Legal Question in Credit and Debt Law in California

My daughter who is 25 is on my medical insurance since the law allows for her to be on it until she is 26. In 2012 she was admitted to the hospital with a bad infection in her arm due to her being a habitual drug user. Well she did not live with me at the time, nor did I sign that I would be responsible for her medical bills when she was admitted. Let me also say she is married but neither one of them were working at the time. Well the doctor that performed the surgery was out of network and so when the insurance paid the doctor they mailed me a check for 87.55 and I cashed it and put it into an account with her name on it so that when she brought me bills I would have the insurance paid amount. Well she never did bring me any bills, and this one doctor had called my house and wanted me to give them the check or money. I told them I would, but first wanted a bill sent to me in my name so that I could match the payment with the bill (the EOB�s did not always state the doctor, but often an organization or group of doctors). Needless to say I never received a bill from them at my address. This is likely due to the fact that my daughter had not lived with me and had put in a change of address.

Well here is the problem�I received a letter from a collection agency that had ME as the patient and sent ME to collections for 2500. Once I received this I called them immediately and told them what had happened. They told me that they had the legal right to collect her entire bill under my name because I cashed the 87.55 insurance check. I again explained to them what had happened and how I had requested a bill be sent to me in my name and never received one. I called and found numerous errors on the part of the doctor in regards to money they said I received but did not (proved I never received anything more than the 87.55 via EOB�s) and then they determined it was Medi-Cal that had sent a payment and then demanded it back because she was under my insurance. After finally pointing out and proving my innocence, they determined that I was actually only responsible for the 87.55 PLUS 25. Per month for the last 17 months due to the fact I failed to send them the payment. Which totals over 550.

I explained to them that I had never received a bill to pay, they never sent it in my name and how was I supposed to know who to pay? The EOB�s are often sent under groups names, so when I received the eob I couldn�t match it to a bill I had seen or a doctor. The doctors office then told me that I should have opened my adult childs mail if it came to my house (again it did not likely due to a address forward). They told me that they put it in her name on top line, with C/O me on next line and my address. Well I never received these bills and they never went back to the doctor, or so they say. Regardless, I need to know if this is legal on a couple of counts�one sending me to collections and making me responsible for her bills just because she is on my insurance�two they sent the bill or so they tell me with that c/o me in the address, and I should have gotten it and opened it, well first of all a mail forward would likely have gotten that and secondly its still not addressed to me but in care of me, does not give me the right to open it had it arrived.

Let me say also that there was no intent to keep this piddly amount of money and had called the insurance carrier many months ago asking them to allow me to send them back all the co-pays that they sent to me because I did not know who the doctors were and I had wanted to avoid something just like this happening. They told me no, that they couldn�t take the money back, so since then this money has been sitting in this account waiting for a bill to pay with it and there is not a lot, only about 600 total. Not one penny has been touched since the checks were deposited.

I have sent the 87.55 to the debt collector and they assured me they were going to put the remainder of the payment into my daughter�s name. The doctor however said that its their legal right to collect over 500 for something I did not receive a bill for. So now they are likely charging her the 25 per month as well, and now also me. I just want to know what legal options I have.

I have excellent credit, never charge up credit cards and make minimal money as a single mother. For me to be screwed over like this really makes me angry.

1 Answer from Attorneys

Related Questions & Answers

More Credit, Debt and Collections Law questions and answers in California

Looking for something else?