Auto Accident Settlement Alert: Some Hospitals Are Billing Auto Insurance Companies Instead of Health Insurance

Hinsdale personal injury attorneyWhen you pay for healthcare coverage and are injured in an accident, like most Americans, you would likely assume that your health insurance would cover the medical bills and that your settlement would be free and clear (pending any applicable taxes, of course). That is, after all, why you pay for healthcare coverage. Yet, according to a news investigation, hospitals all over the country are refusing to bill the victim’s health insurance and, instead, are seeking compensation through their auto accident injury settlement. The end result is often a short-sided and unfair settlement for accident victims.

Why At-Fault Drivers Are Footing the Hospital Bill

Just as patients make agreements with their insurance companies regarding how much they will pay in exchange for lower-costing healthcare, physicians and hospitals make contractual agreements that predetermine how much they will be paid for services when they bill an insurance provider. These amounts, otherwise known as “allowable amounts,” are typically higher than the patient might have been able to pay for the service out-of-pocket, but are lower than the provider’s full fee. The remaining balance is then written off by the provider as a “contractual adjustment,” rather than being billed to the patient. This, too, is an agreement they make when contracting with an insurance company.

In an attempt to work around this agreement and recover their full fee, some hospitals are attempting to hold the at-fault driver in automobile accidents responsible for the services provided. This, in theory, is not necessarily a negative thing since an at-fault driver should be held accountable for their actions, but it is actually the victims who are paying the bill. Rather than increasing the amount that victims receive, these bills are held as liens against any settlement they might receive. And, instead of their insurance doing the job it is meant to do – provide them with affordable and reasonably priced health care – they are paying the full price for medical treatment.

Injured in an Accident? Our Skilled Auto Accident Attorneys Can Help

If you have recently been in an accident, you may be due compensation for your injuries. Martoccio & Martoccio can help you pursue that compensation, negotiate a fair settlement, and help protect it from under-handed tactics that might reduce the amount. Schedule your free initial consultation to learn more about how we can help with your auto accident injury claim. Call our experienced DuPage County automobile accident attorneys at 630-920-8855 today.


Recent Blog Posts



Free Initial Consultations

phone 630-920-8855
address15 North Lincoln Street, Hinsdale, IL 60521
phone 331-588-6611
address21 North 4th Street, Geneva, IL 60134
Our firm handles family law and personal injury matters for clients in Chicago and throughout the western suburbs including DuPage County, Will County, Kane County, Cook County and the cities of Aurora, Bloomingdale, Bolingbrook, Burr Ridge, Carol Stream, Darien, Downers Grove, Elmhurst, Glen Ellyn, Hinsdale, Joliet, Kendall County, Lombard, Naperville, Oak Park, Oak Brook, Oakbrook Terrace, Clarendon Hills, Oswego, Park Ridge, Roselle, St. Charles, Geneva, Villa Park, Warrenville, Wheaton, Western Springs, LaGrange, Winfield, Woodridge and Yorkville.

© 2020 Law Office of Martoccio & Martoccio 15 North Lincoln Street, Hinsdale, IL 60521 630-920-8855

OVC Lawyer Marketing

Share Your Experience