Understanding Subrogation: Protecting Your Injury Settlement
Securing a settlement after an accident is a significant step, but it often brings a complex issue: subrogation. Many victims assume their financial obligations end when they receive a check, yet medical providers and insurers often have valid claims against those funds. WHAT IS SUBROGATION? Subrogation occurs when your health insurance or medical providers seek reimbursement from your settlement for the care they covered. They essentially step into your shoes to recover costs from the party at fault. Failing to address these liens can lead to credit issues or legal complications later. WHY LIENS MATTER Your health insurance policy likely includes language giving them a right to your settlement. If you ignore these obligations, you risk being responsible for those costs personally. A strategic approach to managing these liens ensures you keep more of your recovery. Advocacy helps negotiate these amounts, often reducing the burden on your final payout.
