If you are in a motor vehicle accident and the other driver is at fault you may be surprised to find the defendant only has $15,000 in coverage available to you for your medical bills, pain and suffering and lost income. That is not very much but it is the State minimum. A simply trip the ER after a crash with an MRI X-rays and other diagnostic tests can add up to a hefty bill.
What happens after the accident is always a problem. As I said in a previous blog, medical care providers will seek what is called balance billing from the $15,000.00. So if your insurance usually pays the hospital 60% of the bill, the remaining 40% will be the balanced billing part. Unfortunately, that may very well eliminate a recovery for you. This is especially true when there is more than one health provider.
Although medical care providers going after the defendant’s $15,000 policy is totally legal, it is not helpful to the injured person. Here is where the under insured policy comes into play. There is no right by the health care providers to make a claim against the policy for under insured motorist coverage . You bought it and you get to keep it (this does not apply if it is a Medicare, AHCCCS, VA or government employee coverage is making the claim).
On more than one occasion the amount of money taken from the initial $15,000 would make the case of little or no value to the injured person. But being able to collect on your own under insured policy for injuries in a car accident can make all the difference in getting you both physically and financially back on your feet.