Medical Bills After a Denver Car Accident: Who Pays and When

Let’s be honest – getting into a car accident in Denver is stressful enough without having to worry about who’s going to pay your medical bills. But here’s the thing: understanding how medical payments work after an accident can save you thousands of dollars and a ton of headaches.

I’ve seen too many people make expensive mistakes simply because they didn’t know how the system works. They end up paying out of pocket for things their insurance should’ve covered, or worse, they avoid getting medical treatment altogether because they’re scared of the bills. Don’t let that be you.

How Medical Payment Coverage Works in Colorado

Colorado’s a pretty unique state when it comes to car insurance, and if you’re new here (or just never really dug into the details), you might be surprised by how things work.

Colorado’s “Sort-of” No-Fault System Explained

Here’s something that catches a lot of people off guard: Colorado isn’t technically a no-fault state, but it has some no-fault elements. Confusing, right? Let me break it down.

You’ve got what’s called Personal Injury Protection (PIP) coverage, which is mandatory in Colorado. This coverage pays for your medical bills regardless of who caused the accident – that’s the “no-fault” part. But unlike true no-fault states, you can still sue the other driver for damages if they were at fault.

Think of PIP as your safety net. It kicks in immediately after an accident to cover your medical expenses, lost wages, and essential services. You don’t have to wait for insurance companies to figure out who’s to blame – you can get treatment right away.

Personal Injury Protection (PIP) Requirements

Every driver in Colorado must carry at least $50,000 in PIP coverage. But here’s what most people don’t realize: that $50,000 has to cover everything – medical bills, lost wages, essential services, and death benefits if applicable.

Let’s say you break your leg in an accident. Your emergency room visit costs $8,000, your surgery runs $25,000, and you need physical therapy for three months at $200 per session. That’s already over $30,000 just in medical bills, not counting the wages you’ll lose while recovering.

This is why I always tell people to consider buying more than the minimum PIP coverage. You can usually get $100,000 or even $250,000 in coverage for just a few extra dollars per month. Trust me, it’s worth it.

Medical Payments Coverage vs. PIP

Some people get confused between Medical Payments (MedPay) coverage and PIP. They’re similar but not identical.

PIP covers medical expenses, lost wages, essential services, and death benefits. MedPay only covers medical and funeral expenses. However, MedPay typically has fewer restrictions and can sometimes be easier to use.

In Colorado, you can have both PIP and MedPay, and they can work together. If you have a $5,000 MedPay policy and $50,000 in PIP, your MedPay might pay first, then your PIP kicks in for additional expenses.

Immediate Medical Coverage Options

When you’re hurt in an accident, you need medical care right away. You can’t wait weeks for insurance companies to sort things out. Here are your immediate options for getting treatment without breaking the bank.

Using Your Health Insurance Right Away

Your regular health insurance is often your best first option, especially if you’ve already met your deductible for the year. Most health insurance plans have negotiated rates with hospitals and doctors that are way lower than what you’d pay out of pocket.

Here’s a pro tip: always tell your health insurance company that your injuries are from a car accident. They’ll typically pay for your treatment upfront, but they’ll want to be reimbursed later from the car insurance settlement. This is called subrogation, and it’s totally normal.

Some people worry that using their health insurance will make their premiums go up. That’s generally not true for accident-related claims. Your health insurance company knows you didn’t choose to get hurt, so it usually won’t affect your rates.

Emergency Room Protocols

If you go to the emergency room after an accident, they have to treat you regardless of your ability to pay – that’s federal law. But that doesn’t mean the treatment is free.

When you arrive at the ER, bring your insurance cards (health insurance, car insurance, everything). The hospital’s billing department will figure out which insurance should pay primary. Don’t worry about getting this perfect – you’re probably shaken up and maybe hurt. The important thing is getting treated.

The hospital will typically bill your health insurance first if you have it. If you don’t have health insurance, they’ll often bill your PIP coverage directly. Some hospitals have financial assistance programs if you’re uninsured and meet certain income requirements.

Urgent Care and Walk-in Clinics

For injuries that aren’t life-threatening but still need prompt attention, urgent care centers can be a smart choice. They’re usually much cheaper than emergency rooms and often have shorter wait times.

Most urgent care centers accept health insurance, and many will also work directly with your car insurance company. Just make sure to tell them upfront that your injuries are from a car accident.

When to Use Medical Payment Coverage First

Sometimes it makes sense to use your MedPay or PIP coverage right away instead of your health insurance. This might be the case if:

• You have a high deductible on your health insurance
• You haven’t met your health insurance deductible yet
• Your health insurance has a high copay for the treatment you need
• You’re seeing a doctor who doesn’t accept your health insurance

The key is to be strategic about it. If you’ve got great health insurance with a low deductible, use that first. If your health insurance isn’t so great, your car insurance might be the better option.

Your Health Insurance’s Role

A lot of people don’t realize how their regular health insurance fits into the picture after a car accident. The truth is, your health insurance can be your best friend in this situation – if you know how to use it properly.

Primary vs. Secondary Coverage

Insurance companies love to play hot potato with claims, each trying to get the other one to pay first. Understanding who pays primary (first) and who pays secondary (after the primary insurance has paid) can save you a lot of confusion.

In Colorado, your health insurance typically pays primary for accident-related injuries, even if you have PIP coverage. This actually works in your favor because health insurance companies have negotiated much lower rates with doctors and hospitals.

Let’s say you need an MRI that costs $3,000. Your health insurance might have a negotiated rate of $800 for the same MRI. You save $2,200 right off the bat, which means your PIP coverage will last longer for other expenses.

Coordination of Benefits

When you have multiple types of insurance that could cover the same claim, they have to coordinate benefits. This prevents you from getting paid twice for the same expense (which would be nice, but unfortunately doesn’t happen).

Here’s typically how it works after a car accident:

1. Your health insurance pays first at their negotiated rates.
2. Your PIP or MedPay covers what your health insurance doesn’t pay.
3. Any remaining balance might be covered by the at-fault driver’s insurance.

The coordination of benefits process can take some time, but it usually works out in your favor because it helps you get the most out of your coverage.

Subrogation Rights

Here’s where things get a bit tricky. When your health insurance pays for accident-related medical bills, they don’t just eat the cost. They have what’s called subrogation rights, which means they can get reimbursed from any settlement or judgment you receive.

Let’s say your health insurance pays $15,000 for your medical treatment, and later you settle your case for $50,000. Your health insurance company can claim some of that settlement money to reimburse themselves for what they paid out.

But don’t panic – this isn’t necessarily as bad as it sounds. Many health insurance companies will negotiate their subrogation claim, especially if it would leave you with very little money after paying attorney fees and other costs.

HMO vs. PPO Considerations

If you have an HMO, you’ll need to work within their network and get referrals for specialists. This can slow things down a bit, but HMOs often have lower out-of-pocket costs.

PPO plans give you more flexibility to see specialists without referrals, which can be helpful if you need to see multiple doctors for your injuries. You’ll pay more out of pocket, but you might get faster access to the care you need.

Either way, make sure your doctors know your injuries are from a car accident. Some doctors prefer not to treat car accident patients because of insurance complications, but most will work with you if you’re upfront about the situation.

At-Fault Driver’s Insurance Responsibilities

When someone else causes your accident, their insurance company becomes responsible for your medical bills and other damages. But getting them to pay isn’t always straightforward.

Bodily Injury Liability Coverage

Every driver in Colorado must carry at least $25,000 in bodily injury liability coverage per person, with a total of $50,000 per accident. But let’s be real – $25,000 doesn’t go very far when you’re dealing with serious injuries.

If you’re hit by someone with minimum coverage and your medical bills alone are $40,000, you’ve got a problem. The at-fault driver’s insurance will only pay up to their policy limits, leaving you to figure out how to cover the rest.

This is why having good insurance yourself is so important. Your underinsured motorist coverage can pick up where the at-fault driver’s coverage leaves off.

How Claims Get Processed

The at-fault driver’s insurance company won’t just start paying your bills immediately. First, they have to accept liability (admit their driver was at fault), and then they’ll want to see all your medical records and bills.

This process can take weeks or even months. In the meantime, you still need medical treatment. This is why your own PIP coverage and health insurance are so valuable – they pay for treatment while you’re waiting for the other insurance company to sort things out.

Once the at-fault driver’s insurance accepts the claim, they’ll typically pay your medical providers directly or reimburse you for bills you’ve already paid. But they’ll only pay what they consider “reasonable and necessary” for your treatment.

