I found the law practice of what was at the time, Turcy and Chute, to be very efficient, knowledgeable and committed in the specialty of Personal Injury Law. As a recipient of their guidance and perseverance, I was very pleased with their communication, explanations and the ultimate positive verdict. For over three years, Tom Chute and staff shared their professionalism, belief and expertise in my case. I would not hesitate to recommend them to others.
Mike took care of my case and I’m thankful for all of the help, time, and effort he put forth for me. Any time I had questions, Mike was always there to answer and then answer them again if I needed further clarification. Nobody really wants to be put in this position and dealing with a process like mine, but if you absolutely have to, go with him.
I had the pleasure of working with attorney Tom Grace on my deceased father’s personal injury case. Tom was very prompt in all of his communications, he never left us guessing what was going on or where we were in the process, he offered up his honest opinion when it was decision making time and lastly he ensured this case wasn’t dragged out. I would highly appreciate his customer service and would absolutely recommend Tom Grace and the Chute, O’Malley, Knobloch & Turcy team.
AMAZING! I highly recommend this group. We had quite an unusual case, this group was our only glimmer of hope when our options were limited and no one would accept a complicated case. We worked closely with Colin O’Malley and his team. Words cannot do justice to how wonderful they are; highly competent, professional, very responsive, thorough and friendly. Colin went above and beyond to make himself available and to answer all our questions and concerns. If you need an excellent proficient injury lawyer that would fight for you, look no further!
Tom Grace is an amazing attorney. I highly recommend him, he was very professional, caring, and very detailed when explaining the status of my case. I was very pleased with my settlement especially during a time like this with this cover-19 going on. He managed to get things done in a timely manner and always kept me in the wraps with my case. Thank You so very much! I really appreciated it. If anyone needs a lawyer, Tom Grace is the guy to go to. Very good job!
In Illinois, your car accident medical bills are typically paid first by your own auto insurance Medical Payments (MedPay) coverage, your health insurance, or out-of-pocket. Then they are later reimbursed from the at-fault driver’s insurance settlement.
Understanding who pays what, and when, is critical because making the wrong move can leave you personally liable for thousands of dollars in medical debt while waiting months or years for your case to resolve.
Here’s how medical bill payment works in Illinois car accident cases, what insurance coverage applies, and how to protect yourself from getting stuck with bills that should be paid by the at-fault driver.
Insurance companies almost never pay personal injury medical bills directly as treatment happens. Instead, they push for quick settlement offers, sometimes while you’re still in the hospital. Their hope is that you’ll accept a lowball amount before you realize how serious your injuries are or how much your case is really worth.
Their strategy is to settle fast, and settle cheap. Their goal is to close your file and pay pennies on the dollar before you finish treatment, discover you need surgery, or develop permanent disability. Once you sign that release, they’re done, and you’re stuck with mounting medical bills and no recourse.
So if the at-fault insurance company isn’t paying your bills while you’re recovering, who is?
Medical bills don’t wait for insurance settlements. Hospitals, doctors, and medical providers expect payment for services rendered. Here are the four primary sources that cover your immediate medical expenses after an Illinois car accident.
MedPay is optional coverage in Illinois that pays for medical expenses regardless of who caused the accident, typically up to a specified limit, and helps cover deductibles and copayments.
MedPay is no-fault coverage. It pays your medical bills whether you caused the accident or not. Common coverage limits range from $1,000 to $10,000, though higher limits are available.
Why MedPay is valuable:
If you use MedPay and don’t file a claim against the other driver, MedPay won’t seek repayment. If you recover compensation from the at-fault driver, your insurance company may seek reimbursement.
Make sure to inform your medical providers that your injuries resulted from a car accident and provide your auto insurance information, not just your health insurance card.
If you don’t have MedPay or your MedPay limits are exhausted, your health insurance will typically cover car accident injuries.
Your health insurance pays for treatment subject to your normal deductibles, copays, and coverage limits. However, there’s a complication you need to understand: subrogation.
What is subrogation?
Subrogation occurs when your health insurance company pays your medical bills but demands to be reimbursed later from your settlement with the at-fault driver’s insurance.
Health insurance companies have the legal right under subrogation to be reimbursed from personal injury settlements for money they spent on your medical care.
This means if your health insurance pays $20,000 in medical bills, and you later settle your case for $50,000, your health insurer may claim part of that settlement to recover what they paid.
