Detailed Answer
When you receive a settlement offer in a Connecticut personal injury case, you must ensure it adequately covers your medical costs, both paid and unpaid. Follow these steps:
- Gather and review all medical records and bills. Collect itemized statements from every provider, including hospitals, clinics, therapists, and diagnostic facilities. Confirm which bills you or your insurer have already paid and which remain outstanding.
- Identify subrogation and lienholders. Health insurers and government programs (e.g., Medicaid) often have subrogation or lien rights. Under Connecticut law, Medicaid can assert a lien against any settlement under Conn. Gen. Stat. §17b-93. Hospitals may file liens under Conn. Gen. Stat. §52-278f. Obtain payoff figures from each lienholder.
- Calculate future medical needs. Consult your treating physician or a qualified expert to project the cost of ongoing treatment, therapy, medications, or assistive devices. Ask for a written prognosis and cost estimate.
- Allocate settlement proceeds appropriately. In Connecticut, you can ask the court for an allocation order to segregate funds for medical expenses under Conn. Gen. Stat. §52-225a. This helps protect funds earmarked for future care from creditors and preserves lienholder rights.
- Negotiate the net amount. After deducting lien payoffs, identify the net recovery for non-medical damages (pain and suffering, lost wages). Ensure the gross settlement sufficiently covers medical liens and leaves an appropriate amount for other damages.
- Review the settlement agreement language. Check that it specifies your responsibility for lien satisfaction and confirms the defendant’s payment is “inclusive” of all medical expenses. Avoid broad releases that could hamper lien negotiations.
- Seek professional advice. Even though we’re not attorneys, consulting with a personal injury attorney or claims consultant can help confirm that your allocation complies with Connecticut law and that you’ve covered all medical obligations.
Helpful Hints
- Obtain updated payoff letters shortly before signing to avoid surprises.
- Request a detailed cost breakdown for future treatments from your provider.
- Confirm whether your health plan requires reimbursement from your recovery.
- Consider structuring part of the settlement to fund long-term medical care.
- Keep copies of all lien releases after final payment.
- Review the court’s allocation order process in the local judicial district where the case is pending.