Dealing with Insurance Adjusters

Insurance adjusters aren’t your friends, even when they’re super nice on the phone. Their job is to save their company money, which means paying you as little as possible for your claim.

When dealing with the at-fault driver’s insurance company, remember:

• You don’t have to give a recorded statement (and probably shouldn’t without talking to a lawyer first).
• You don’t have to accept their first settlement offer.
• You don’t have to use their preferred doctors or repair shops.
• You have the right to see all the documentation they’re using to evaluate your claim.

If the adjuster is pressuring you to settle quickly or telling you that you don’t need a lawyer, that’s usually a red flag. Take your time and make sure you understand what you’re agreeing to.

Policy Limits and What They Mean

Every insurance policy has limits – the maximum amount the insurance company will pay for a claim. These limits can have a huge impact on your case.

Let’s say the at-fault driver has a $25,000 bodily injury policy, but your medical bills are $30,000 and you’ve lost $10,000 in wages. The insurance company will only pay $25,000 total, leaving you short $15,000.

You might be able to sue the at-fault driver personally for the remaining amount, but if they don’t have significant assets, you might never collect. This is another reason why having good underinsured motorist coverage on your own policy is so important.

When You Don’t Have Insurance

I get it – car insurance is expensive, and sometimes people take the risk of driving without coverage. But if you’re in an accident without insurance, you’ve got limited options, and none of them are great.

Colorado’s Penalties for Uninsured Drivers

First, let’s talk about what you’re facing legally. In Colorado, driving without insurance can result in:

• Fines up to $500 for a first offense
• License suspension
• Vehicle impoundment
• Having to file an SR-22 (high-risk insurance certificate) for three years

If you cause an accident while uninsured, you could be personally responsible for all damages, which could include medical bills, property damage, lost wages, and pain and suffering for everyone involved.

Emergency Treatment Options

Even without insurance, you can’t be turned away from an emergency room if you have a medical emergency. The Emergency Medical Treatment and Labor Act (EMTALA) requires hospitals to stabilize patients regardless of their ability to pay.

But “stabilize” doesn’t mean “fully treat.” Once you’re stable, the hospital can discharge you and expect you to find other arrangements for ongoing care.

Many hospitals have charity care programs for uninsured patients who meet certain income requirements. Don’t be embarrassed to ask about these programs – hospitals would rather get something than nothing, and they get tax benefits for providing charity care.

Community Health Centers

Federally Qualified Health Centers (FQHCs) provide medical care on a sliding fee scale based on your income. Denver has several of these centers, and they can be a lifeline if you’re uninsured and need ongoing medical care after an accident.

These centers can’t provide emergency care, but they can handle follow-up treatment, prescription medications, and referrals to specialists who also work on sliding fee scales.

Medical Liens and Payment Plans

Some doctors and hospitals will treat uninsured car accident patients on a lien basis. This means they’ll provide treatment now and get paid later from any settlement or judgment you receive.

Medical liens can be helpful because they allow you to get necessary treatment without paying upfront. But they can also be expensive – doctors who work on liens often charge higher rates because they’re taking the risk that they might not get paid.

If you’re considering treatment on a lien basis, make sure you understand:

• What the total cost will be.
• When the lien has to be paid.
• What happens if you don’t receive a settlement.
• Whether the doctor will negotiate the lien amount.

Working with Medical Providers

If you’re uninsured, be upfront with medical providers about your situation. Many doctors’ offices and hospitals would rather work out a payment plan than turn you away completely.

Ask about:

• Discounts for uninsured patients (many providers offer these).
• Payment plans with no interest.
• Charity care programs.
• Referrals to low-cost clinics for ongoing care.

Don’t just ignore medical bills if you can’t pay them. Medical debt can hurt your credit score and result in wage garnishment or liens against your property. It’s better to communicate with providers and work out something you can afford.

Medical Liens and Treatment on Credit

Medical liens are a common way for car accident victims to get treatment when they can’t pay upfront or when insurance coverage is complicated. But they’re not always the best option, and you need to understand how they work before agreeing to one.

How Medical Liens Work

A medical lien is basically an IOU to your doctor or hospital. They provide treatment now, and you promise to pay them back from any settlement or judgment you receive from your car accident case.

The lien gives the medical provider a legal right to be paid from your settlement before you get any money. So if you settle your case for $50,000 and you have $15,000 in medical liens, the lien holders get paid first, and you get the remaining $35,000 (minus attorney fees and other costs).

Medical liens are recorded with the court or your attorney, so you can’t settle your case without addressing them. This protects the medical providers but also means you can’t just walk away from the debt.

Types of Medical Liens

There are several types of medical liens you might encounter:

Hospital liens are filed by hospitals for emergency treatment. In Colorado, hospitals can file liens against your property or your settlement for unpaid emergency care.

Attorney liens happen when your lawyer refers you to doctors who agree to treat you on a lien basis. The lawyer typically guarantees payment from any settlement, which makes doctors more willing to provide treatment.

Statutory liens are created by law. For example, your health insurance company might have a statutory lien right to recover what they paid for your accident-related treatment.

Contractual liens are created by agreement. You sign a contract agreeing that the medical provider can place a lien on any settlement you receive.

Negotiating Lien Amounts

Here’s something most people don’t know: medical liens are often negotiable. Just because a doctor charges $10,000 for treatment doesn’t mean you have to pay the full $10,000 from your settlement.

If your settlement is small or if paying the full lien amount would leave you with very little money, your attorney can often negotiate the lien down to a lower amount. Medical providers would rather get something than risk getting nothing if you can’t pay.

Factors that help in lien negotiations:

• Small settlement amounts
• High attorney fees
• Other medical bills that need to be paid
• Your financial hardship
• The provider’s actual costs vs. their charges

Risks of Medical Liens

Medical liens can be helpful, but they come with risks:

Higher costs: Doctors who work on liens often charge higher rates because they’re taking the risk of not getting paid immediately.

Limited settlement funds: The more you owe in liens, the less money you’ll receive from your settlement.

Treatment pressure: Some doctors who work primarily on liens might recommend more treatment than you actually need because they know they’ll get paid from your settlement.

No guarantee: If you don’t win your case or receive a settlement, you might still owe the full amount of the lien.

Alternatives to Medical Liens

Before agreeing to treatment on a lien basis, consider other options:

Use your health insurance if you have it. Even if your health insurance company has subrogation rights, they typically have lower negotiated rates than lien providers.

Payment plans with medical providers often cost less than liens and don’t tie up your settlement money.

Medical credit cards like CareCredit offer promotional financing for medical expenses, sometimes with 0% interest for qualified patients.

Charity care programs at hospitals and community health centers can provide free or low-cost care based on your income.

Working with Medical Providers

Getting the right medical treatment after a car accident isn’t just about your health – it’s also about documenting your injuries for your insurance claim. How you handle your medical care can make a big difference in both your recovery and your compensation.

Choosing the Right Doctors

Not all doctors are created equal when it comes to car accident cases. Some doctors love treating car accident patients, while others run the other way. Here’s what you need to know about finding the right medical care.

Emergency room doctors are great for immediate, life-threatening injuries, but they’re not going to provide ongoing care or detailed documentation for your case. They’ll stabilize you and send you on your way.

Primary care physicians are good for initial evaluation and referrals to specialists. They know your medical history and can document how the accident affected your overall health.

Orthopedic surgeons specialize in bones, joints, and muscles. If you have back, neck, or limb injuries, you’ll probably need to see an orthopedist.

Neurologists handle brain and nerve injuries. If you have a concussion or any neurological symptoms, don’t skip this referral.

Pain management specialists can help with chronic pain from your injuries. They also provide detailed documentation about how pain affects your daily life.

Physical therapists help you regain strength and mobility. They also document your progress (or lack thereof) over time.

Documentation Requirements

Your medical records are the foundation of your injury claim. Insurance companies don’t just take your word for it that you’re hurt – they want to see detailed medical documentation.

Make sure your doctors are documenting:

• How the accident caused your injuries.
• Your symptoms and pain levels.
• How your injuries affect your daily activities.
• Your treatment plan and prognosis.
• Any work restrictions or limitations.

Don’t downplay your symptoms when talking to doctors. If your back hurts, say so. If you’re having trouble sleeping, mention it. If you can’t lift your kids like you used to, tell your doctor. These details matter for both your treatment and your case.

