AVOIDING SUBROGATION IN CAR ACCIDENTS
In Pennsylvania, the minimum medical payment benefit that you must buy is only $5,000. Most automobile insurance companies want to sell you either $5,000 or $10,000 worth of medical coverage. Your insurance company may tell you that your private insurance will take care of the rest. With today’s high cost of health care, that $5,000 benefit would only cover the most minor injury case. The minimum amount of automobile medical payment benefit that I recommend is $50,000. In a recent case, the health insurance subrogation claim was more than $130,000 To avoid that type of lien, I recommend asking for
SUBROGATION & ACCIDENT SETTLEMENTS
In Pennsylvania, if you are injured in an accident and receive a settlement, there may be a legal duty to repay the health insurer who has already paid your medical bills. This is referred to as subrogation. Subrogation arises out of various laws such as Medicare, Medicaid, Workers’ Compensation, and Veterans Administration heath care. Subrogation also arises out of the private health care insurance contract that paid your hospital and medical bills. Typical language found in a health care booklet states that: “The Plan also has the right to seek payment and/or reimbursement from you if you receive a payment, settlement, judgment
AUTO INSURANCE CHECKUP
MINIMUM RECOMMENDED LIABILITY - $100,000-$300,000 MEDICAL BENEFITS - $50,000 UNDERINSURED AND UNINSURED MOTORIST - $100,000-$300,000-STACKED INCOME LOSS - $1000 –$5000 √ FULL TORT These are minimum recommended coverages. You should increase your coverage beyond these minimums as you can afford it. A good rule of thumb is to have as much underinsured and uninsured motorist coverage as you will earn the rest of your life. This will help to protect your future earning capacity against a catastrophic loss. Read your automobile insurance declaration page carefully. Asking an agent for "Full Coverage" may get you Limited Tort, minimum liability coverage, minimum medical benefits