Do you have to pay back insurance if you get a settlement in California?

Whether or not you have to pay back insurance after receiving a settlement in California depends on the specific terms of your insurance policy and the nature of your settlement. In most cases, if you are awarded a settlement, you will need to pay for the medical treatment you received.

What is Health Insurance Subrogation?

If your health insurance provider covered medical expenses related to the injuries for which you received a settlement, they may assert a right of subrogation. This means that they have a legal claim to be reimbursed for the medical expenses they paid on your behalf. In such cases, you may be required to pay back your health insurance provider a portion of your settlement to satisfy their subrogation claim. It's important to carefully review your health insurance policy to understand the terms and any subrogation rights they may have.

What Are Insurance Liens?

If you received compensation from the at-fault party's insurance company, your own insurance provider, or a government agency such as Medicare or Medicaid, they may have a lien on your settlement. A lien allows them to claim a portion of the settlement amount to recover the expenses they paid for your medical treatment or other benefits. The presence of liens can vary depending on the circumstances of your case and the types of insurance coverage you have. It's important to review your insurance policies and consult with an attorney to determine if any liens exist and the extent of your obligation to repay them from your settlement proceeds.

Navigating insurance liens and subrogation claims can be complex, and it's crucial to seek professional guidance to ensure you understand your rights and obligations. Consulting with a personal injury attorney experienced in handling insurance matters can help you navigate this process and work to negotiate and reduce any liens or subrogation claims, if possible.

Contact Us Today

If you were involved in an accident that was not your fault, contact a personal injury lawyer at MVP Accident Attorneys as soon as possible. We offer free consultations where you can discuss your case, learn about your legal rights and options, and find out how we can help. Contact us today to learn more.