What if My Medical Bills are Higher Than My Settlement Offer?

An accident can lead to substantial medical bills. For example, a severe car accident can result in thousands of dollars of medical bills. Medical expenses are a significant component of a settlement. Unfortunately, sometimes insurance companies offer compensation that is not enough to cover the claimant’s medical expenses, let alone other damages. If you find yourself in a situation where the insurance company has made you a settlement offer that is less than your medical bills, you might not know what to do. This article discusses what to do if your medical bills are higher than your settlement offer.

Why Would You Receive a Low Settlement Offer?

Insurance companies are in the business of making profits. They often make offers much lower than the actual costs of a claimant’s medical bills and other losses to save money and protect their profits.

The liability insurance limits may also result in a victim receiving a low settlement offer. Regardless of how badly injured a victim is, the insurance company cannot pay more than the policy limits. For instance, if the liability policy only covers $20,000 and your bills are $40,000, the insurer is not obligated to offer more than the policy limit.

Another reason why you may receive a low settlement offer is if the at-fault party’s insurance company believes you were partially at fault for the accident. In comparative negligence states, compensation is usually reduced based on the plaintiff’s percentage of fault.

Steps to Take if You Receive a Low Settlement Offer

If the insurance company makes you a settlement offer that is less than your medical bills, here are steps you can take;

1.      Do Not Accept the Offer

If you accept a settlement offer from an insurance company and sign a release, you waive your right to seek more damages. For this reason, it is vital not to accept an inadequate offer without careful consideration or legal advice.

2.      Hire an Attorney

An experienced attorney can assess the fairness of the settlement offer, determine the full extent of your claim, and negotiate with the insurance company on your behalf. Insurance companies are usually willing to make fair settlement offers to plaintiffs with legal representatives. 

If the insurance company refuses to make a fair offer, an attorney can help you seek additional compensation from other sources, such as uninsured/underinsured motorist coverage and a personal injury lawsuit.

3.      Negotiate Medical Bills

With the help of an attorney, you can try negotiating with healthcare providers to reduce your medical bills. If you offer to pay a lump sum or demonstrate financial hardship, healthcare providers may be willing to lower your medical bills. Other options for working with providers to lower your medical bills include payment plans and charity care programs.  

4.      Gather and Organize Your Medical Records

Ensure you have detailed records of all your medical expenses, including prescriptions, hospital visits, and future treatment needs. This documentation can help support your claim and strengthen negotiations by clearly showing the extent of your medical costs.

Let Us Assist You

If you’re dealing with costly medical bills after an accident, The Stone Law Office can help you evaluate your options. We can handle all the legal procedures for you. Contact us today to schedule a consultation.