Can Medical Collection damage my credit?

[stmas]

What is the name of your state? MD
1. I was in an auto accident in 2001 when a drunk driver hit my car
2. Medical help I was provided within my medical insurance network.
3. My insurance payed the bills on the ammounts allowed. Each statement I have a copy has a note: "pation is not liable for the balance".
4. My lawer settled the case 3 years ago.
5. In December of 2004 I recieved a a bill from the provider requesting to pay the balance insurance did not allow.
6. I sent a fax with all the statements reminding the provider that they are in network and must not charge me more than allowed.
7. The medical provider continue sending me letters requesting the balance and stating that they have rights for a part of the settlement.
8. Is it legal from the medical provider to demand the balance?
9. If they send to collection agency, can collectin agency damage my credit history?

Thanks in advance

 

[ellencee]

stmas
Contact the attorney who represented you in the settlement. When the attorney received the settlement amount, outstanding bills should have been paid first--unless you declined to let the attorney do so. If you took the money and agreed to pay the outstanding medical bills, then you should pay the bills at once.

EC

 

[lkc15507]

stmas:

Since medical collection absolutely can damage your credit, do as ellencee suggests and contact your attorney. But, I just want to add a couple of observations and then see if anyone has additional input. If I understand correctly, your health care insurer paid the claims originally. This carrier likely had a contractural agreement for services (being in-network) with that provider and the balances you are seeing result from the the provider's lack of acknowledging that discounted arrangement with your healthcare insurer. Minus the subrogation issue, you could contact your health care insurer at the time to help you pressure the provider into honoring the discount arrangement. But, since this was an accident with third party liability in which the at fault driver's auto insurance ultimately settled, I have to doubt that the provider would have to honor those discounts that were intended for the health plan that originally paid, rather than the third party liability payer. Thus, the reason for your continued billing by the provider if those discount amounts weren't asked for in the settlement arrangement. Very interesting situation that I really don't know the ultimate answer to. In any event, best of luck to you and don't let those bills damage your credit if you can help it. lkc15507