John Holton explains what subrogation is and how it works in a typical car wreck case

Subrogation deals with the rights of an insurance company or medical provider to recover the money they have paid toward an injured persons medical bills.

How Does Subrogation Work?

Assume you are injured in a car wreck and incur $25,000 in ambulance, hospital and doctors bills. If you have medical insurance, the medical bills are typically paid by the medical insurance provider. When you receive money from the driver of the at fault vehicle, the health insurance company has a right of subrogation meaning that the insurance company has the right to be paid back all of the money they spend on your medical bills. If you don’t have insurance the medical providers will often assert a medical lien against their lawsuit. When a medical provider files a lien, they have a right to be paid out of the settlement for the medical services they provided. The most important thing to know about subrogation and medical liens is that they are usually negotiable.  subrogation can be reduced by thousands of dollars which ultimately wind up back in your pocket.

It is important to have a skilled attorney handling your claim and working to reduce the amount of subrogation. Every dollar that your subrogation is reduced is another dollar in your pocket. If you or someone you know has been injured in a car wreck, call the experienced attorneys at the holton law firm today

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