Posts

Can You See Your Own Doctor For Workers’ Comp?

According to the North Carolina Industrial Commission, your employer or its insurance company chooses the doctor for your workers’ comp claim. This includes all medical treatment related to your work injury. You or your lawyer can request that you be treated by a different doctor or medical facility. Keep in mind that payment by workers’ comp is not guaranteed unless the change of medical provider is approved.

What If I Saw My Doctor Before I Knew The Rules?

Often, the workers’ comp insurance company will pay for your treatment, provided they deem the treatment was reasonable. Your workers’ comp attorney may need to put some pressure on the adjuster in order to receive a reimbursement, but it is not unusual to receive one.

If the treatment for which you seek reimbursement falls outside of normal accepted treatment, you may find the adjuster pushes back on reimbursement requests for acupuncture and chiropractic treatment that was not conducted at their direction.

Will My Workers’ Comp Lawyer Direct Me To A Doctor?

You may find that the doctor hired by the workers’ comp insurance company favors the employer. This may manifest itself in a few ways. First, the doctor may choose conservative treatment and forego additional testing to discover injuries. Second, the doctor may not write you out of work for as many days, weeks, or months as another doctor might. Lastly, if you are seeking a physical impairment rating, you may find that one doctor gives you a more favorable impairment rating than another doctor. The impairment rating affects the value of your workers’ comp claim.

Who Pays For My Workers’ Comp Treatment?

If the insurance company chooses the doctor, they will pay for the treatment. If you choose your own doctor, you can either seek reimbursement from the workers’ comp insurance company or you can pay the doctor out of your workers’ comp proceeds. As mentioned above, there are times it makes sense to seek your own treatment from a doctor of your choosing. Your attorney can assist with this choice.

Speak With A Workers’ Comp Attorney Today

If you have questions about workers’ comp, call us. We’re here to help. We can be reached at 704.749.7747 or you can click HERE to request a consultation. All consultations are free, and it is our job to help you understand your options. We know you have choices. We hope you Call Layton Law.

Physical Therapy After A Car Accident

If you have been in a car accident, you may be referred by your doctor for physical therapy. Often, injuries from a car accident don’t manifest until several days or even weeks after the accident. While you may not have broken bones or need surgery, often the injuries require ongoing treatment to heal.

Whiplash From Your Car Accident

The most common injury from a car accident is whiplash. If you need additional treatment beyond your emergency room visit, quite often it will be physical therapy sessions. Rebuilding strength and increasing mobility is the general goal and your therapist will work with you to achieve this.

Other Injuries Requiring Physical Therapy

If you do need surgery after your car accident, it is not uncommon to have a course of physical therapy in order to regain strength and use of the injured area. While neck and back injuries are more common with car accidents, slip and fall victims often need therapy for knee, hip, and shoulder injuries.

Types Of Physical Therapy

There are numerous strategies your therapist may employ when treating you. Everything from manual therapy—including massage—to electric stimulation, may be employed in the healing process. Exercise in the form of both hydrotherapy and unassisted exercise under the care of a therapist helps re-train muscles and build endurance.

It is also not uncommon to employ heat/ice therapy for inflammation, swelling, and pain. The most common advice for a soft tissue injury is RICE: Rest, Ice, Compression, and Elevation. While this is true, heat and ice are often overlooked as an important part of the therapy process.

The Value Of Physical Therapy In A Car Accident Settlement

If your physical therapy was received at the direction or referral of your doctor, the value assigned to it will be greater than if you were treated without a referral. This is due to the belief that the injury (and required treatment) is better substantiated when documented by a doctor.

Insurance adjusters are trained to minimize the value of your claim. Our office will fight to make sure you are treated fairly when considering any settlement amount, and when negotiating the value of your claim as it relates to each aspect of treatment you received as a result of the accident.

Paying For Physical Therapy

If you have health insurance it may cover some or all of your physical therapy costs. If you have been in a car accident, many physical therapy offices will work with our office to allow you to receive the treatment you need, while waiting for your claim to settle in order to be paid for their services. If you have questions about paying for physical therapy we can help.

