There, plaintiffs have a chance to be compensated for their losses and their pain. But sometimes, even plaintiffs who prevail in their personal injury lawsuits may end up collecting less than what they are awarded. This often has to do with plaintiff’s health plan claiming all or some of it for reimbursement for money it spent on medical expenses.
There is nothing illegal about this, and the reasoning behind it is sound: If a person keeps the money intended for reimbursement of health care expenses, he or she is essentially being paid twice – once by having the health care expenses covered and then again by the defendant in the injury lawsuit.
The problem is sometimes there isn’t enough money to go around. The total compensation after legal expenses may not be enough to cover one’s loss of wages, pain and suffering, etc. – in addition to medical bills. Continue reading