I was involved in an auto accident in Chandler AZ in January 2014 and suffered serious injuries. The at fault person in the other car was uninsured with no assets and the driver's auto policy had only $30k of uninsured coverage. Two other parties were awarded $15k and $7.5k and I was awarded $7.5k. My health insurer has filed a lien to collect $7k of my award leaving me only $500. Is this legal? The auto insurance states the uninsured coverage is not for medical payments. I do not currently have an attorney representing me.
1 Answer from Attorneys
In order to answer your questions, most attorneys are going to want some additional information. For instance, did you have your own auto insurance even though you were a passenger in the vehicle? Secondly, did your health insurer take the necessary steps to perfect their lien in order to collect? In Arizona, medical care providers are not typically entitled to underinsured motorist coverage, however they do have a right to uninsured coverage. The answer is that it may be legal for them to assert their lien on your settlement, but an attorney would need to review all the facts before we know for certain. Keep in mind, there are ways to negotiate these types of liens that may help you get more money in your pocket so may want to at least consult with an attorney.