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There are five basic phases to the personal injury process: (1) treatment; (2) medical records collection; (3) demand & negotiation; (4) medical bill reduction; and (5) settlement. If these steps do not result in a settlement a lawsuit will be necessary (see The Lawsuit Process). Understanding where you are in this process will help you to be a wise and successful personal injury claimant.
TREATMENT
Settlement offers are generally a function of your treatment. Generally, the more serious your injuries, the more treatment you need, the more treatment you receive, the higher your medical bills, and the higher your medical bills, the higher the settlement offer. While you are treating, the attorney may not have significant updates on your case, as there is not much they can do on the claim until you’ve completed treatment. When treatment is completed, inform your attorney right away.
MEDICAL RECORDS COLLECTION
After you have called and provided a list of all the doctors and medical providers you have seen for your injuries, your attorney will request your medical records. It can take several weeks to obtain the records and bills, depending on the provider. Some providers charge a small sum to produce these records. These costs will be paid for by the attorney initially, but will eventually be deducted from the final settlement as case expenses, if your case is successfully resolved.
DEMAND & NEGOTIATION
Your attorney will put together a demand package that includes medical records, treatment notes, lost wages, and a demand letter arguing that you be compensated. Once the demand package has gone out, the other party usually takes three to four weeks to respond with an initial offer, longer for more complex cases. After the first offer comes in, and throughout the negotiation process, your attorney should keep you updated with the offers and also pass along the concerns from the other side. Sometimes the other side makes good points, and it is important that your attorney make you aware of these issues so that you have an accurate understanding of the value of your claim. Certain injuries and incidents are worth more than others, and a variety of factors can affect the value of your claim. Many victims of injuries feel they deserve more than their claim is actually worth, but as long as your attorney is competent and trustworthy, he or she will help you understand the true value of your claim.
MEDICAL BILL REDUCTION
Once the negotiation has reached a deadlock, the attorney will now focus on the doctors and attempt to negotiate lower medical bills. This is a very important step in the process and is often where your attorney can be most valuable.
Most, but not all, medical providers usually agree to a reduction. If your health insurance has covered your treatment, they may also agree to a reduction (your health insurance typically has a right to be repaid for expenses it covered that were caused by the negligence of others, this is called a “right of subrogation”).
As previously indicated, most medical providers will grant a reduction. However, they may not do so as quickly as you and your attorney would like. There is no real incentive for the providers to hurry with their reduction, so be prepared to be patient.
SETTLEMENT
With a final offer on the table and your medical bills reduced to their final amounts, phase five has begun. At this time you will likely meet with your attorney to discuss settlement. This may come before or after filing a lawsuit. Any settlement will be divided between you, the attorney, and the medical providers. First, the attorney will take the percentage allowed by your contract, along with any expenses that were incurred in the pursuit of your claim. The medical bills, now fully reduced, are paid next. You then receive everything that is left over.
Sometimes it is necessary to file a lawsuit in order to adequately protect your rights. Your attorney may advise you to file a lawsuit when the he or she believes negotiation process has come to a halt and the top offer given by the other side is nowhere near enough to cover your medical expenses and lost wages. In those circumstances, it is important that the law firm you hire has adequate trial experience (read Choosing the Right Attorney to learn more about the importance of selecting a law firm with trial experience).
CONCLUSION
Good luck with your claim! A personal injury claim doesn't have to be a headache. The more you know about the process, the less likely you will be taken advantage of.
The Voss Law Firm, P.C. represents clients on a local, national and international basis. We proudly serve all Texas counties and cities including but not limited to the following: Harris County, Montgomery County, Jefferson County, Houston, The Woodlands, Beaumont, El Paso, San Antonio, Austin, Sugar Land, Dallas, Fort Worth, Orange, and Port Arthur, as well as companies and individuals along the Gulf Coast and around the globe.