Getting Proper Referrals

Don’t try to tough it out if you’re having symptoms. Insurance companies love to argue that you weren’t really hurt if you didn’t seek appropriate medical treatment.

If your primary care doctor recommends physical therapy, go to physical therapy. If they refer you to a specialist, see the specialist. Following your doctor’s treatment plan shows that you’re taking your injuries seriously and trying to get better.

On the flip side, don’t go overboard with treatment you don’t really need. Insurance companies also watch for people who seem to be milking their injuries with excessive or unnecessary treatment.

Managing Treatment Costs

Medical treatment is expensive, and costs can add up quickly after an accident. Here are some strategies for managing those costs:

Ask about cash discounts: Many providers offer discounts if you pay cash upfront instead of billing insurance.

Get cost estimates: Before agreeing to expensive procedures, ask for cost estimates and find out what your insurance will cover.

Use in-network providers: If you’re using your health insurance, staying in-network can save you thousands of dollars.

Generic medications: Ask your doctor if generic versions of prescribed medications are available.

Shop around: Prices for things like MRIs and CT scans can vary dramatically between providers. It pays to call around.

Second Opinions

Don’t be afraid to get a second opinion, especially if a doctor is recommending surgery or very expensive treatment. Insurance companies actually like to see that you’ve gotten a second opinion because it shows you’re being reasonable about your treatment.

A second opinion can also strengthen your case if both doctors agree on your diagnosis and treatment plan. If they disagree, it might save you from unnecessary treatment.

Insurance Bad Faith and Delays

Sometimes insurance companies don’t play fair. They might delay processing your claim, deny legitimate expenses, or pressure you to settle for less than your case is worth. When this happens, you might have a bad faith claim against the insurance company.

Recognizing Bad Faith Practices

Insurance bad faith can take many forms. Here are some red flags to watch for:

Unreasonable delays: Taking months to investigate a straightforward claim or repeatedly asking for the same documentation.

Lowball offers: Offering settlements that are obviously inadequate compared to your medical bills and other damages.

Denial without investigation: Denying your claim without properly investigating the facts or reviewing your medical records.

Misrepresenting policy language: Telling you that something isn’t covered when it actually is, or misinterpreting the terms of your policy.

Failure to communicate: Not returning your calls, not responding to your attorney’s letters, or failing to keep you informed about the status of your claim.

Demanding unnecessary documentation: Asking for medical records that have nothing to do with your accident injuries.

Your Rights as a Policyholder

As a policyholder, you have certain rights when dealing with your insurance company:

The right to prompt investigation: Your insurance company must investigate your claim promptly and thoroughly.

The right to fair dealing: They must handle your claim in good faith and deal with you fairly.

The right to communication: They must keep you reasonably informed about the status of your claim.

The right to coverage: If your claim is covered under your policy, they must pay it according to the policy terms.

The right to appeal: If they deny your claim, you have the right to appeal their decision and receive an explanation of why it was denied.

Third-Party Insurance Issues

Dealing with the at-fault driver’s insurance company can be even more frustrating than dealing with your own insurance. They don’t owe you the same duties as your own insurance company, but they still can’t act in bad faith.

Common issues with third-party insurance companies:

• Denying liability without a reasonable basis.
• Unreasonably delaying settlement negotiations.
• Making lowball offers and refusing to negotiate.
• Pressuring you to settle before you know the full extent of your injuries.
• Refusing to communicate with your attorney.

Remember, the other driver’s insurance company is not on your side. Their goal is to pay as little as possible for your claim. Don’t take their word for anything – verify everything and consider hiring an attorney if they’re not being reasonable.

When to Consider Legal Action

Sometimes the only way to get fair treatment from an insurance company is to file a lawsuit. You might want to consider legal action if:

• Your own insurance company is denying coverage that should be covered under your policy.
• The at-fault driver’s insurance company is refusing to pay a fair settlement.
• Your medical bills are piling up and insurance companies are pointing fingers at each other.
• You’ve been seriously injured and the insurance company is trying to minimize your claim.
• The insurance company is acting in bad faith by unreasonably delaying or denying your claim.

At McCormick & Murphy, P.C., we’ve been dealing with insurance bad faith cases since 1995. We know the games insurance companies play, and we know how to fight back. If you think your insurance company isn’t treating you fairly, give us a call at (720) 782-8595 for a free consultation.

Getting Legal Help

I know what you’re thinking – do I really need a lawyer for my car accident case? The answer depends on several factors, but there are definitely situations where trying to handle things yourself is a mistake that could cost you big time.

When You Need an Attorney

Here are some situations where you should seriously consider hiring a lawyer:

Serious injuries: If you’ve been hospitalized, had surgery, or have injuries that will affect you long-term, you need professional help. Insurance companies lowball these cases because they know most people don’t understand what their claim is really worth.

Disputed liability: If the other driver or their insurance company is claiming you were at fault (or partially at fault), you need someone who knows how to investigate accidents and build a strong case.

Multiple parties involved: Multi-car accidents can be complicated, with multiple insurance companies all trying to blame each other. You don’t want to get caught in the middle of that mess.

Insurance company bad faith: If your own insurance company is giving you the runaround or the other driver’s insurance is acting unreasonably, an attorney can put pressure on them to do the right thing.

Significant medical bills: If your medical bills are more than $10,000 or so, the insurance company’s settlement offer might not fully compensate you. An attorney can help ensure you get fair compensation.

Lost wages: If you’ve missed significant time from work, calculating your wage loss claim can be complicated, especially if you’re self-employed or work on commission.

How Attorneys Handle Medical Bills

One of the biggest advantages of hiring an experienced personal injury attorney is that they can help manage your medical bills and make sure you get the treatment you need.

Here’s how it typically works: Your attorney will have relationships with medical providers who will treat you on a lien basis. This means you can get treatment now and the providers will wait to be paid from your settlement.

Your attorney will also negotiate with lien holders to reduce what you owe. If your medical liens total $20,000 but your settlement is only $50,000, your attorney might be able to negotiate the liens down to $12,000, leaving you with more money.

Additionally, if your health insurance company has a subrogation claim, your attorney can negotiate with them too. Health insurance companies often agree to reduce their subrogation claims, especially if it helps you recover from your injuries and get back to work.

Contingency Fee Arrangements

Most personal injury attorneys work on a contingency fee basis, which means they only get paid if they win your case. This is great for clients because it means you can get quality legal representation even if you can’t afford to pay attorney fees upfront.

At McCormick & Murphy, P.C., we handle most personal injury claims on a contingent fee basis. If there’s no recovery through settlement or judgment, there’s no fee. This aligns our interests with yours – we only get paid if we get you a good result.

The contingency fee is typically a percentage of your settlement or judgment. While this might seem like a lot, studies show that people who hire attorneys typically receive significantly more money than those who represent themselves, even after paying attorney fees.

What to Expect from Your Attorney

A good personal injury attorney should:

Investigate your accident thoroughly, including obtaining police reports, interviewing witnesses, and hiring experts if necessary.

Handle all communication with insurance companies so you don’t have to deal with adjusters trying to trick you into saying something that hurts your case.

Make sure you get proper medical treatment by referring you to appropriate doctors and helping arrange treatment on a lien basis if necessary.

Document all your damages, including medical bills, lost wages, pain and suffering, and any long-term effects of your injuries.

Negotiate aggressively with insurance companies to get you the best possible settlement.

Be prepared to go to trial if the insurance company won’t offer a fair settlement.

Keep you informed about what’s happening with your case and explain your options in plain English.

Choosing the Right Attorney

Not all personal injury attorneys are the same. Here’s what to look for:

Experience: Look for attorneys who have been handling personal injury cases for years, not someone who dabbles in everything.

Track record: Ask about their recent settlements and verdicts in cases similar to yours.

Resources: Make sure they have the resources to properly investigate your case and hire experts if necessary.

Communication: You want an attorney who will return your calls and keep you informed about your case.

Local knowledge: Colorado laws are different from other states, so make sure your attorney knows Colorado law and practices here regularly.

McCormick & Murphy, P.C. has been specializing in personal injury and insurance bad faith cases since 1995. With over 60 years of combined legal experience, we bring specialized knowledge and extensive accomplishments to every case. We’ve been admitted to practice in Colorado state and federal courts, and we understand the challenges clients and their families face following a personal injury.

