Expert: Doctor Settlement - 10/20/2007

Question
My Dad was driving along and stopped at a red light, a pick up truck hit him from behind. It been almost five months, the other person's insurance company is not paying up front for the injuries caused to my dad, I wanted to know what we should do? We don't have the money to pay for the medical payments. They said that they would give us the money back after all of the med bills were paid by us. Is that how is always works or do they have to pay for the bills and such because it was their drivers fault?

Answer
Hi Paras,

Your Dad has to use his own auto insurance in what we call a first party claim.  They have the duty to pay for the bills.  Or he can use his health insurance.

If he has no insurance, then he will suffer the consequences of doing something pretty dumb.  No one should EVER be driving without insurance, and in this case, he is not only going to prolong his pain and suffering, he is also going to cost himself some value in his injury claim.

Here is what I mean: The tortfeasor's company has no obligation whatsoever to make any advance payments to a party that their insured injured.  Hence, in what we call third party claims, the company will try to put economic pressure on an uninsured victim by denying any payments until the end.  

They know that someone who has no insurance is also hurting for money, and hence will take nickels on the dollar for settlement.  Thus they will wait him out and eventually he will take a small sum and he will still have untreated injuries.

The only way I know around this for an uninsured motorist victim is to find a doctor who will take an irrevocable lien with the company.  Check first with chiropractors and see if you can find one who will take a lien.  Tell her that your Dad will make it irrevocable.  

That way he can get treatment, he will have a doctor's report, and he will get better value for his claim.  And thus he will have the money to buy insurance!

Best wishes to your Dad,

Dr. Settlement, J.D. (Juris Doctor)
www.SettlementCentral.Com