Car accident settlement! Did my lawyer mess it up??

[ntran]

What is the name of your state? CA
I had a no-fault car accident in December 2003. I live in California.
My case was settled in March 2005. I received a total of $16,000
settlement for pain and suffering, my lawyer received $8,000. My medical expenses were $8,000 which were paid by my car's insurance company.
Do I have to pay back my car's insurance company that $8,000? My lawyer never told me about this claim from my car's insurance before I settled the case. After I signed the release, he told me about that and suggested me to ingore it. Now I receive a letter from a law firm which threaten me if I don't pay back the $8,000. Could you advise me what I should do? I believe that since I was never advised either by my car insurance company or by my lawyer before the settlement, I should not be told to pay after I already settled the case. Should I sue my lawyer for lack of due care (negligence)?
Thank you very much"

 

[moburkes]

What is the name of your state? CA
I had a no-fault car accident in December 2003. I live in California.
My case was settled in March 2005. I received a total of $16,000
settlement for pain and suffering, my lawyer received $8,000. My medical expenses were $8,000 which were paid by my car's insurance company.
Do I have to pay back my car's insurance company that $8,000? My lawyer never told me about this claim from my car's insurance before I settled the case. After I signed the release, he told me about that and suggested me to ingore it. Now I receive a letter from a law firm which threaten me if I don't pay back the $8,000. Could you advise me what I should do? I believe that since I was never advised either by my car insurance company or by my lawyer before the settlement, I should not be told to pay after I already settled the case. Should I sue my lawyer for lack of due care (negligence)?
Thank you very much"

I don't know what a no fault accident is, especially in CA. Maybe you mean that the accident was NOT your fault. Yes, if your insurance company paid out medical benefits on your behalf, but you were not the at fault party, then they expect to get reimbursed from the at-fault party. Since YOU received the reimbursement already, they are looking for YOU to pay it back.

 

[xxuanxx]

Read your policy carefully, you will find some language which prohibts you from settling cases or have them settled on your behalf if your car insurance company is involved.

If you have charged your medical expenses to <b>work</b> provided insurance coverage, the $8,000 would be yours.

Lawyers know this the minute you walk into the door. Many lawyers work with chiropractors and split your settlement 50%-50%.

 

[justalayman]

Don;t you think you should be asking the attorney about this? If he told you to ignore it then he needs to justify his advice.

I am not an attorney but what I have been told is that there is a difference between receiving an award for P and S as opposed to actual damages. Since you were not compensated for your actual losses but were awarded P and S that the insurance company could not lay claim to that portion of your award.

I've been wrong before and may be again but was told this by an attorney. Even they can be wrong though as well.

 

[moburkes]

Work-provided health insurance is allowed to be reimbursed as well.
It appears that the insurance company is asking for the $, because, since there is a settlement, they cannot get reimbursed from the at-fault party's insurance company. I ASSumed that OP's auto insurance paid the medical claim.

We certainly need more information.

Who paid the medical claim? Your auto insurance's medical payments coverage, or your health insurance at work?

What is a no-fault accident?

What exactly did the settlement papers say?