Frequently, even when an insurance company pays money in connection with your personal injury, they find someone against whom they can then move against to collect and be reimbursed for at least a part of the total amount they paid. This is called “subrogation” in the law.
- Recovery of property damage
- Insurance companies have the right to be paid back after a case is settled
- Negotiating with insurance companies
As most people who have insurance know, insurance companies hate to pay out claims. Obviously, the fewer claims they pay, the more money they make. Our personal injury attorneys at the Mintz Law Firm can help you! Call us today at 303-462-2999 for a free consultation.
Subrogation: The term subrogation refers to the insurance company’s right of recovery after it pays off on a claim. It also refers to claims made by hospital emergency rooms, ambulance companies, and other medical providers who have provided services and are making a claim against the money you recover from the at fault party as a result of your injury.
There is nothing illegal or unprofessional about subrogation; however, it is a part of the insurance business and the law of which many people are not aware. It often is first made known to injured people when they recover for their medical expenses after another insurance company paid their medical bills.
Insurance companies have the right to be paid back after a case is settled. An example would be, your health insurance plan could have a right to recover at least a portion of the money they paid on your behalf from any settlement, or judgment you finally obtain.
If, for example, you are injured in a car accident and the physicians who treat you submit their bills to the health insurance plan you have through work, that insurance company may have a right to recover at least a portion of the money they paid on your behalf from any settlement, or judgment you finally obtain from the driver who caused the accident.
Subrogation or the insurance company’s right of recovery, can also occur from injuries resulting from non-auto accidents, too, including products liability claims, medical malpractice and dog bites.
Our personal injury lawyers can assist in recovering the property damage to your vehicle, your medical bills and lost wages, and other related expenses.
We are all well aware of the rising costs of medical treatment and insurance premiums for health care. This generally means that an insurer that has paid money for your care will be interested in receiving money back from your personal injury claim. Frequently, we are asked to provide status reports to insurers to allow adequate time for them to prepare their demands for reimbursement.
Negotiating with insurance companies:
You need a personal injury attorney who knows the proper timing of when to and also how to negotiate with the insurance administrators, or medical providers’ billing offices, in order to minimize the impact of the insurer’s right of recovery on your final settlement.
The amounts of money an insurance company, hospital or medical provider, takes from your settlement if in fact they can get any of it, depends on a number of factors, however, and is not written in stone.
When you settle your case you need to be aware of the potential for this subrogation and you need an attorney who knows the proper timing of when to and also how to negotiate with the insurance administrators, or medical providers’ billing offices, in order to minimize the impact of the insurer’s right of recovery on your final settlement. After all, you are financing the lawsuit through your payment of attorney’s fees and you have invested your time and effort in prosecuting the suit.
For more information about Subrogation and Rights of Recovery please fill out one of the contact forms or visit our homepage.
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