person back after you receive your settlement.
Call a Knowledgeable Attorney for Legal Help
Our licensed attorneys have a proven track record of recovering millions in compensation on behalf of our clients. Visit our testimonials page to learn more about what our satisfied clients have to say.
We work on contingency, which means that we do not charge you by the hour while we work on your claim and you only pay us if we are successful in recovering compensation on your behalf.
Call today for a free consultation: (800) 518-0508