Speak With A Personal Injury Lawyer Today

If you’ve been in an accident, we recommend speaking with a personal injury attorney as quickly as possible. Phone consultations are free and you deserve to understand your rights. You can reach us at 704.749.7747 or click HERE to request a phone call. We know you have options. We hope you Call Layton Law.

Whiplash After A Car Accident

Whiplash is one of the most common injuries from a car accident. It can be severe and long-lasting in its nature, and if you have whiplash after a car accident, you may be entitled to compensation from the other driver.

Identifying Whiplash From A Car Accident

According to The Mayo Clinic, whiplash is caused by forceful rapid back-and-forth movement of the neck. At the scene of the accident, you most likely will not feel the signs of whiplash. When adrenaline is high it masks pain. Most of our clients report that they did not feel the full effect of the car accident until a few days after the accident. Anywhere from 12-48 hours after the accident, if you experience any of the following, you have most likely suffered whiplash:

  • Dizziness

  • Headaches

  • Neck and back pain

  • Numbness

  • Fatigue

Getting Treatment Is Critical

There are numerous reasons to get treatment ASAP after you’ve been in a car accident. First, your health is of utmost importance. Injuries from a car accident can mask themselves, and a trained physician can help you identify an array of injuries you may not be aware of yourself. Second, if you plan to pursue a personal injury claim, you want to minimize the time between the accident the beginning of treatment for injuries stemming from the accident.

When Things Get Complicated

Personal injury victims often find themselves in a difficult situation. Namely, they are seeking medical treatment (and paying for medical treatment) for injuries that are not their fault. Fortunately, many medical providers recognize the complex intersection between medical billing and personal injury settlements. Our office routinely works with chiropractors and physical therapy facilities which will allow you to treat, while they wait until you reach a personal injury settlement in order to receive payment.

A Personal Injury Lawyer Is Crucial

In situations where you are obligating yourself to pay for medical treatment in reliance on being reimbursed by a personal injury settlement, it’s crucial to have a personal injury attorney representing your interests.

Too often, individuals settle a personal injury claim for less than the full value of the claim. Sometimes it’s due to an aggressive insurance adjuster looking to ‘wrap up’ the claim. Other times, a claim is settled before the injured party knows the full extent of their injuries. In any case, your personal injury lawyer is aware of these pitfalls and works to make sure you are treated fairly when negotiating any settlement.

Speak With A Charlotte Personal Injury Lawyer Today

If you believe you have whiplash after a car accident, call us. We are happy to discuss the accident with you, and we can also assist you in choosing your next steps. Phone consultations are free and it’s part of our job to make sure you understand your options. You can speak to a lawyer today by calling 704.749.7747 or click HERE to request a call.

Can I File A NC Workers’ Compensation Claim

If you’ve been injured on the job, you can file a North Carolina Workers’ Compensation claim. Whether your claim will be successful will depend upon the facts of your case and how well your Workers’ Compensation attorney constructs the arguments in favor of recovery.

Procedure Steps For Filing A Workers’ Compensation Claim

Step 1 – Report the injury. You should report the injury to your employer as soon as possible. This should be done in writing, to establish evidence that you provided your employer with notice of the claim. The employer can be unfairly prejudiced if they are not given an opportunity to evaluate the claim in a timely manner. Additionally, in an accepted Workers’ Comp claim, the employer has the right to direct where you receive treatment.

Step 2 – Complete Form 18. Form 18 is the Notice of Accident to Employer and Claim of Employee, Representative, or Dependent for NC Workers’ Compensation Benefits. The form can be found online for download. A Workers’ Compensation attorney with a North Carolina Industrial Commission ID and login can submit the form for you electronically. This form should be filed with the Industrial Commission, provided to the employer, and finally, a copy should be kept by the employee for their records. Ideally, the form is filed within 30 days of the injury, and certainly within two years of the date of the injury.

