How to Pay for Medical Bills While Waiting for a Car Accident Claim to Be Resolved?

You’ve been in a car accident and require medical attention for your injuries. But now you’re receiving unexpected, unwanted, and financially devastating medical bills that exponentially increase as time goes by. Soon, your medical debt will be reported to your credit records, and debt collectors will start to call. According to the Consumer Financial Protection Bureau (CFPB), approximately 26% of Americans ages 18 to 64 reported having problems paying medical bills in 2021.

Unfortunately, the personal injury claim process can take weeks, months, or years depending on how complex your case is and the severity of your injuries. Once you contact an experienced car accident injury attorney, they will start the initial paperwork to file your claim and begin the discovery process. More time is invested in settlement negotiations, and going to trial may be the next step if the negotiations fail. So how can you pay for medical bills while waiting for a resolution?

Private Health Insurance

If you held private health insurance before the accident, you could use this method to pay the mounting medical bills. You may have been paying premiums through your or your spouse’s place of employment. If you paid premiums for Affordable Care Act (ACA) health insurance plans purchased through the California health insurance exchange marketplace, this could also help pay medical bills stemming from your injuries. This Covered California program allows residents to buy coverage at federally subsidized rates.

Both types of insurance will pay a significant portion of your health care expenses due to car accident injuries while waiting for compensation. You may still have costs to pay in the form of copays and deductibles. However, once you receive a settlement, a portion of it will reimburse the insurer the total amount they paid and compensate you for your out-of-pocket expenses.

Medi-Cal and Disability Insurance

California’s Medi-Cal program pays for medical services for children and adults with limited income and resources at low or no cost. It’s the equivalent of the federal Medicaid program. Med-Cal covers most medical care and even pays for transportation when needing these services. It may take 45 to 90 days to process and approve your application. As with private insurance, any expenses paid for your personal injuries must be reimbursed to Medi-Cal when you collect your settlement.

You may be eligible to sign up for disability insurance (DI) if you cannot work or have lost earnings due to your car accident injuries. DI provides short-term wage replacement when you can’t perform your usual job duties because of your injuries. The application process and approval for this benefit can take up to 14 days. However, the application process can take longer if the claim is incomplete or additional information is required.

Med Pay Option on Your Auto Insurance

You can opt for medical payment coverage to be added to your auto insurance. This option pays for immediate medical care and medical expenses when you or your passengers are injured in a car accident, no matter who is at fault in causing the accident. If you hold this type of coverage, your medical expenses will also be covered whether you’ve been hit by a vehicle while walking, cycling, or riding public transit.

Med Pay has comprehensive coverage when it comes to auto accident injuries. Med Pay will cover medical expenses such as:

Ambulance rides
Emergency room charges
Hospital stays
Follow-up visits with a doctor
Prescription medications
Transportation to and from appointments

You won’t have to pay deductibles or copays. Med Pay will even cover funeral and burial expenses if a death occurred due to the accident. However, it won’t cover lost income, property damage, or the other driver’s injuries.

Settlement Loans and Advances

If your financial needs are immediate, there are lawsuit loans or cash advances that you can get to help with those needs. These loans can help you not feel pressured into taking a low or inadequate settlement offer, and more time can be taken to negotiate a fairer settlement.

The disadvantage of obtaining these loans is that they are expensive. You’ll be paying funding fees and interest in addition to the principal out of the settlement amount you eventually receive. The interest could be as high as 27% to 60% a year and can add up depending on how long the settlement process progresses. You might be better off considering other resources like insurance proceeds or an installment loan from a bank or credit union.

The California Personal Injury Experts at Kash Legal Are Here to Help

Paying your medical debt should not be on your list of worries when trying to heal and recover from injuries caused by a car accident. That’s why it’s important to contact the personal injury attorneys at Kash Legal as soon as possible if you have mounting medical bills. They can advise you on the best options to stay ahead of the medical bills while they work towards getting you the compensation you need.

The attorneys at Kash Legal are experts in all facets of personal injury cases. They do everything they can to relieve the financial burden of their clients so they can focus on healing and recovery. Call Kash Legal for a free consultation at (888) 527-4128 or complete our contact form if you’re threatened with financial devastation resulting from a car accident.