Common Medical Bill Scenarios

Let me walk you through some real-world scenarios so you can see how medical bill payment actually works in practice. These are the kinds of situations I see all the time, and understanding them can help you avoid costly mistakes.

Scenario 1: Minor Fender Bender with Delayed Symptoms

Sarah gets rear-ended at a red light. It doesn’t seem like a big deal – just some minor damage to her bumper. She exchanges information with the other driver and goes home.

Two days later, Sarah wakes up with a stiff neck and a headache. She goes to urgent care, where they diagnose her with whiplash and give her muscle relaxers and pain medication. The urgent care visit costs $400.

Sarah uses her health insurance to pay for the visit, with a $50 copay. Her health insurance pays the remaining $350. Over the next few weeks, she goes to physical therapy six times at $150 per session, for a total of $900. Her health insurance covers this too, with $25 copays for each visit.

Total medical bills: $1,300
Sarah’s out-of-pocket costs: $200 ($50 + six $25 copays)
Health insurance payments: $1,100

Sarah files a claim with the other driver’s insurance company. They offer her $2,500 to settle her claim. After her attorney negotiates, she settles for $4,000. Her health insurance company has a subrogation claim for the $1,100 they paid, but they agree to accept $800 in settlement.

Sarah’s final recovery: $4,000 – $800 (health insurance subrogation) – $1,333 (attorney fees at 33.3%) = $1,867, plus she gets back the $200 she paid out of pocket.

Scenario 2: Serious Accident with Multiple Injuries

Mike is in a head-on collision and suffers a broken leg, broken ribs, and a concussion. He’s taken by ambulance to the hospital, where he stays for four days. His total medical bills come to $85,000.

Mike has health insurance with a $5,000 deductible and PIP coverage of $50,000. Here’s how his bills get paid:

His health insurance pays $80,000 (the $85,000 in bills minus his $5,000 deductible). Mike pays the $5,000 deductible out of pocket, but his PIP coverage reimburses him for this amount.

Mike also misses three months of work, losing $15,000 in wages. His PIP coverage pays him $12,000 for lost wages (PIP only covers 60% of lost wages up to certain limits).

The at-fault driver has $100,000 in liability coverage. Mike’s attorney negotiates a settlement for the full policy limits. Here’s how the $100,000 gets distributed:

• Health insurance subrogation: $60,000 (negotiated down from $80,000)
• Attorney fees (33.3%): $33,333
• Mike receives: $6,667

Mike also makes a claim under his underinsured motorist coverage for $50,000 (the difference between his damages and what he recovered from the at-fault driver). This gives him an additional $16,667 after attorney fees.

Total recovery for Mike: $23,334, plus he had his medical bills paid and received $12,000 in wage replacement from PIP.

Scenario 3: Uninsured Driver Gets Hurt

Maria is driving without insurance (I know, I know – but it happens) when she gets hit by a drunk driver. She breaks her wrist and needs surgery. Her medical bills total $35,000.

The drunk driver has insurance, and his company accepts liability. However, Maria faces some challenges because she was uninsured:

1. She can’t use PIP coverage because she doesn’t have it.
2. She doesn’t have health insurance.
3. She could face penalties for driving uninsured.

Maria finds an attorney who refers her to an orthopedic surgeon willing to treat her on a lien basis. The surgeon performs the necessary surgery and provides follow-up care.

The drunk driver’s insurance company offers Maria $45,000 to settle her case. After negotiation, they agree to pay $60,000. Here’s how it breaks down:

• Medical lien: $28,000 (negotiated down from $35,000)
• Attorney fees: $20,000
• Maria receives: $12,000

Maria also has to deal with the penalties for driving uninsured, including fines and license suspension. The total cost of being uninsured in this case was probably around $15,000 when you factor in the higher medical costs (lien providers often charge more) and the legal penalties.

Scenario 4: Hit and Run Accident

David is hit by a driver who flees the scene. He calls 911, and the police respond, but they never find the other driver. David has moderate injuries – a herniated disc in his back that requires physical therapy and steroid injections.

Since there’s no at-fault driver to pursue, David has to rely on his own insurance coverage. He has:

• Health insurance with a $2,500 deductible
• $50,000 in PIP coverage
• $100,000 in uninsured motorist coverage

David’s medical treatment costs $15,000 over six months. His health insurance pays $12,500, and David pays the $2,500 deductible. His PIP coverage reimburses him for the deductible.

David also misses six weeks of work, losing $6,000 in wages. His PIP covers $3,600 of this (60% of his lost wages).

David files an uninsured motorist claim with his own insurance company for pain and suffering and the wages not covered by PIP. His insurance company offers $20,000, which David accepts.

Total recovery: $20,000 from uninsured motorist coverage, plus $15,000 in medical bills paid and $3,600 in wage replacement from PIP.

David’s health insurance company waives their subrogation claim because the settlement is relatively small and David is their insured.

Scenario 5: Commercial Vehicle Accident

Lisa is hit by a delivery truck while the driver is making deliveries. She suffers serious back injuries requiring surgery and extensive physical therapy. Her medical bills total $150,000.

The trucking company has $1 million in commercial liability coverage. Lisa has health insurance and $50,000 in PIP coverage.

Lisa’s health insurance pays most of her medical bills, with negotiated rates bringing the actual payments down to $90,000. Lisa pays $5,000 out of pocket for deductibles and copays, which her PIP coverage reimburses.

Lisa can’t work for eight months, losing $60,000 in income. Her PIP pays her $12,000 in wage replacement, and her short-term disability insurance covers another $20,000.

Lisa’s attorney negotiates a settlement of $450,000 with the trucking company’s insurance. Here’s the breakdown:

• Health insurance subrogation: $70,000 (negotiated down from $90,000)
• Attorney fees (33.3%): $150,000
• Lisa receives: $230,000

Lisa also receives $12,000 from PIP for wage replacement and gets reimbursed for her out-of-pocket medical expenses.

This case shows why it’s important to carry adequate insurance coverage yourself – even when the other driver has good insurance, having your own PIP and health insurance makes a huge difference in how quickly you can get treatment and how much money you ultimately receive.

Maximizing Your Recovery

Getting the most money possible from your car accident claim isn’t just about being greedy – it’s about making sure you’re fully compensated for all the ways the accident has affected your life. Insurance companies are notorious for trying to settle claims quickly and cheaply, so you need to know how to protect yourself.

Documenting All Medical Expenses

The first rule of maximizing your recovery is to keep track of everything. And I mean everything. Insurance companies will try to nickel and dime you on every expense, so you need to have solid documentation.

Medical bills and receipts: Keep copies of all medical bills, receipts for prescriptions, and receipts for medical equipment like crutches, braces, or ice packs.

Mileage logs: Keep track of miles driven to and from medical appointments. You can usually recover mileage at the IRS standard rate (currently about 65 cents per mile).

Parking receipts: If you have to pay for parking at the hospital or doctor’s office, keep those receipts too.

Over-the-counter medications: Keep receipts for things like Tylenol, Advil, heating pads, or other items you buy to help with your injuries.

Home modifications: If you have to install grab bars in your shower or buy a shower chair because of your injuries, those costs can be part of your claim.

Medical equipment: Wheelchairs, walkers, back braces – anything prescribed by your doctor should be documented and included in your claim.

Understanding Future Medical Costs

One of the biggest mistakes people make is settling their case before they know the full extent of their injuries and future medical needs. Once you settle, that’s it – you can’t come back later for more money if your injuries turn out to be worse than expected.

Get a prognosis from your doctor: Ask your doctor whether you’ll need future medical treatment, and if so, what kind and how much it might cost.

Consider future surgery: Sometimes doctors take a “wait and see” approach, hoping that conservative treatment will work. But if there’s a chance you’ll need surgery later, that needs to be factored into your settlement.

Ongoing physical therapy: Will you need physical therapy indefinitely? How much will that cost over your lifetime?

Prescription medications: If you’ll be taking pain medication or other prescriptions long-term, calculate what that will cost over time.

Medical equipment replacement: Wheelchairs, braces, and other equipment wear out and need to be replaced periodically.

Pain and Suffering Calculations

Pain and suffering is often the largest component of a car accident settlement, but it’s also the hardest to calculate. There’s no formula that says a broken leg is worth X dollars – it depends on many factors.

Severity of injuries: More serious injuries generally result in higher pain and suffering awards.

Length of recovery: Injuries that take months or years to heal are worth more than injuries that heal quickly.