Step 3 – Await your employer’s response. If you need medical attention in the meantime, you should pursue it. However, within 14 days of submitting the form, your employer should respond either by denying the claim, accepting the claim, or requesting an extension from the Industrial Commission. If your claim is denied, it doesn’t mean you can’t still fight for a Workers’ Compensation award. It just means your employer has spoken as to their belief that the injury should not be covered by the Workers’ Compensation Act.

Consult With A NC Workers’ Compensation Lawyer

Workers’ Compensation differs from a personal injury in a few ways. Specifically, when you have a denied claim, it’s important to seek counsel from an attorney familiar with Workers’ Compensation in North Carolina. The denial of your claim means you will need to seek medical treatment on your own and pursue your employer for reimbursement after the fact. While you may ultimately have to request a hearing with the Industrial Commission in hopes that they decide the claim should have been covered by the employer, there are many additional steps along the way.

Your Workers’ Compensation attorney will keep track of your recovery progress with you, and when treatment is complete, he or she will submit a demand package to the employer. Even though the claim is denied, this package will present the facts of your injury together with the medical treatment and billing, in hopes the employer will reconsider. At this time, your Workers’ Compensation attorney will most likely be dealing with opposing counsel representing the employer.

The two parties can enter into mediation together, in hopes of resolving the claim. Mediation is usually conducted prior to requesting a hearing on the matter. Quite often the parties are able to reach an agreement—even on a denied claim—through the mediation process. If mediation fails, requesting a hearing is the next step in the process. While the ultimate goal of mediation is to reach an agreement, the parties are forced to mediate prior to the hearing for the purpose of saving the time and efforts of the Industrial Commission. Each matter that settles at mediation is one less case for the commission to facilitate.

The Workers’ Compensation Settlement Agreement

If you’re able to reach an agreement, it will be memorialized in a document known as a Clincher. This 10-page document is drafted by defense counsel and edited and approved by your attorney. It details the facts leading up to the injury, together with the details of the injury suffered, and all medical bills associated with the injury. The Clincher is accompanied by a Release—a document where you are settling the matter once and for all in exchange for the settlement.

Lastly, your settlement agreement will detail your responsibility with regard to your medical bills, and address for the commission how you are proposing to address Medical Liens in your Workers’ Compensation settlement.

Workers’ Compensation Attorney Fees

Whereas personal injury attorney fees are generally one-third of your settlement (and slightly more if a lawsuit needs to be filed), Workers’ Compensation attorney fees for the plaintiff are capped at 25%. The paperwork your Workers’ Comp attorney provides you will clearly spell out the attorney-client fee agreement. One important note is that much like personal injury if your Workers’ Compensation lawyer doesn’t recover anything for you, you should not owe them anything.

Speak With A Workers’ Compensation Lawyer Today

If you would like to speak with an attorney about your personal injury case, we’re here to help. The call is free and you will come away with a much better understanding of your options. You can reach us at 704.749.7747 or click to request a FREE CASE EVALUATION, and we will be in touch shortly.

Further Reading

If this article about North Carolina Workers’ Compensation claims was helpful, you may find other helpful articles on our Personal Injury Blog. Thank you for visiting the website—we hope it has been helpful.

 

 

 

Personal Injury And Medicare

Your personal injury claim may have a lien against it owed to Medicare. Your attorney will contact Medicare and receive a Conditional Payments Letter from CMS, which will tell you exactly how much of your personal injury settlement must be paid to Medicare.

Why Does Medicare Get Paid From Personal Injury Funds?

Medicare has an automatic lien against settlement proceeds if they derive from a personal injury accident that reaches a settlement or jury verdict. In this way, personal injury and medicare are necessarily tied to one another. While it is speculation, the underlying rationale for this is that if your health insurance provider pays for your medical treatment and you receive compensation for your injuries, you’ve been paid twice.

As a result, Medicare is granted a personal injury medical lien. Fortunately, that lien can often be reduced in accordance with the medicare procurement formula which is applied when your attorney provided Medicare with the settlement amount, attorney fees, and attorney expenses associated with reaching the settlement or jury verdict.

