Legal Question in Insurance Law in District of Columbia
Government lien on an insurance claim
I was in a car accident in October on a military base. It was determined that the accident was the other persons fault. I went to the emergency room on a military base in Maryland and they have not sent me a bill yet but the legal office on that base said that I should still be able to settle the case without taht and just tell the Insurance company that they will have to settle the governments claim seperately. My lawyer is telling me that he cant settle until he gets a bill from the government... who is right????
2 Answers from Attorneys
Re: Government lien on an insurance claim
The govt has a separate and independant right to recovery, ... however, the driver's auto insurer is not likely to settle with you unless he knows what the govt claim is and so can close the whole file at once
Re: Government lien on an insurance claim
Both are technically right. It is possible to settle without settling the govt's claim for reimbursement for medical services. But because insurance adjusters base their offers for pain and suffering in part on the medical treatment, it is important to have all medical bills in order to maximize recovery. Military hospitals will prepare such bills upon request, and upon the agreement of the lawyer and client to pay the bill out of the settlement proceeds or recovery.
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