Impact on daily activities: If your injuries prevent you from playing sports, picking up your kids, or enjoying hobbies, that affects your pain and suffering claim.

Permanent effects: Any permanent scarring, disability, or limitation increases the value of your claim significantly.

Age: Younger people generally receive higher awards because they have to live with their injuries longer.

Credibility: If you’re likeable and believable, juries tend to award more money. If you come across as someone who’s trying to milk the system, your award will be lower.

Working with Medical Professionals

The quality of your medical treatment and documentation can make or break your case. Here’s how to work effectively with your medical team:

Be honest about your symptoms: Don’t exaggerate, but don’t downplay your pain either. If it hurts, say so. If you’re having trouble sleeping, tell your doctor.

Follow treatment recommendations: If your doctor recommends physical therapy, go to physical therapy. If they prescribe medication, take it as directed. Insurance companies look for gaps in treatment to argue that you weren’t really hurt.

Ask questions: Make sure you understand your diagnosis, prognosis, and treatment plan. Ask your doctor to explain how your injuries might affect you in the future.

Get referrals when needed: Don’t try to tough it out if you’re still having problems. See specialists when your doctor recommends them.

Document functional limitations: Tell your doctor specifically how your injuries affect your daily activities. Can you still lift your kids? Can you sleep through the night? Can you sit at a desk for eight hours?

Avoiding Common Settlement Mistakes

Insurance companies count on people making mistakes that reduce the value of their claims. Here are some common traps to avoid:

Settling too quickly: Don’t accept the first settlement offer, and don’t settle before you know the full extent of your injuries.

Not considering all damages: Make sure your settlement covers medical bills, lost wages, pain and suffering, and future medical costs.

Forgetting about liens: Before you settle, make sure you know about all medical liens and subrogation claims against your settlement.

Not reading the settlement agreement: Settlement agreements often contain language that could affect your rights. Make sure you understand what you’re signing.

Talking to insurance adjusters without representation: Insurance adjusters are trained to get you to say things that hurt your case. Let your attorney handle these conversations.

Posting on social media: Insurance companies regularly check social media accounts of claimants. Don’t post pictures of yourself doing activities that contradict your injury claims.

The Role of Expert Witnesses

In serious injury cases, expert witnesses can make a huge difference in the value of your claim. Here are some types of experts that might be helpful:

Medical experts: Doctors who can explain your injuries, treatment, and prognosis to a jury in terms they can understand.

Economic experts: Economists who can calculate your lost earning capacity if your injuries affect your ability to work.

Life care planners: Professionals who can estimate the cost of your future medical care and daily living needs.

Accident reconstruction experts: Engineers who can analyze the accident and explain how it happened and who was at fault.

Vocational rehabilitation experts: Professionals who can assess whether you’ll be able to return to your previous job or need retraining for different work.

Expert witnesses are expensive, but in cases involving serious injuries, they often pay for themselves by significantly increasing the settlement or verdict amount.

Dealing with Liens and Subrogation

This is probably the most confusing part of car accident cases for most people. You settle your case for what seems like a good amount of money, and then you find out that various entities have claims against your settlement. Understanding liens and subrogation can help you plan better and avoid unpleasant surprises.

Types of Liens on Settlements

Hospital liens: Colorado law allows hospitals to place liens on your settlement for emergency treatment provided within 72 hours of your accident. These liens are automatic – the hospital doesn’t need your permission to file them.

Medical provider liens: Doctors, physical therapists, and other medical providers who treat you on a lien basis have contractual liens on your settlement. You signed an agreement giving them this right.

Health insurance subrogation: Your health insurance company has a right to be reimbursed from your settlement for medical bills they paid related to your accident.

Workers’ compensation liens: If your accident happened while you were working, workers’ comp might have a lien for benefits they paid.

Medicare/Medicaid liens: Government health programs have very strong lien rights and can be difficult to negotiate.

Attorney liens: Your attorney has a lien on your settlement for their fees and costs.

Negotiating Lien Reductions

Here’s some good news: most liens are negotiable. Lien holders would rather get something than risk getting nothing if you can’t pay the full amount.

Factors that help in negotiations:

• Small settlement amounts
• High attorney fees
• Your financial hardship
• Questions about the reasonableness of the charges
• The lien holder’s actual costs versus their charges

Health insurance subrogation negotiations: Health insurance companies often agree to significant reductions in their subrogation claims, especially if:

• The settlement is small relative to your total damages.
• There are questions about fault in the accident.
• Paying the full subrogation claim would leave you with very little money.
• You’re their insured and they want to maintain the relationship.

Medical lien negotiations: Private medical providers are often willing to negotiate, especially if:

• They charged above-market rates.
• Some of the treatment wasn’t related to the accident.
• You received other medical care that wasn’t on a lien basis.
• The provider wants to maintain a relationship with your attorney for future cases.

Health Insurance Subrogation Rights

Your health insurance company’s subrogation rights can be tricky because they vary depending on the type of insurance you have.

ERISA plans (employer-provided health insurance): These plans have very strong subrogation rights under federal law. They can often recover the full amount they paid, regardless of whether it leaves you with enough money.

Individual health insurance plans: These plans are governed by state law, which is generally more favorable to injured parties. Colorado has some protections that limit how much health insurance companies can recover.

Medicare: Has very strong subrogation rights and can be difficult to negotiate with. Medicare also has the right to recover from future settlements if you don’t properly address their lien.

Medicaid: Also has strong lien rights, but Colorado has some protections for Medicaid beneficiaries that can limit recovery in certain situations.

Medicare and Medicaid Considerations

Government health programs require special handling because they have stronger rights than private insurance companies.

Medicare Set-Aside accounts: If you’re on Medicare and receive a settlement, you might need to set aside part of your settlement in a special account to pay for future accident-related medical care. This prevents you from using Medicare to pay for treatment that should be covered by your settlement.

Medicaid estate recovery: Medicaid can sometimes recover from your estate after you die for benefits they paid during your lifetime. This can affect how you structure your settlement.

Reporting requirements: Both Medicare and Medicaid have strict reporting requirements. Your attorney needs to report your settlement to these agencies and address any liens before you can receive your settlement money.

Protecting Your Settlement

There are strategies to protect more of your settlement money from liens and subrogation claims:

Allocation arguments: If your settlement covers damages beyond just medical bills (like pain and suffering or lost wages), you can argue that the lien holders should only recover from the portion allocated to medical expenses.

Attorney fee sharing: Some lien holders can be required to pay a portion of your attorney fees since the attorney helped recover the money they’re claiming.

Common fund doctrine: In some cases, lien holders have to contribute to the attorney fees that helped create the fund they’re recovering from.

Hardship negotiations: If paying the full lien amount would leave you unable to meet your basic needs, some lien holders will accept reduced payments.

Working with Your Attorney on Liens

A good personal injury attorney will help you manage liens and subrogation claims throughout your case, not just at the end. Here’s what your attorney should do:

Identify all potential liens early: Your attorney should find out about all possible liens at the beginning of your case so there are no surprises later.

Negotiate with lien holders: Experienced attorneys have relationships with common lien holders and know how to negotiate effectively.

Structure settlements properly: How your settlement is structured and documented can affect how much lien holders can recover.

Handle government liens properly: Medicare and Medicaid liens require special expertise to handle correctly.

Protect your interests: Your attorney should make sure that after all liens are paid, you still receive fair compensation for your injuries.

At McCormick & Murphy, P.C., we’ve been handling lien negotiations and subrogation issues for over 25 years. We know how to protect our clients’ interests while satisfying lien holders’ legitimate claims. You can find us at 1547 N Gaylord St UNIT 303, Denver, CO 80206, or call us at (720) 782-8595 to discuss your case.

Long-Term Medical Care Planning

One of the most important aspects of car accident cases that people often overlook is planning for future medical needs. Your injuries might seem manageable now, but what will you need five, ten, or twenty years down the road? Once you settle your case, you can’t come back for more money, so it’s important to think long-term.

Estimating Future Medical Costs

Calculating future medical costs isn’t just guesswork – it requires careful analysis of your injuries, prognosis, and likely treatment needs over your lifetime.

Get a detailed prognosis: Work with your doctors to understand not just your current condition, but what you can expect in the future. Will you need additional surgeries? Ongoing physical therapy? Regular injections or other treatments?