Reducing Your Medicare Lien In Personal Injury

Medicare will apply the procurement formula to reduce your personal injury lien. In doing so, they consider the attorney fees paid, and the out-of-pocket expenses the attorney incurred in obtaining your personal injury settlement. These expenses can be substantial especially if a lawsuit is filed and expenses for expert testimony and depositions are incurred.

If your case is settled for $5,000 or less, you can generally assume that Medicare will limit their recovery to 25% of the total settlement, regardless of the amount Medicare paid for treatment of your injuries related to the accident.

When Does Medicare Get Paid?

Your personal injury lawyer will provide you with a settlement sheet dictating where every penny of your personal injury settlement is going. You will see a line item to Medicare. This indicates that the personal injury lawyer is going to send a check to Medicare as part of disbursing settlement funds. Typically, a few days after you sign your settlement statement and receive a settlement check from your personal injury claim, your lawyer’s office will disburse all remaining funds as dictated on the settlement sheet.

There are times when your attorney will wait to disburse funds on the settlement sheet. For example, the attorney may allocate the highest amount possible to be paid to Medicare or other providers, with the hopes of negotiating or procuring reductions for some or all of the billing. If this is achieved, you will be asked to sign an updated settlement sheet. Presumably, as a result of any negotiated and lowered billing, you may receive additional funds from the settlement.

Speak With A Personal Injury Lawyer Today

If you would like to speak with an attorney about your personal injury case, we’re here to help. The call is free and you will come away with a much better understanding of your options. You can reach us at 704.749.7747 or click to request a FREE CASE EVALUATION, and we will be in touch shortly.

Further Reading

If this article on “Personal injury and medicare” was helpful, you may find other helpful articles on our Personal Injury Blog. Thank you for visiting the website—we hope it has been helpful.

How Are Personal Injury Settlements Paid Out?

Personal injury settlements are paid out in accordance with the North Carolina statutory requirements regarding personal injury liens, together with the Federal rules surrounding ERISA and Medicare liens. Our goal is to put as much money in our client’s pockets as possible. In doing so, we have to abide by the rules which govern your personal injury settlement proceeds.

Personal Injury Settlement Checks

Once we reach a settlement with your approval, the insurance company will issue a check made out to you and The Layton Law Firm, PLLC. This check will be deposited into our trust account. The funds will remain in our trust account until they clear, and until you sign a personal injury settlement statement. By signing the settlement statement, you are indicating that you are in agreement with the proposed distribution of funds. This allows your personal injury attorney to disburse the funds with confidence.

Personal Injury Settlement Statements

When you settle your personal injury claim, you will sign off on a personal injury settlement statement. This statement will show all incoming funds related to your injury as credits, with corresponding debits shown as items going to third parties including your attorney fee, health insurance lien payments, medical provider lien payments, and any other items which need to be paid as part of the settlement. The bottom figure will of course be a line item showing you how much you are receiving as part of the settlement.

Limits On Payments To Lien Holders

Fortunately, there is a limit on the amount of your personal injury settlement that needs to be paid out to lien holders and other medical providers. The statutory language in N.C.G.S. 44-49 and 44-50 dictates whether or not a medical provider has a lien. It also limits those providers with liens to a certain percentage of your settlement. Your personal injury attorney will apply this rule of law to the facts of your particular personal injury settlement, and disburse accordingly.

It is important to understand that you will have a choice when reaching a settlement. You can decide whether to pay the statutory minimum to lien holders under N.C.G.S. 44-49 and 44-50, which may leave some billing left over for you to address after settlement. In the alternative, you can work with your personal injury lawyer to negotiate the billing and reach a final settlement on those bills. Our office will make sure you understand the options and work with you to make a choice that is best suited to you.

