How Will I Pay My Medical Bills?

If you have been injured in a motor vehicle accident in the state of Florida you may be wondering, how will my medical bills be paid?  There are several different options available to cover your medical bills after a  car accident , including:

·        No-fault auto insurance (“PIP”):  If you own an operable vehicle in the state of Florida you are required to have Personal Injury Protection coverage from an auto insurance company.  There is a  hierarchy : (1) Do you own an operable vehicle, if so, you are required to have PIP; (2) If you don’t own an operable vehicle, BUT you live with a BLOOD RELATIVE with PIP, you must make a claim through the policy of your relative; (3) If you don’t own an operable vehicle or live with a blood relative with PIP, you can make a claim under the PIP coverage of the vehicle you were riding in.  PIP will generally cover up to $10,000 of your medical costs.  PIP pays 80% of reasonable, related and medically necessary treatment. 

·        MedPay.  Medical Payment Insurance Coverage (“ MedPay ”) is an supplemental coverage.  MedPay covers the co-pay (20%) that your PIP requires.  MedPay is meant to leave the insured with zero out of pocket medical bills.  Depending on the coverage selected, you may be able to use MedPay for treatment not covered by PIP.

·        Health insurance.  Health Insurance is an  option.  In some situations your health insurance is billed even if you have auto insurance.  For example, if you go to the hospital immediately after a motor vehicle accident, the hospital may bill your health insurance.  This is true even if you have auto insurance.  If PIP Benefits exhaust, certain medical providers will submit your bills to your personal health insurance.  Ideally, your auto insurance is primary, and your health insurance is secondary.  Remember, any bills submitted and paid by your health insurance will result in a lien, which will be paid back by through settlement. 

·        Medicare and Medicaid.  If you receive coverage from  federal programs  such as Medicare or Medicaid, these programs will pay for your medical bills related to a car accident. However, similar to health insurance, there will be a lien and that lien must be satisfied out of the any settlement recovered. 

·        Workers’ compensation.  Workers Compensation will be an  option  when the motor vehicle accident occurs within the course and scope of employment.  Similar to health insurance, workers compensation payments related to an auto accident must be paid back out of any settlement recovered. 

·        Injury lawsuit.  If your medical bills exceed the amount of your insurance coverage, you may consider filing a lawsuit against the at-fault driver’s bodily injury coverage or your Uninsured/Underinsured Motorist Coverage.  

Common misconceptions :