Illinois law provides some protections through the “made whole” doctrine, which generally states that you must be fully compensated for your losses before the insurance company can recover subrogation amounts, but navigating these claims requires skilled legal representation.
Some accident victims pay medical bills directly out-of-pocket, especially if they lack health insurance or MedPay coverage.
This is financially crippling for most people. Emergency room visits cost thousands of dollars. Surgeries can reach tens or hundreds of thousands. Physical therapy, imaging, specialist consultations—it all adds up fast.
Paying out-of-pocket should be a last resort. An experienced Naperville car accident attorney can often negotiate with medical providers to accept deferred payment or work on a lien basis, where the provider agrees to wait for payment until your case settles.
Some medical providers, particularly chiropractors, physical therapists, and personal injury specialists, will treat car accident victims on a lien basis.
A medical lien is a formal agreement where the provider treats you now and gets paid later from your settlement. The provider essentially becomes a creditor with a legal claim to a portion of your settlement proceeds.
Benefits of medical liens:
Risks of medical liens:
Medical liens should be carefully negotiated and reviewed by your attorney to ensure fair terms.
The at-fault driver’s bodily injury liability coverage is designed to compensate you for medical bills, lost wages, pain and suffering, and other damages, but only after you’ve completed treatment and filed a claim or lawsuit.
Here’s how it works:
The at-fault driver’s insurance settlement is the ultimate source of recovery, but it comes last, not first. Since Illinois only requires drivers to carry minimum bodily injury liability coverage of $25,000 per person and $50,000 per accident total, other avenues of recovery might be necessary if they’re available.
Subrogation can dramatically reduce your net settlement if not handled properly.
Imagine this scenario: You’re injured in a crash. Your health insurance pays $15,000 in medical bills. You settle your case for $30,000. Without proper legal representation, your health insurer exercises its subrogation rights and demands the full $15,000 back, leaving you with only $15,000, which doesn’t compensate you for lost wages, pain and suffering, or much of anything beyond reimbursing medical expenses.
An experienced attorney fights to reduce or eliminate subrogation claims through negotiation, application of the “made whole” doctrine, and careful structuring of settlements to maximize your net recovery.
Insurance companies are entitled to reimbursement for covering your healthcare bills if you receive compensation in court, but the amount they can recover is negotiable; if you have skilled legal representation.
Insurance adjusters know most accident victims are panicking about medical bills. They exploit that fear by offering quick settlements before you’ve finished treatment or consulted an attorney.
These settlement offers are almost always low.
The adjuster might offer $5,000 to “cover your emergency room bill” when your injuries will require months of treatment, surgery, and result in permanent limitations. Once you accept that settlement and sign a release, you’re done. You can’t come back later when you discover your injuries are more severe than initially diagnosed.
Never accept a settlement offer before:
There’s no set timeframe for the at-fault driver’s insurance company to pay your medical bills because they typically don’t pay them directly. Instead, they pay a lump sum settlement after your treatment is complete, and you’ve submitted a claim. This process can take months or even years depending on the complexity of your case, whether liability is disputed, and whether you file a lawsuit. Your immediate medical bills are covered by MedPay, health insurance, or payment arrangements with providers.
If the at-fault driver is uninsured or underinsured, you can file a claim under your own uninsured/underinsured motorist (UM/UIM) coverage if you carry it. This coverage compensates you for injuries caused by drivers who lack adequate insurance. You can also file a lawsuit against the at-fault driver personally, though recovering damages from an uninsured driver who likely has limited assets is often difficult. This is why carrying adequate UM/UIM coverage is critical in Illinois.
Using MedPay coverage should not increase your insurance premiums because you’re claiming benefits under your own policy for an accident you didn’t cause. However, insurance companies can sometimes raise rates based on overall claims history. Using your health insurance for accident-related injuries typically doesn’t affect premiums differently than any other medical claim. The key is documenting that the bills resulted from a car accident, so the at-fault driver’s insurance bears ultimate responsibility.
If you’ve been injured in a car accident, and you’re facing mounting medical bills, you need an attorney who understands Illinois personal injury law, insurance coordination, and subrogation rights.
We’ve helped countless accident victims navigate the complex maze of medical bill payment, maximize their settlements, and protect their financial recovery.