Receiving Your Personal Injury Settlement Check

Once you sign off on your personal injury settlement statement, your attorney can issue a check to you on the same day. Because you must sign off on the statement in person, most checks are delivered simultaneously. The funds should clear your account as soon as they are deposited, as NC attorney trust account funds are considered to be certified funds and treated as such by banking institutions. If you need your funds wired directly into your account, we can assist with wiring the funds. This will save you a trip to the bank and in special situations makes sense to do.

If you would like to speak with an attorney about your personal injury case, we’re here to help. The call is free and you will come away with a much better understanding of your options. You can reach us at 704.749.7747 or click to request a FREE CASE EVALUATION, and we will be in touch shortly.

Further Reading

If this article about “How are personal injury settlements paid out?” was helpful, you may find other helpful articles on our Personal Injury Blog. Thank you for visiting the website—we hope it has been helpful.

 

 

Does A Personal Injury Settlement Include Medical Bills?

Your personal injury settlement will include payment of your medical bills. Medical bills are often a challenging aspect of a personal injury settlement in North Carolina. The reason for this is that there are no rules automatically reducing medical billing in a personal injury settlement. As a result, your personal injury attorney must be familiar with the medical lien laws of North Carolina when settling your claim. Lastly, your Charlotte personal injury attorney may negotiate your medical bills for you as part of your personal injury settlement.

What Are North Carolina Medical Liens In Personal Injury?

If you are injured and receive treatment in North Carolina, the treating physician or facility can place a lien against any personal injury settlement you receive. The underlying theory is that if you were treated for the injury and receive money for the injury, you should have to pay your medical bills related to that injury.

There are some limitations on personal injury medical liens in North Carolina. Per N.C.G.S. 44-49 and 44-50, any provider of medical services is limited in the amount of lien they can claim, as follows:

Under Section 44-49, a lien is created provided that the provider does not charge for medical records and medical billing, and provided that written notice of the lien is given to the attorney.

Under Section 44-50, the liens in total are limited to one-half of the settlement, after subtracting attorney fees and costs. Generally, because attorney fees are usually one-third of the settlement, this means that the amount of your settlement that has to go to the lien holders is one-third of your settlement.

For example, assume your settlement is $12,000. Your attorney fee would be $4,000 (1/3). This leaves $8,000 remaining. The lien statute states that no more than one-half of the remainder shall be made to pay to liens. This means $4,000 must go to your lien holders, and the remaining $4,000 is yours.

What If Medical Bills Exceed The Lien Amount?

Your medical provider does not have to accept the pro-rata lien payment under 44-49 / 44-50 as the final settlement of the lien. They may bill you for the remainder. However, your Charlotte personal injury lawyer may be able to negotiate the medical bills in total for you, prior to accepting the settlement. In many cases, the lien holder will accept their pro-rata share as full and final settlement.

Speak With A Charlotte Personal Injury Lawyer Today

If you would like to speak with an attorney about your personal injury case, we’re here to help. The call is free and you will come away with a much better understanding of your options. You can reach us at 704.749.7747 or click to request a FREE CASE EVALUATION, and we will be in touch shortly.

Further Reading

If this article addressing “Does A Personal Injury Settlement Include Medical Bills?” was helpful, you may find other helpful articles on our Personal Injury Blog. Thank you for visiting the website—we hope it has been helpful.

 

 

Medical Bills In Personal Injury Settlements

If there are medical bills in your personal injury settlement, they will need to be addressed as part of the settlement. Your personal injury lawyer will assist with this. Generally, there are two types of medical bills in personal injury settlements. First, there are those bills that are liens. Second, there are those bills that are not liens. The two are treated differently for purposes of whether they must be paid out of your personal injury settlement.

Liens In Personal Injury Settlements

Certain medical providers will claim a lien against your personal injury settlement. The claimant does so by citing the language in NCGS 44-49 and NCGS 44-50. This statute allows the medical provider to claim a lien against your settlement or jury verdict. However, there are limits—the statute limits all lien holders to one-half of the settlement after attorney fees and expenses have been deducted.

Your personal injury lawyer should discover the liens against your personal injury settlement when requesting medical records and medical bills related to your claim. Keep in mind, if you were treated at a facility and did not tell your personal injury lawyer about it, it would be difficult for them to discover the lien.

