Paying for Medical Treatment During Personal Injury Claim: As we all know, the cost of treating accident-related injuries can take months to ensure coverage. But, after their services are rendered, doctor offices and other medical practitioners also want reimbursement.
When waiting for a settlement or judgement, what do you do with these projects?
Many individuals have no way of covering these expenses. Fortunately, you will be able to keep medical suppliers and bill collectors in line.
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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 may be humiliating to ask for financial support from anyone else. This can is your only choice, however, sometimes. After getting your settlement, you will make a deal with your friend or relative to pay the person back.