Consider degenerative changes: Many car accident injuries, especially to the spine, can lead to degenerative changes over time. What might be manageable now could require surgery in 10-15 years.

Factor in inflation: Medical costs increase faster than general inflation. A surgery that costs $50,000 today might cost $75,000 in ten years.

Account for complications: Sometimes injuries don’t heal as expected, or complications develop that require additional treatment.

Think about related conditions: Car accident injuries can sometimes lead to other health problems. For example, if you can’t exercise because of your injuries, you might develop other health issues related to decreased activity.

Life Care Planning

For serious injuries, a life care planner can be a real help. These are healthcare professionals who specialize in assessing the long-term needs of injured people and calculating the costs of meeting those needs.

A life care plan typically includes:

• Future medical treatment and surgeries
• Prescription medications
• Medical equipment and replacements
• Home modifications
• Transportation needs
• Attendant care services
• Vocational rehabilitation

Life care planners work with your doctors to understand your condition and prognosis, then research the costs of all the services and equipment you’ll need over your lifetime. This creates a detailed roadmap of your future needs and their costs.

Medicare Set-Asides

If you’re on Medicare or will be eligible for Medicare in the future, you might need to set aside part of your settlement to pay for future accident-related medical care. This is called a Medicare Set-Aside (MSA).

The idea is that you can’t use Medicare to pay for medical treatment related to your accident if you’ve received a settlement that should cover those costs. So part of your settlement money has to be set aside specifically for future accident-related medical care.

MSAs can be complicated and expensive to set up, but they’re sometimes required. If you don’t handle Medicare’s interests properly, they can come after you later for money they spend on your accident-related care.

Insurance Considerations for Future Care

Your settlement money won’t last forever, so you need to think about how you’ll pay for medical care after your settlement is exhausted.

Health insurance: Make sure you maintain good health insurance coverage. If your injuries make it difficult to work, you might need to consider COBRA coverage or marketplace insurance.

Disability insurance: If your injuries prevent you from working, disability insurance becomes really important. Social Security Disability is available but has strict requirements and low benefits.

Long-term care insurance: If your injuries will require ongoing care or assistance with daily activities, long-term care insurance can help cover those costs.

Structured Settlements

Instead of taking your settlement as a lump sum, you might want to consider a structured settlement. This spreads your settlement payments over time, which can provide ongoing income for medical care and living expenses.

Structured settlements have several advantages:

• Guaranteed income stream
• Tax advantages
• Protection from spending the money too quickly
• Can be designed to increase over time to account for inflation

The downside is less flexibility – once you set up a structured settlement, it’s difficult to change. But for people with ongoing medical needs, a structured settlement can provide peace of mind and financial security.

Planning for Disability

If your injuries result in long-term disability, you need to plan for a very different future than you might have expected.

Social Security Disability: The application process is long and difficult, but SSDI can provide monthly income and Medicare coverage. You need to apply as soon as you know you’ll be disabled long-term.

Vocational rehabilitation: If you can’t return to your previous job, you might need retraining for different work. Vocational rehabilitation services can help assess your abilities and provide training for suitable employment.

Home modifications: You might need ramps, wider doorways, accessible bathrooms, or other modifications to make your home suitable for your changed abilities.

Transportation: If you can’t drive your current vehicle, you might need vehicle modifications or alternative transportation arrangements.

Attendant care: For severe injuries, you might need help with daily activities like bathing, dressing, or meal preparation.

Protecting Your Settlement

Once you receive your settlement, you need to manage it carefully to ensure it lasts as long as you need it.

Investment planning: Work with a financial advisor who understands personal injury settlements to invest your money appropriately. You need growth to keep up with inflation, but you also need safety and liquidity for medical expenses.

Special needs trusts: If you’re receiving government benefits, putting your settlement in a special needs trust can help you keep your benefits while still having access to your settlement money for expenses not covered by benefits.

Asset protection: Depending on your situation, you might need to protect your settlement from creditors or other claims. This is especially important if you’re likely to have ongoing medical bills.

Special Situations and Complications

Not every car accident case follows the standard playbook. Some situations create unique challenges that require special handling. Let me walk you through some of the more complicated scenarios you might encounter.

Uber and Rideshare Accidents

Getting hurt in an Uber or Lyft creates a more complex insurance situation than a regular car accident. There are potentially three different insurance policies that could apply: the driver’s personal insurance, the rideshare company’s insurance, and your own insurance.

When the rideshare driver is at fault:
If your Uber driver causes the accident, Uber’s commercial insurance should cover your injuries. Uber carries $1 million in liability coverage when a driver is actively transporting a passenger. But getting them to pay isn’t always straightforward.

When another driver is at fault:
If you’re in an Uber and get hit by another driver, you can pursue a claim against that driver’s insurance just like in any other accident. But you also have the rideshare company’s insurance as backup if the at-fault driver doesn’t have enough coverage.

When the rideshare driver is offline:
If the accident happens when the driver isn’t logged into the app, only the driver’s personal insurance applies. Many personal auto policies exclude coverage for commercial activities, which could leave you with limited options.

The app status matters:

• Driver offline: Only personal insurance applies.
• Driver online but no passenger: Rideshare company provides limited coverage.
• Driver en route to pickup or transporting passenger: Full commercial coverage applies.

Commercial Vehicle Accidents

Accidents involving commercial vehicles – trucks, delivery vans, company cars – often involve higher insurance coverage limits but also more complex liability issues.

Multiple responsible parties: In a truck accident, you might have claims against:

• The truck driver
• The trucking company
• The company that loaded the cargo
• The truck manufacturer (if there was a mechanical defect)
• The company that maintained the truck

Federal regulations: Commercial drivers and trucking companies must follow strict federal regulations. Violations of these regulations can strengthen your case significantly.

Higher insurance limits: Commercial vehicles typically carry much higher insurance limits than personal vehicles – often $1 million or more. This means there’s more money available to compensate you for serious injuries.

Electronic logging devices: Modern trucks have electronic systems that record speed, braking, and other data. This information can be really important in proving how the accident happened.

Preservation of evidence: Trucking companies are required to preserve certain records after an accident, but only if they’re properly notified. Your attorney needs to act quickly to ensure important evidence isn’t destroyed.

Accidents Involving Government Vehicles

If you’re hit by a city bus, police car, or other government vehicle, special rules apply that can make your case more complicated.

Sovereign immunity: Governments have some protection from lawsuits, but this immunity isn’t absolute. In Colorado, the Colorado Governmental Immunity Act sets the rules for when you can sue a government entity.

Notice requirements: You typically have to give formal notice to the government entity within a specific time period (often 180 days) or you lose your right to sue.

Damage caps: Colorado limits how much you can recover from government entities – currently $424,000 per person and $1,197,000 per incident for most claims.

Different procedures: Suing a government entity often involves different procedures and deadlines than suing a private party.

Insurance complications: Government vehicles might be self-insured rather than covered by traditional insurance companies, which can affect how claims are handled.

Hit and Run Accidents

If the other driver flees the scene, you lose your ability to pursue their insurance company. But you’re not necessarily out of luck.

Uninsured motorist coverage: This is your primary protection in hit-and-run cases. Your own insurance company steps into the shoes of the at-fault driver and pays your claim.

Police investigation: File a police report immediately and cooperate fully with the investigation. Sometimes hit-and-run drivers are caught later, which reopens the possibility of pursuing their insurance.

Witness statements: Get contact information for any witnesses who might have seen the accident or gotten a license plate number.

Surveillance footage: Check with nearby businesses to see if they have security cameras that might have captured the accident or the fleeing vehicle.

Crime victim compensation: In some cases, you might be eligible for compensation from the state’s crime victim compensation fund.

Accidents with Uninsured/Underinsured Drivers

Even though Colorado requires all drivers to carry insurance, about 13% of drivers are uninsured. If you’re hit by an uninsured driver, or someone whose insurance isn’t enough to cover your damages, your own insurance becomes really important.

Uninsured motorist coverage: This covers you when you’re hit by a driver with no insurance. In Colorado, insurance companies must offer this coverage, but you can reject it in writing.

Underinsured motorist coverage: This kicks in when the at-fault driver has insurance, but not enough to fully compensate you. For example, if your damages are $100,000 but the at-fault driver only has $25,000 in coverage, your underinsured motorist coverage can pay the difference.

Stacking coverage: If you have multiple vehicles on your policy, you might be able to “stack” your uninsured/underinsured motorist coverage to get higher limits.