The personal injury attorney will keep track of all liens claimed against settlement. Upon disbursing the settlement proceeds, the liens will be paid. Remember, the lien holders are limited to roughly one-third of your settlement. The amount they receive will differ depending upon how much your personal injury settlement is worth. Your attorney will calculate the appropriate payments for each lien holder. While the lien holders may still pursue you for the balance of the lien, our firm typically requests the lien holder accept the pro-rata share as full and final payment of the lien.

Bills Which Are Not Liens

There will be other medical providers who will have an outstanding bill related to the injury. However, they may choose not to claim a lien. Or, they may simply fail to claim a lien against your settlement. This gives you the option of having your attorney pay them from the settlement, or paying them yourself, outside of the settlement.

Medicare, Medicaid, ERISA Liens

Healthcare providers like Medicare, Medicaid, and ERISA health plans, are entitled to be reimbursed if they pay for treatment related to your personal injury claim. Medicare applies what they call a “Procurement Formula” to the settlement amount. Your attorney can estimate what this amount will be prior to reaching a settlement. Medicaid is generally limited to roughly one-third of the settlement. ERISA health plans, unfortunately, are entitled to be reimbursed for their entire lien out of your settlement proceeds. Your personal injury lawyer can usually successfully negotiate the lien prior to reaching a settlement.

Personal Injury Lawyers And Medical Liens

Your personal injury lawyer will make a dramatic difference for you as it relates to any liens against your settlement proceeds. The law firm will negotiate the liens, and present your case to the medical providers in such a way that entices them to take a reduced rate. Most of this negotiating is done before you reach an actual settlement. That is when your leverage is highest against medical providers and lien holders.

Speak With A Charlotte Personal Injury Attorney Today

If you have a personal injury claim and you would like to speak with a lawyer, call us. You can reach us at 704.749.7747 or request a FREE CASE EVALUATION and we will call you today to discuss your case.

 

Rear-End Collision Demand Letter

If you are in search of a rear-end collision demand letter, you have either received one or you are preparing to write one. In either case, you should speak with a personal injury lawyer about your rights. It may be tempting to settle a car accident claim on your own; however, individuals routinely compromise their rights and settle for less than a fair amount when doing so. Call us at 704.749.7747 or click for a FREE CASE EVALUATION and you will receive a call from a lawyer today.

Rear-End Collision Personal Injury Process

Were you in a rear-end collision? If so, there is a process your personal injury attorney will go through before presenting your claim to the insurance company. First, you will complete intake paperwork. This is necessary to form a contract between you and your personal injury attorney. Second, your attorney will send a Letter of Representation to the insurance company representing the at-fault party. Lastly, your attorney will gather all of your medical records and medical billing associated with the injury. This ensures you are addressing any Medical Liens associated with the personal injury claim.

Drafting Your Rear-End Collision Demand Letter

Your injury attorney will confirm your treatment with you once all medical records and billing have arrived in the lawyer’s office. Together with a description of the facts, these become the cornerstone content for your demand letter. Essentially, your medical records and bills tell the story of your injury. As a result, your attorney will refer to those records and bills when building your case in the demand letter.

Additional Demand Letter Items

In addition to the records and billing, your rear-end collision demand letter will contain any Special Damages you experienced as a result of the accident. Special damages often change what your personal injury settlement is worth.  These range from missing important life events to the inability to carry out life as you did prior to the accident. Lastly, your attorney will request lost wages from you. Often, your employer is required to sign off on a lost wages affidavit. Lastly, if you are self-employed, your attorney may request a few years of tax returns to demonstrate your lost wages.

Reviewing Your Rear-End Collision Demand Letter

You will have a chance to review the rear-end collision demand letter with your lawyer. It’s important that you carefully review the chronology of medical treatment. If you notice any billing is missing from the demand letter, you can notify your attorney as well. Your demand amount is often a function of your medical billing. As a result, discovering all billing prior to submitting the demand letter is crucial.

