Sustaining an injury in a car accident can leave you with thousands of dollars in medical bills. Do you have to pay these bills out of pocket? Should the other driver pay for those bills?
Who pays for medical bills after a car accident can vary depending on state laws and the amount of coverage you carry.
At-Fault Vs. No-Fault States
States have different legal systems for car accidents. Some states use an at-fault system where the driver who caused the accident is liable for the medical bills.
However, a total of twelve states use a no-fault system where each driver is responsible for their medical bills regardless of their liability.
You Are Liable for Your Medical Bills
Medical bills can range anywhere from $20,000 to $100,000 after a car accident. The hospital will consider you liable for these bills.
If you live in an at-fault state, you can obtain compensation for the medical costs and other damages, but the hospital will still consider you liable for paying the bills. It might take a while to obtain compensation, and the other driver might not carry insurance or have enough coverage, which means you’ll have to pay some bills yourself.
The good news is that most hospitals will offer discounted prices if you don’t have insurance or don’t have enough coverage.
File a Claim With Your Auto Insurance Provider
Some states require you to carry Personal Injury Protection as part of your auto policy. This coverage pays for your medical bills regardless of who is responsible for the accident. Med Pay, or Medical Payment Coverage, is a similar clause that exists in some states.
Note that some states require PIP or Med Pay coverage, but these clauses are optional in other states.
If you have PIP or Med Pay coverage, your auto insurance policy becomes your primary coverage for medical bills that result from a car accident, and you should file a claim with your own insurer.
What Will Your Health Insurance Cover?
You can file a claim with your health insurance in a few scenarios:
- You don’t have PIP or Med Pay coverage.
- Your PIP or Med Pay clause only covers a portion of your bills.
- You coordinated your health and auto insurance policies to get a lower premium on your auto coverage and turn your health insurance plan into your primary coverage for bills linked to car accidents.
Is the Other Driver Liable?
If you live in an at-fault state, you can file a claim with the insurance company of the driver who is liable for the accident. In case of a multi-car collision, you can seek damages from the different drivers involved.
An insurance adjuster will review your claim and determine if the other driver is liable. If you live in a comparative fault state, the insurance adjuster will determine the degree of liability of the other driver. They will then issue a payment to cover a percentage of your medical expenses.
If the insurer denies your claim or offers a settlement that doesn’t cover all your bills, you can appeal their decision and file a personal injury lawsuit.
You’ll then take the case to court, prove liability, and obtain a settlement from the other driver. You might be able to ask for compensation for medical bills, lost wages, reduced quality of life, and loss of potential earnings.
Depending on your state, the payout will either go to your insurance company to reimburse them or will go to you as a windfall.
Getting Help From the State
Some states have a special fund to cover medical bills and damages if an uninsured driver causes an accident. You can also get money from this fund if you’re the victim of a hit-and-run.
Conclusion
In most cases, you are liable for your medical bills after a car accident, and your auto or health insurance will pay. If you live in an at-fault state, you can file a claim with the insurance company of the other driver or even file a personal injury lawsuit with the help of an experienced lawyer.