Suing the uninsured driver: You can still sue an uninsured driver personally, but most people who drive without insurance don’t have significant assets to pay a judgment.

Medical Malpractice Complications

Sometimes car accident victims are injured further by negligent medical treatment. This creates a complex situation where you might have claims against both the car accident and the medical provider.

Proving medical malpractice: You have to show that the medical provider’s treatment fell below the standard of care and caused additional injury beyond what you suffered in the accident.

Separating damages: It can be difficult to determine which injuries are from the accident and which are from the medical malpractice. This often requires expert medical testimony.

Multiple insurance policies: You’ll be dealing with the car insurance companies and the medical provider’s malpractice insurance, which have different procedures and requirements.

Statute of limitations: Medical malpractice cases have different deadlines than car accident cases, so timing can be tricky.

Accidents Involving Minors

When children are involved in car accidents, either as drivers or passengers, special rules apply.

Parental liability: Parents can be liable for accidents caused by their minor children, but Colorado limits this liability to $15,000 for property damage.

Court approval of settlements: Any settlement involving a minor must be approved by the court to ensure it’s in the child’s best interest.

Guardianship: Someone must be appointed to represent the minor’s interests in the legal proceedings.

Structured settlements: Courts often prefer structured settlements for minors to ensure the money is available for the child’s future needs.

Longer statute of limitations: Minors typically have longer to file lawsuits – until they turn 20 in most cases.

Drunk Driver Accidents

Accidents involving drunk drivers can result in both criminal charges against the driver and civil claims for damages.

Criminal vs. civil cases: The criminal case is separate from your civil claim. The driver can be convicted of DUI and still fight your civil case.

Punitive damages: Colorado allows punitive damages in cases involving drunk driving, which can significantly increase your recovery.

Dram shop liability: In some cases, bars or restaurants that over-served the drunk driver can also be responsible for damages.

Insurance coverage issues: Some insurance policies try to exclude coverage for intentional acts or criminal behavior, but this doesn’t always hold up in court.

Social host liability: If the drunk driver was drinking at a private party, the host might have some responsibility under Colorado’s social host laws.

Recovery Timeline and Expectations

One of the most common questions I get is, “How long will this take?” The answer depends on many factors, but understanding the typical timeline can help you plan and set realistic expectations.

Immediate Phase (First 30 Days)

Week 1-2: Focus on medical treatment
Your first priority should be getting the medical care you need. Don’t worry about the insurance stuff right away – your health comes first. Get to the emergency room if you need to, follow up with your primary care doctor, and get any referrals to specialists.

During this time, you should also:

• Report the accident to your insurance company.
• Get a copy of the police report.
• Take photos of your injuries and any property damage.
• Start keeping track of all your expenses.

Week 2-4: Initial insurance contact
The at-fault driver’s insurance company will probably contact you within a few days of the accident. You don’t have to talk to them right away, and you definitely don’t have to give a recorded statement without talking to a lawyer first.

If you’re going to handle the claim yourself, you can start the process by filing a claim with the other driver’s insurance. But if your injuries are more than minor, this is a good time to at least consult with an attorney.

Investigation Phase (30-90 Days)

Gathering evidence
During this phase, all the evidence about how the accident happened gets collected. This includes:

• Police reports
• Witness statements
• Photos and videos
• Medical records
• Vehicle damage assessments
• Sometimes accident reconstruction

Medical evaluation
You’ll continue getting medical treatment and your doctors will start to get a clearer picture of your injuries and prognosis. This is important because you can’t settle your case until you know the full extent of your injuries.

Insurance company investigation
Both your insurance company and the other driver’s insurance company will be investigating the accident. They’ll review the police report, interview witnesses, and assess the damage to the vehicles.

Treatment Phase (3 Months to 2+ Years)

Ongoing medical care
The length of this phase depends entirely on the severity of your injuries. Minor soft tissue injuries might resolve in a few months, while serious injuries requiring surgery can take years to reach maximum medical improvement.

Documentation is key
During this phase, it’s important to:

• Follow all your doctor’s recommendations.
• Attend all appointments.
• Complete prescribed physical therapy.
• Keep track of how your injuries affect your daily life.
• Document all expenses related to your injuries.

Avoid early settlement pressure
Insurance companies often try to settle cases quickly, before you know the full extent of your injuries. Don’t let them pressure you into settling too early. Once you settle, you can’t come back for more money if your injuries turn out to be worse than expected.

Resolution Phase (Varies Widely)

Demand and negotiation
Once you’ve reached maximum medical improvement (meaning your condition has stabilized and isn’t expected to improve significantly), it’s time to start settlement negotiations.

Your attorney (or you, if you’re representing yourself) will send a demand letter to the insurance company outlining your damages and requesting a specific settlement amount. The insurance company will respond with an offer, and negotiations begin.

Settlement vs. litigation
Most car accident cases settle without going to court. Settlement negotiations can take anywhere from a few weeks to several months, depending on the complexity of the case and how reasonable the insurance company is being.

If settlement negotiations fail, you might need to file a lawsuit. This adds significant time to the process – typically 1-3 years from the time you file suit until trial.

Factors That Affect Timeline

Severity of injuries: More serious injuries take longer to treat and evaluate, which extends the timeline.

Disputed responsibility: If there’s a question about who caused the accident, it takes longer to resolve the case.

Multiple parties: Accidents involving multiple drivers or commercial vehicles are more complex and take longer to resolve.

Insurance company cooperation: Some insurance companies are easier to work with than others. Uncooperative insurers can drag out the process significantly.

Court schedules: If your case goes to trial, you’re at the mercy of the court’s schedule. Some courts are busier than others.

Your attorney’s caseload: An attorney who’s handling hundreds of cases might not be able to give your case the attention it deserves, which can slow things down.

What You Can Do to Speed Things Up

Get medical treatment promptly: Don’t delay getting medical care, and follow through with all recommended treatment.

Keep good records: Maintain organized files of all your medical records, bills, and other documents related to your case.

Communicate with your attorney: Return your attorney’s calls promptly and provide requested information quickly.

Be realistic about settlement: Unrealistic settlement demands can prolong negotiations unnecessarily.

Consider mediation: Mediation can sometimes resolve cases faster than traditional negotiation or litigation.

Managing Expectations

Most cases settle: About 95% of personal injury cases settle without going to trial. Trials are expensive, time-consuming, and risky for both sides.

Settlement amounts vary widely: There’s no formula for calculating settlements. Similar cases can have very different outcomes based on factors like the skill of the attorneys, the specific facts, and even the personalities of the people involved.

Insurance companies are businesses: They’re not evil, but they’re trying to make money. Their interests aren’t aligned with yours, so don’t expect them to volunteer to pay you more than they have to.

Patience usually pays off: Rushing to settle often results in accepting less money than you deserve. It’s usually worth waiting to make sure you get fair compensation.

When to Consider Hiring an Attorney

Early is better: If you’re going to hire an attorney, it’s better to do it early in the process. Attorneys can help ensure you get proper medical treatment and avoid making mistakes that hurt your case.

Serious injuries: If you’ve been hospitalized, had surgery, or have injuries that will affect you long-term, you should definitely consider hiring an attorney.

Disputed responsibility: If the other side is claiming you were at fault, you need professional help.

Insurance company problems: If the insurance company is giving you the runaround, denying your claim, or making lowball offers, an attorney can put pressure on them to be reasonable.

At McCormick & Murphy, P.C., we understand the challenges clients and their families face following a personal injury. We’re dedicated to helping clients find their way through the frustrating legal process with personal care and attention, enabling them to move forward with their lives and recovery. Since 1990, both of our attorneys have specialized in personal injury and insurance bad faith cases, and we bring over 60 years of combined legal experience to every case.

Frequently Asked Questions

Over the years, I’ve heard pretty much every question you can imagine about medical bills and car accidents. Here are the ones that come up most often, along with straight answers that hopefully help clear up some of the confusion.

Who pays my medical bills immediately after an accident?

This depends on what insurance you have and how you want to handle it. Your options include:

• Your health insurance (usually your best first option if you have good coverage).
• Your PIP coverage (required in Colorado, pays regardless of fault).
• Your Medical Payments coverage (if you have it).
• The at-fault driver’s insurance (but they won’t pay until they accept responsibility).
• Out of pocket (not ideal, but sometimes necessary).

