Should I Use Health Insurance If I Was Injured in a Car Accident?

Should I Use Health Insurance If I Was Injured in a Car Accident?

If you are involved in an auto accident and are covered by health insurance, the answer is clear, you need to use your health insurance. When I tell people this they always ask the question, "Why should I use my health insurance if the other driver was at fault?" There are a number of reasons which will be explained below, but the most important reason is that it will mean MORE MONEY FOR YOU when the claim resolves.

In order to understand this, you have to understand the basic premise of how health insurance works. Most importantly, health insurers have negotiated rates with their participating providers. This means that if you go to the emergency room after your car accident and the bill that the hospital typically charges is $1,000.00, the health insurer only has to pay a fraction of the cost and the hospital accepts it as payment in full. If you do not have health insurance you owe $1,000.00. The irony of the situation is that people that may not be in a position to afford health insurance actually pay more than those with health insurance.

With a foundation for how health insurance works we will compare how two separate clients fare in the exact same wreck, with the exact same injuries, and the exact same offer from the car insurance company. The only difference between these two clients is that one has health insurance and the other does not. Here are the assumptions. Assume that each has medical bills totaling $5,000.00. Assume that the offer is $12,000.00 and assume that attorneys' fees are one third of the settlement or $4,000.00. Thus, the person that has no health insurance owes attorneys' fees and has to pay $5,000.00 in medical bills leaving him with only $3,000.00 (this is not fair and should not happen as the attorney should never receive more than the client, but we will leave that for another discussion).

What does the person with health insurance receive? Under this scenario, let's assume that the health insurer is one that is entitled to get their money back (for more inform ation about this click here ) and let's assume that they are entitled to receive $2,000.00. Under this scenario with the payment of attorneys' fees and the payment back to the health insurer, the client receives $6,000.00. This is a very real world situation that happens everyday in personal injury. It is the same wreck, same injuries, same offer, yet the person with health insurance gets double the money!

There are a number of different variables that we have assumed in the above example for the sake of simplicity, but the analysis in every case is the same. You need the best personal injury attorney in Atlanta who understands how all of the different types of insurance are coordinated so that you can maximize the amount of money that you receive.


Contact Us Today

Your Recovery Starts with a Free Consultation
    • Please enter your name.
    • Please enter your name.
    • Please enter your email address.
      This isn't a valid email address.
    • Please make a selection.
    • Please enter a message.