Health Insurers
Do they have automatic liens in a personal injury lawsuit?
There are asked a lot of questions about insurance companies. After all, these companies do most of the paying when it comes to injury lawsuits. One question that clients often ask New York City personal injury lawyers is, do health insurers have automatic liens in a personal injury lawsuit? To appropriately answer that question, it is necessary to supply some background information about liens in personal injury cases. If you are injured due to the carelessness or recklessness of another, your medical needs are paid for by a health insurance company, right? Let us assume, for the sake of argument, that you have adequate, privately-owned health insurance (the laws are different if you are insured through state or federal programs). When you file a lawsuit against someone for your injuries, insurers usually ask for what is known as the Right of Subrogation. That means they are entitled to get paid for monies laid out for your medical bills, and that payment comes from any settlement that you receive in the suit. A lien means that you are required to pay the insurer, or the medical provider, out of any proceeds awarded to you.
But health insurers do not have an automatic right to such a lien. In fact, the insurance company is not entitled to any of the money in your settlement if your lawsuit recovers funds only for pain and suffering. Unless the settlement allowed for monies to be specifically set aside for medical expenses, or the insurance company is involved in the lawsuit itself, the company cannot collect anything from you. In fact, you need to be aware of insurance companies getting involved in your personal injury lawsuit when they do not need to be—they know that, under certain circumstances, it is the only way they will get paid without a lien.
Contact a New York City personal injury lawyer today
A New York City injury attorney from Segan, Nemerov & Singer, P.C., has the answers that you need. Choose the legal professionals with experience, dedication, and relentless commitment to success in personal injury litigation. Contact us at 646-719-0891 or 212-696-9100 today.
>>> more personal injury blogs