Most people use their health insurance first because it has negotiated rates with providers, which means lower overall costs. Your health insurance will seek reimbursement later from any settlement you receive.

What if I don’t have health insurance?

You’ve got fewer options, but you’re not completely out of luck:

• Your PIP coverage will pay up to your policy limits.
• Emergency rooms must treat you for emergencies regardless of ability to pay.
• Many hospitals have charity care programs for uninsured patients.
• Some doctors will treat you on a lien basis (they get paid from your settlement).
• Community health centers provide care on sliding fee scales.

The key is to be proactive about finding affordable care options and not just ignore your medical needs because you’re worried about cost.

Can I use my regular doctor after a car accident?

Absolutely. In fact, it’s often a good idea because your regular doctor knows your medical history and can document how the accident affected your health.

Just make sure to tell your doctor that your injuries are from a car accident. This affects how the bills get coded and paid, and it helps with your insurance claim documentation.

What happens if the other driver doesn’t have insurance?

This is where your uninsured motorist coverage becomes really important. If you have this coverage (and you should), your insurance company steps in and pays your claim as if they were the at-fault driver’s insurance.

You can also sue the uninsured driver personally, but most people who drive without insurance don’t have significant assets to pay a judgment.

How much PIP coverage should I carry?

Colorado requires $50,000 minimum, but I usually recommend more if you can afford it. Consider that $50,000 has to cover medical bills, lost wages, essential services, and death benefits.

If you have good health insurance, you might be comfortable with the minimum PIP coverage. If your health insurance isn’t great or you don’t have it, consider buying $100,000 or more in PIP coverage.

Will using my health insurance make my premiums go up?

Generally, no. Health insurance companies don’t typically raise premiums for accident-related claims because they know you didn’t choose to get hurt. Plus, they have subrogation rights to get reimbursed from your settlement.

What’s the difference between PIP and Medical Payments coverage?

PIP covers medical expenses, lost wages, essential services, and death benefits. Medical Payments coverage only covers medical and funeral expenses.

PIP is required in Colorado; Medical Payments coverage is optional. You can have both, and they can work together to provide more coverage.

Can I choose which insurance pays first?

Sometimes. If you have both health insurance and PIP coverage, you might have some choice about which one to use first. The decision should be based on factors like:

• Deductibles and copays
• Provider networks
• Coverage limits
• Your overall financial situation

Your attorney can help you make this decision strategically.

What if my medical bills exceed the at-fault driver’s insurance limits?

This is where your underinsured motorist coverage comes in. If the at-fault driver has $25,000 in coverage but your damages are $50,000, your underinsured motorist coverage can pay the difference.

You might also be able to sue the at-fault driver personally for the remaining amount, but collecting from individuals can be difficult.

How long do I have to file a claim?

For insurance claims, you should report the accident as soon as possible – ideally within 24 hours. Most policies require prompt notification.

For lawsuits, Colorado’s statute of limitations is generally three years from the date of the accident for personal injury claims and three years for property damage claims.

Should I give a recorded statement to the other driver’s insurance company?

You’re not required to give a recorded statement to the other driver’s insurance company, and it’s often not in your best interest to do so. These statements can be used against you later if you say something that could be interpreted as admitting fault.

If you have an attorney, let them handle communications with the other insurance company. If you’re representing yourself, you can provide basic information about the accident without giving a formal recorded statement.

What if I felt fine after the accident but hurt later?

This is very common, especially with soft tissue injuries like whiplash. Adrenaline and shock can mask pain immediately after an accident, and some injuries don’t show symptoms for hours or even days.

See a doctor as soon as you start having symptoms, and make sure to tell them the symptoms started after your car accident. Gaps between the accident and medical treatment can be used by insurance companies to argue that your injuries aren’t related to the accident.

Can I see any doctor I want?

If you’re using your health insurance, you’ll need to stay within your network to get the best coverage. If you’re using PIP or the at-fault driver’s insurance, you typically have more flexibility in choosing providers.

Some doctors prefer not to treat car accident patients because of insurance complications, but most will work with you if you’re upfront about the situation.

What happens to my medical bills if I win my case?

It depends on how your bills were paid initially:

• If your health insurance paid, they’ll typically seek reimbursement from your settlement.
• If you paid out of pocket, you’ll be reimbursed from your settlement.
• If providers treated you on a lien basis, they’ll be paid from your settlement.
• Your PIP coverage typically doesn’t seek reimbursement.

How much is my case worth?

There’s no simple formula. The value depends on factors like:

• Severity of your injuries
• Amount of medical bills
• Lost wages
• Pain and suffering
• How the accident affects your daily life
• Whether you have permanent injuries
• The quality of evidence about who was at fault

Similar cases can have very different values based on these factors and the skill of the attorneys involved.

Do I need a lawyer?

Not every case requires a lawyer, but you should consider hiring one if:

• You have serious injuries.
• Your medical bills are substantial.
• There’s a dispute about who was at fault.
• The insurance company is giving you problems.
• You’re not comfortable handling negotiations yourself.

Most personal injury attorneys work on contingency fees, so you don’t pay unless you win. Studies show that people with attorneys typically receive more money than those who represent themselves, even after paying attorney fees.

How do I choose the right attorney?

Look for:

• Experience with car accident cases specifically.
• Good track record of settlements and verdicts.
• Good communication skills.
• Adequate resources to handle your case properly.
• Someone you feel comfortable working with.

Don’t just hire the lawyer with the biggest TV ads. Look for someone who will give your case personal attention and has the experience to handle it properly.

Conclusion: Taking Control of Your Medical Bills

Look, I get it. Dealing with medical bills after a car accident is overwhelming, especially when you’re already dealing with pain, missed work, and all the other stress that comes with being hurt in an accident. But here’s the thing – understanding how the system works puts you in control instead of leaving you at the mercy of insurance companies.

The most important thing to remember is that you have options. Even if you don’t have great insurance, even if the other driver was uninsured, even if you’re facing a mountain of medical bills – there are ways to get the care you need and the compensation you deserve.

Your Action Plan

First priority: Get medical care. Don’t let worry about bills prevent you from getting treatment. There are ways to handle the costs, but you can’t undo damage from untreated injuries.

Know your coverage. Take a few minutes to understand what insurance you have – health insurance, PIP, Medical Payments, uninsured/underinsured motorist coverage. Know your limits and deductibles.

Document everything. Keep records of all medical treatment, bills, lost wages, and how your injuries affect your daily life. This documentation is the foundation of your case.

Don’t rush to settle. Insurance companies will try to settle your case quickly and cheaply. Don’t accept their first offer, and don’t settle until you know the full extent of your injuries.

Get help when you need it. If your injuries are serious, if the insurance company is giving you problems, or if you’re just feeling overwhelmed, talk to an experienced personal injury attorney. Most offer free consultations, so you have nothing to lose by getting advice.

The Bottom Line

You didn’t choose to get hurt in a car accident, but you can choose how to handle the aftermath. By understanding your options, being proactive about your medical care, and getting professional help when you need it, you can handle this difficult time and come out in the best possible position.

Remember, insurance companies are in the business of paying as little as possible for claims. They count on people not understanding the system, not knowing their rights, and accepting less than they deserve. Don’t let that be you.

When You Need Professional Help

At McCormick & Murphy, P.C., we’ve been helping Denver car accident victims since 1995. We understand the challenges you’re facing, and we know how to get you the medical care you need and the compensation you deserve.

We handle most personal injury claims on a contingent fee basis, which means you don’t pay attorney fees unless we win your case. If there’s no recovery through settlement or judgment, there’s no fee. This allows you to get quality legal representation without worrying about upfront costs.

Our office is located at 1547 N Gaylord St UNIT 303, Denver, CO 80206. You can reach us at (720) 782-8595 for a free consultation. We’ll review your case, explain your options, and help you understand what to expect.

Don’t let medical bills and insurance company games add to the stress of your recovery. Take control of the situation by understanding your rights and options. You’ve got enough to worry about – let us handle the insurance companies while you focus on getting better.

The road to recovery after a car accident isn’t always easy, but with the right knowledge and support, you can get through it successfully. You deserve fair compensation for your injuries, and with the right approach, you can get it.

Remember, every situation is unique, and this article provides general information, not legal advice for your specific case. When in doubt, consult with an experienced personal injury attorney who can give you guidance tailored to your particular circumstances.

Your health and financial recovery are too important to leave to chance. Take action, know your rights, and don’t settle for less than you deserve.