Pedestrian Accident Claim
My daughter was struck by a van while crossing the street in California. She sustained cracked ribs, several pelvic fractures, and has undergone two surgeries involving plates and screws. Unfortunately, nerve damage in one leg remains, and she will require knee surgery in the coming months. After three months of recovery, she is still in considerable pain and relies on crutches, but being young gives her an advantage, and the doctors are hopeful for her full recovery.
As non-U.S. citizens, we were in California on a business trip when the accident occurred. Thankfully, her employer provided travel insurance, which covered all medical expenses—totaling nearly $2 million—meaning we didn’t have to pay anything out of pocket in the U.S. I stayed with her in the hospital for two months until we could return home.
We have hired a lawyer since, as foreign citizens, we were unsure of what steps to take. The driver responsible for the accident has shown no concern for my daughter’s well-being and was operating a company vehicle. Shockingly, the company didn’t even report the incident to their insurance. Our lawyer has learned the company has liability coverage of up to $1.5 million.
I have a few questions about the claims process. If my daughter receives compensation for her pain and future treatment in our home country, will we need to reimburse our insurance company for the medical expenses first? If we pursue the maximum claim, after the lawyer’s fees, it seems we would still be left to pay some costs out of pocket. Our lawyer mentioned we could seek a higher amount, but there is a risk that the company could declare bankruptcy, leaving us with nothing.
We view medical expenses and compensation for suffering as separate issues. Are we obligated to request an amount that just covers both, including reimbursing our medical costs? Shouldn’t our insurance company pursue the other party for reimbursement of those expenses?
I’m really sorry to hear about your daughter’s accident and the challenges you’re facing. Navigating the complexities of personal injury claims, especially as non-citizens, can be particularly daunting.
In situations like this, the primary focus is usually on securing compensation for your daughter’s suffering and any future medical expenses resulting from the accident. Generally, the compensation you receive can be divided into different categories, such as compensation for pain and suffering and for medical expenses. You are correct to think of these as distinct, but in many cases, medical costs that have been covered by insurance can be factored into the claim.
Since your daughter had travel insurance that covered her medical expenses, there is typically an expectation that any settlement received for those medical expenses may need to be reimbursed to the insurance company. This is often called “subrogation,” where the insurer has the right to recover costs when a third party is liable for the injuries.
Here are some key points to consider:
Liaising with Your Insurance: It’s important to check with the travel insurance company about their policies regarding reimbursement. They can explain how subrogation works and what your obligations might be.
Damage Amounts: Generally, pain and suffering compensation is separate from medical expenses. You and your lawyer can consider making claims for both. Your lawyer might suggest requesting a total that includes both the medical costs and additional compensation for suffering, given the extent of your daughter’s injuries.
Settlement Risks: Your lawyer’s advice about the risks of pursuing a higher claim is important to consider. If the company responsible for the accident is financially unstable, there may be a limited chance of collecting the full amount.
Legal Counsel: Since you’ve already hired a lawyer, it’s crucial to communicate your concerns and ask for clarification on how they plan to maximize the settlement while ensuring your daughter’s immediate medical costs are covered.
Future Care: Make sure your lawyer is factoring in potential future medical expenses (like the knee surgery you mentioned) into any settlement discussions.
Ultimately, your situation has many variables, and it’s wise to rely on your legal advisor to navigate these complexities. Your priority should be ensuring that your daughter gets the care she needs and that any compensation reflects both her current and future needs.