Ambulance bill arrived late | Insurance not paying it

by Deb
(Texas)

My son, who is on my auto policy, had a no-fault accident in December in Arkansas while visiting my mother.

He had his 2 step-brothers in the vehicle with him with the truck was tipped out and totaled and was considered so by the insurance company, AIG.

They were taken to the hospital via ambulance, which is not covered by our health insurance. In order to settle the case so that he could get a new truck, we had to streamline the paperwork, and the parent of my sons' step-brothers signed off on the damage to the kids they really were ok.

It's all said and done.3 months later the ambulance bill comes rolling in to the tune of $850, due now. My son calls the insurance company, who informs him the case is closed and that the parent signed off on all financial responsibility to the company.

This is ridiculous that the ambulance company can hold off so long on billing that the case gets closed and the client gets stuck with the cost. Is there any recourse?

Thank you,
Deb


Answer:

Hello Deb,

Sorry to hear this. Yeah 3 months is a long time, but probably not enough to argue that the ambulance company waived their right to be paid.

Remember that auto polices have different coverages under different sections, and some places may not afford coverage, some others will.

Now, your Personal Injury Protection or Medical Payments coverage of your policy (of the car the kids were at the time of the accident) is a first party coverage.

This means that you are covered regardless of the you sign. You pay a premium for medical payment or medical bills regardless of fault or anything to that effect. A release (the sign off) is only effective for the liability portion of the policy.

Visit: http://www.auto-insurance-claim-advice.com/personal-injury-protection.html for more details about your coverages.

In other words, the driver that rolled the vehicle was liable to the kids (they did nothing wrong and were hurt), therefore his/her policy (same policy) under the liability portion would have to pay for the kids medical bills and/or other injuries (like pain and suffering, etc.) The parents sign off on the "liability" aspect of the claim. In other words, the kids cannot go back and get a lawyer and sue the driver. I hope you follow me thus far.

Now, this should not preclude the coverage afforded to them under the Personal Injury Protection section. They remain insureds and they were injured per the policy. Under that section, there is no need for a release as those medical bills should get paid first. As mentioned above, this coverage is a no-fault base coverage.

You can also remind the insurance company that the kids were injured and they are minors, this very likely means that they have not signed anything and they have until the turn 18 to make a claim. It is very likely that the "sign off" would not be effective because the parents cannot settle the matter for their kids.

The second argument is much weaker than the first, but knowing your pip coverage can help you get his paid at 100%.

Good Luck,

http://www.auto-insurnace-claim-advice.com