After being injured in a car accident, you are likely focused on managing your pain and getting the right medical care. But a big question looms: How will you pay for your medical treatment? Do you rely on your own insurance, or should the driver who caused the accident cover your costs? If you decide to pursue legal action and file a personal injury claim, how will that affect your current hospital bills? Continue reading to learn about your legal options.

Man Signing Documents With Small Toy Car Over It

Ways to Pay for Your Medical Treatment After a Car Crash

Health Insurance

After a car accident, your health insurance provider will have the first obligation to cover your medical expenses — from the initial emergency treatment to any subsequent medical or surgical procedures and therapies. If you later receive a settlement from the insurance company of the person responsible for the accident, your health insurance carrier will want to be repaid for the medical costs they paid on your behalf.

This repayment, known as subrogation, is something you agreed to when you signed up for your health insurance. The goal of receiving an insurance settlement is to compensate you for your losses due to the accident, including medical expenses. Therefore, it’s reasonable that your health insurance would be reimbursed for these costs.

Uninsured/Underinsured Motorist Coverage

There could be a situation where the driver who caused the accident lacks adequate insurance — in other words, the liable party was either uninsured or their policy does not cover all your medical expenses. In this case, your own car insurance can provide a backup through Uninsured/Underinsured Motorist (UM/UIM) coverage. This part of your policy is designed to come into play when the at-fault driver’s insurance coverage is insufficient or absent.

However, you will likely have to wait until your insurance claim is settled before these funds are released to cover you. During this waiting period, make sure to maintain detailed records of all treatments, prescription medications, and any other expenses related to the crash. It will help process your UM/UIM claim more smoothly.

The At-fault Driver’s Liability Insurance

If the other driver is at fault, their liability insurance should cover your medical expenses. All drivers in Indiana must carry a minimum amount of liability insurance which provides financial protection for a driver who is at fault in an accident. It covers the costs of injuries and damages to other people and property, not the policyholder’s own injuries or vehicle damage. However, getting the payment might take time, especially if there is a dispute about who caused the crash.

The minimum amount of liability insurance coverage required under Indiana laws is:

  • $25,000 per person injured in an accident
  • $50,000 total per accident when multiple people are injured
  • $25,000 per accident

Medical Payments Coverage (MedPay)

If you have added MedPay to your car insurance, it’s an effective tool for managing your medical bills post-accident. In Indiana, there is an added advantage — if MedPay has covered you and you later get compensated by the driver who caused the accident, you benefit from a reduction in the repayment amount.

You will only need to reimburse your insurance for two-thirds of the MedPay expenses, allowing you to keep a greater share of the settlement money — which is a better deal than what you would get with standard health insurance.


If you have Medicare or Medicaid, these government-provided health plans will take care of your medical bills after an accident, just as a private insurer would. If you receive a financial settlement from the at-fault party or their insurance company, a portion of it will be allocated to repay Medicare or Medicaid. These programs have a legal right to recover funds they spent on your medical care from any settlement or judgment you receive.

Legal Settlement or Court Award

If you were injured due to the negligence of another person or entity, you have the legal right to seek financial compensation from the defendant’s insurance company. You will need to file a claim with their insurer, where you will detail your injuries, the treatment required, and the associated costs of your medical treatment, lost wages, and pain and suffering.

Most of these claims are resolved through a settlement agreement. If you and the insurance provider cannot agree on the amount of money you should be paid, your case might go to court. Here, a judge or jury will decide if the other party is liable and, if so, how much compensation you should receive.

Negotiating with Medical Providers

It’s also possible to have a direct conversation with your healthcare providers about your post-accident treatment bills to explore options for making this financial situation more manageable. Maybe you cannot afford to pay the entire bill right now, or perhaps the total amount seems overwhelming. In such cases, the hospital might be willing to offer a discount on the total amount or agree to a payment plan.

If you have decided to file an accident claim against the other driver, your personal injury attorney can send a letter to your medical providers requesting a deferment of your bills. This is essentially requesting them to hold off on demanding payment immediately. Your attorney will explain that you are in the middle of legal proceedings due to the accident and that you intend to settle these bills once you receive compensation.

Ambulance with the back doors open

Our Indiana Car Accident Injury Attorneys will Fight to Maximize Your Compensation

It’s always a good idea to talk to a lawyer before you decide how to handle your healthcare charges after a motor vehicle accident. An Indiana-based car accident lawyer will be familiar with cases like yours and can help you determine the best way to proceed.

At Wagner Reese, LLP, our lawyers for car accidents have decades of combined experience in ensuring that our clients get the largest possible financial compensation for their injuries and losses. Give us a call at (866) 440-1305 or fill out this contact form to schedule a free consultation today.