If you suffer an accident at work or are involved in a personal injury case, there’s a good chance that you’ll incur medical expenses and other bills as a direct result of your injuries. Moreover, the accident may force you to miss time from work. When bills are piling up and money isn’t coming in like normal, it can lead to a stressful financial situation. You may know that a settlement will be coming in the future, but what should you do about these expenses until that day comes? In today’s blog, we explain how to manage medical expenses in the lead up to receiving an injury settlement.
Managing Bills While Waiting On An Injury Settlement
The weeks that follow a work or personal injury accident can be very stressful, and that stress is only amplified when the medical bills start rolling in. Even if you’re certain that a settlement is in your future, it’s possible that it could take months or years for that settlement to hit your bank account, but the bills will be coming much sooner than that. What should you do to protect yourself financially while waiting on an injury settlement to come in?
First and foremost, don’t be in a rush to settle your case. Insurance companies prey on this vulnerability and desire to put an end to a case and receive a payday, so they’ll offer pennies on the dollar in hopes that you’ll accept just to get it over with. You’ll be leaving a lot of money on the table if you do this, and that can end up putting more financial strain on your family. We know you want to resolve your claim and earn a payday, but don’t jump on the first offer. Instead, connect with an attorney and learn how to negotiate for a much stronger settlement that incorporates all relevant factors.
But in the meantime, those medical bills are still going to arrive in your mailbox, and you’re probably wondering what you should do to manage those. Here’s what many clients oftentimes do:
1. Use Health Insurance– Your health insurance should cover some medical expenses, and that can at least soften the blow when it comes to your financial obligation. You may still owe a portion or be responsible for a co-pay, but filing with your health insurance can typically cover a fair amount of your expenses. It’s wise to keep track of how much you spend and how much the insurance company pays when it comes to your care, because you and the insurance company may seek reimbursement if it turns out another party is responsible for your injuries.
2. Auto Insurance and Personal Injury Protection– If you were injured in a vehicle accident in Minnesota, you’ll be able to file an injury claim through your automobile insurance provider’s personal injury protection policy. This should cover your medical expenses unless they exceed $20,000 per person.
3. Letters Of Protection– In some instances, you may run into a situation where the medical provider is requesting payment before providing additional care services, like imaging or physical therapy. You’re financially strapped and awaiting a settlement, so you’re struggling to pay these bills that will eventually be someone else’s obligation. In this scenario, you may be able to sign what’s known as a Letter of Protection. Essentially, a letter of protection is an assurance to a medical provider or similar third party that they will be paid in the event of a settlement. However, you will still be obligated to pay them in the event you lose your case, so it’s wise to consult with an attorney prior to signing a letter of protection. For claims that will clearly be valid, this can ensure there is no interruption in necessary medical services while you await an eventual payday.
4. Deferred Payment Plan – You may also find it helpful to reach out to healthcare providers to ask about their deferred payment options. Most providers will be more than willing to work with you to defer payments or set you up on a very limited payment plan for the time being until you receive your award. Let them know that you’re hoping to get on a deferred or reduced payment plan because you’re financially limited while awaiting an injury settlement, and there’s a good chance they’ll work with you.
5. Dip Into Savings – Finally, it’s always recommended to have some money squirreled away in the event of an unexpected expense, and this type of injury certainly qualifies for that. Again, be sure to document any and all expenses directly or indirectly related to your accident so that you can be reimbursed through your claim and settlement. Talk with a lawyer about the expected value of your case and the likelihood of winning so that you can have more certainty about how you use some of your savings while awaiting a payout.
As we’ve talked about before, you have smarter options than going to a cash advance center or a predatory loan business. Know that you have options for managing the financial strain after a work injury and talk with your lawyer for personalized advice before you make any big moves. We’re here to guide you through all aspects of the process, and that includes managing medical bills that are the result of your accident.
For more information, connect with the team at Hey Workers today at (844) 439-9675.