Remember, the review process is a chance for you to assist your attorney in telling the story of your claim. The demand letter should paint a complete picture for the insurance adjuster. It is an opportunity to demonstrate how your life has been affected by the accident. It is also a chance to remind the insurance adjuster there is a human being who was affected—it’s not just a ‘numbers game.’

Submitting The Demand Letter

Your attorney will submit your rear-end collision demand letter. It’s important to remember that the letter will be submitted with bills and records. As a result, the total package submitted often contains in excess of 1,000 pages of material. The demand letter serves as the table of contents for that material.

The insurance adjuster should confirm receipt of the demand package to your personal injury attorney. After submitting the letter, it will most likely take 45-60 days for the adjuster to review the demand package. Your attorney will dutifully check with the adjuster for updates as time passes. Ultimately, the adjuster should make an offer to settle the claim.

Further Reading

You may want to read our post about how long your personal injury settlement will take. You can also see over 100 articles on our Personal Injury Blog page.

Speak With A Personal Injury Lawyer Today

If you were injured in a rear-end car accident, you should speak with a lawyer today. Personal injury lawyers help protect your rights against aggressive insurance companies. Additionally, the call is free. You can reach us at 704.749.7747 or click for a FREE CASE EVALUATION and an attorney will call you today.

Loans Against Personal Injury Claims

Yes, you can get loans against personal injury claims. You will need to provide extensive information to the lender, and your personal injury attorney will most likely need to provide an opinion to the lender as to the value of your claim. While a loan against your personal injury settlement may sound attractive, you should carefully consider the pros and cons before committing to financing your personal injury settlement.

What Is A Personal Injury Settlement Loan?

A personal injury settlement loan is an agreement between you and a lender, where the lender gives you money in exchange for an ownership right to some or all of your personal injury settlement funds. Most loans against personal injury claims are limited to settlement funds. In other words, if there is no settlement, or if the settlement is not enough to pay off the entire loan amount, the lender can’t pursue you personally for the remainder.

Should I Consider A Loan Against My Personal Injury Claim?

If money is tight and you view the loan as a way to help you make ends meet until your settlement is complete, loans against personal injury claims can be a perfect solution. Additionally, the loan may provide you with more time to settle your claim for fair value rather than rush to settle at a lower amount. If an insurance company thinks you are in a rush to settle your personal injury claim, they will typically lower the settlement offer in hopes you will take it.

What Should I Consider Before Taking A Settlement Loan?

First, you need to carefully review the terms of your loan. There are no guarantees as to whether your claim will settle. There are also no guarantees as to how much your claim will settle for. If you do take a settlement loan, you’ll want to know exactly what the language of the agreement says, in the event your personal injury settlement or jury verdict is not high enough to repay the loan.

Second, you’ll want to consider the fees and interest involved in taking a loan against personal injury claims. Lenders believe they are taking a risk by lending funds against the personal injury claim. As a result, their fees are higher than typical in the lending marketplace. If you do take a loan against your personal injury settlement, you would do well to limit the amount of the loan as much as possible, so as to minimize the interest and fees charged.

Lastly, consider how long it may be until your case settles, together with other options for making ends meet. Sometimes a family member can assist with lending you some money to get by until your personal injury claim settles. Or, you can cut expenses in the meantime. If your claim is only a few months from settling, stretching to make ends meet is probably a much better option than borrowing against your personal injury claim.

Further Reading

If you’d like to read more than 100 articles about personal injury, visit our Personal Injury Blog.

You can also read specifically about the following:

How Much Is My Car Accident Worth?

How Long Will My Personal Injury Settlement Take?

 

Speak With A Personal Injury Lawyer Today

If you have questions about working with a personal injury attorney, or if you have questions about a car accident or slip and fall, call us today. You can call 704.749.7747 or click for a FREE CASE EVALUATION and we will contact you immediately. When it comes to choosing a personal injury law firm, we know you have options. We hope you choose to Recover With Us.