Legal Question in Personal Injury in California

If your medical bills were covered by insurance, then the insurer has the right to recoup those costs from your settlement. In fact, the company may have a lien against the settlement proceeds. Your lawyer may be able to negotiate a substantial discount, but the insurer will still expect at least some of the money. Depending upon the facts, your lawyer may be not only allowed but actually required to hand that share of the money over to them.

If you had medical pay coverage your carrier will want a portion of what they paid back unless it is AAA which does not have a reimbursible clause.If your bills are in excess of your coverage then your attorney might have signed a lien to protect the the provider and those bills would be deducted as well.There are also costs involved which you are also typically responsible for even though your attorney fronted the costs and you have to pay him back. Ask for a detailed settlement disbursement sheet that should set out where all the money is going down to the penny

It sounds like your lawyer is doing what he is required to do. No need for alarm. The insurance companies do take a big bite out of you (and you thought those insurance payments for medical care were yours because you paid the premiums, right?) No, your insurer has the legal right to get their money back out of the person who caused your accident. However, they need to reduce the claim to allow for your attorney's fees at least.