I received a letter from my health insurance company asking about the details of the automobile accident that I was recently in, why is this? That’s a question I get asked frequently. The reason is, many people have been in an automobile accident, they’ve been to the doctor, they’ve been to see their family doctor and they’ve incurred medical expenses. Like they’ve always done in the past, they followed on their health insurance company then suddenly, they get a letter with a form from their health insurance company wanting to know all the details of the wreck; how did it happen? What injuries did they sustain? What medical expenses have they incurred, and most importantly, who was at fault? Now, why are you getting this letter? The answer is simple. Your health insurance company has a right of reimbursement or segregation. What that means is, if you’re injured because of the negligence or fault of someone else, you incur medical bills and your health insurance pays it then if you settle with your responsible other party, your health insurance company may have the right to get all of the money they’ve paid, back. When this happens, an injured party can suddenly be caught between two different insurance companies with two very different goals.
The automobile insurance company for the person who injured you wants to pay as little on the claim as they can, so they’re telling you, “Hey, your injuries are not that bad. You don’t need that much medical treatment and the medical bills you incurred are too high, or excessive.” Your health insurance company, on the other hand, is saying, “Hey, we’ve paid these medical bills. We want every penny we’ve paid, back.” What has happened to injured people in the past is that by the time they’ve fully reimbursed their health insurance company, they’re left with very little or nothing to compensate them for their lost wages, out of pocket expenses and other damages they’ve sustained. So, if you get a letter from your health insurance company, what should you do? The same thing you should do, even if you never got a letter or if you don’t have health insurance.
If you’re injured in an automobile accident or any type of accident that is the fault of somebody else, you should always consult with an attorney that is board certified in personal injury trial law. Many people know that with regard to the automobile insurance company for the person that injured them, they have certain legal rights. Well, the same is true with regard to your health insurance company and they’re wanting to get all their money back. You have legal rights against them too, and you can limit how much money they get back, but you’ll only know that if you consult with a board certified attorney.