Victims and their attorneys go through a long, sometimes arduous process when they litigate a personal injury case or negotiate a settlement outside of court. The victim may not realize that those covering medical costs and injury-related expenses (insurance carriers, Medicare, Medicaid, ERISA, or others) root for the victim to win their settlement. If the plaintiff wins, the above companies and organizations will use a subrogation act to get what they view as their piece of the victim’s compensation. Depending upon the number of entities involved, it can lead to a sizable cut of settlement money. Adding insult to injury, the victim and their attorney did the work so these health care companies and government organizations can recoup some or all of their money.
What is subrogation?
Subrogation claims occur when a lien is put on a victim even before the case is settled. These large organizations use general counsel to advise them on how to recover money through these settlements. However, a few select attorneys specialize in protecting the plaintiff and their personal injury attorney for these attempts to recoup money that victims often paid through insurance premiums and withholdings.
A helpful presence in court
Personal injury attorneys representing the plaintiff may need to bring these specialists into court to help protect the settlement’s size. In cases such as this, the subrogation specialist can outline the liens involved and how the organizations’ claims impact the victim’s compensation. Ideally, this information can be considered in the award or settlement amount, limit the cut of subrogation claims, and ensure the largest possible settlement to the victim who actually endured pain and suffering.