borrowing money on future settlement

I was injured in Feb 2011 at my uncle's house while helping him move his insurance has excepted responsibility for his negligence. The problem is disability is taking a long time to get approved and I have spent over $10,000 in medical bills I now need surgery that could range from $11,000 to $75,000 but the doctor will except 4,000 down and bill the rest but I don't have it my uncle will not loan it to me because someone said that there is no legal way to place a lien against future settlement with the insurance company because it is illegal. What options do I have

jonc1981:

someone said that there is no legal way to place a lien against future settlement with the insurance company because it is illegal.

"Someone" is wrong.  However it is not your uncle's place to loan you the money for this issue since his insurance is already covering the injury.  In fact, lending you the money could potentially compromise your settlement.  The problem with borrowing against a settlement is there is no way to predict how much your case is worth and if you borrow more than it settles for then you have a major problem.

It isn't just the surgeon's fee you need to be concerned with.  In elective surgery cases (which this is because it is not a life threatening emergency) the hospital will also require a significant deposit to allow you to have it done.  

If you have an attorney talk to them about negotiating a medical lien against the settlement so that you can get the surgery done.  

jonc1981:

I was injured in Feb 2011 at my uncle's house while helping him move his insurance has excepted responsibility for his negligence

Really?

And you have that in writing from the insurance company?

And has the insurance company agreed on a dollar amount, also in writing?

Sorry, but the way liability insurance claims work is that you have nothing until you reach a settlement with the insurance company and it's put into a written agreement and a release.

I don't think it's illegal for somebody to lend you money based on an insurance claim you haven't settled yet. What I do think is that you won't get anybody foolish enough to do it.

The 4,000 covers the surgical center and the doctor I do not have a lawyer since the ins is being very helpful they are even trying to approve a pre payment for medical bills up to date. So I would not have to keep waiting to have the surgery I just thought it would be better to borrow the money and settle with the ins all at once.  Do you know how  he would go about putting the lien against the settlement.

I don't have it in writing but I do have it on my voice mail where she left a message saying that they will be excepting full responsibility due to my uncles negligence.

Perhaps---but the insurance firm has every incentive  to drag it out and settle for less and to take advantage of your lack of expertise----and a voice mail is not something you can take to bank.

If I had suffered major injuries I'd at least want an opinion about my issues from TWO of the leading PI attorenys in my county.

BTW, what is the limit of Uncles liability coverage? Thats an absolute cap on where they will go.......

not sure of cap but the home is insured for 2.0mil

not sure of cap but home is insured for at least 2.0million

jonc1981:

I just thought it would be better to borrow the money and settle with the ins all at once.

Then try and get a personal loan.  

jonc1981:

Do you know how  he would go about putting the lien against the settlement.

That needs to be handled by a lawyer.  DO NOT rely on a voice mail promising payment.  You need a personal injury attorney NOW.   Once the statue of limitations expires to file a suit then you are forever barred from redress through the courts.  The insurance company has a valid defense:  the statutes have tolled.  DO NOT put it past them to string you along until the statutes expire and then they can tell you to kiss off.  Consult local counsel ASAP.

jonc1981:

not sure of cap but home is insured for at least 2.0million

That could be for the damage to the home. Injury liability limits on a homeowners policy typically are in increments of $100,000 or $300,000 or $500,000. If your uncle has a 2 million dollar home, he likely has one of the higher limits. Might even have a personal umbrella policy that adds another million or two to his liability coverage.

But that doesn't mean that you are going to get any of it.

jonc1981:

the ins is being very helpful.

Have they written you any checks yet?

jonc1981:

they are even trying to approve a pre payment for medical bills up to date

"Trying to"? Mmm Hmm.

jonc1981:

I just thought it would be better to borrow the money and settle with the ins all at once. Do you know how he would go about putting the lien against the settlement.

Sure.

You execute a simple assignment form similar to this one:

http://info.dhhs.state.nc.us/olm/forms/dsb/dsb-0613-VR-ia.pdf

Which is used by a state agency to cover benefits paid to injured people if there is a likelihood of future litigated or negotiated compensation from another source.

jonc1981:

I don't have it in writing but I do have it on my voice mail where she left a message saying that they will be excepting full responsibility due to my uncles negligence.

Well, if you want to rely on that, be my guest.

But it's possible that the insurance company is only committing to the Medical Payments Coverage of your uncle's policy which can be paid to a claimant without regard to fault and is often limited to increments of $1,000 or $5,000 or $10,000.

I suggest you call that person back and find out exactly what they are committing to.

Otherwise you might be in for a rude awakening if you expect the insurance company to cover a $75,000 surgery.

By the way, if you'd care to reveal just how the injury occurred I might be able to venture a guess as to whether the insurance company is looking at just the Medical Payments Coverage or a negligence settlement.

A personal loan would be hard to do since I have not worked in over a year. I have critical spinal stenosis with bi-lateral nerve impingement 2 ruptured disk I cant sit stand or walk for more than 30 min. without numbness and severe pain from lower back to toes.

The statue of limitation in SC is 3 years I plan on going to court to keep the medical portion open due to future surgeries that may be needed

jonc1981:

I have critical spinal stenosis with bi-lateral nerve impingement 2 ruptured disk I cant sit stand or walk for more than 30 min. without numbness and severe pain from lower back to toes.

That doesn't tell me how the injury happened.

I was carring a roll of flooring to floor his dog house and he had been working on some wiring going down his walkway the week before he left them exposed out of the ground and I did not know about it and could not see them so I triped on it and came down on my right leg and the roll of flooring on my sholder causing 2 disk to rupture and the worst muscle spasm I ever felt I left there and went to er

Were you being paid or compensated in any way for doing this work?

The bankability of that promise of future settlement has all the reliability of wet toilet paper.

You need some more aggressive suggestions from adjuster jack in terms of protecting your position to recover as best the situation may be

jonc1981:

I was carring a roll of flooring to floor his dog house and he had been working on some wiring going down his walkway the week before he left them exposed out of the ground and I did not know about it and could not see them so I triped on it and came down on my right leg and the roll of flooring on my sholder causing 2 disk to rupture and the worst muscle spasm I ever felt I left there and went to er

I would be inclined to agree that your uncle was negligent in leaving exposed wires.

That makes his insurance company your ENEMY. Make no mistake about that. Your uncle's insurance company is not your insurance company and owes you nothing unless and until a court of law finds your uncle responsible and says how much.

Until then the insurance company has a contractul obligation to defend your uncle against your claim, if not for the liability issue, then for the amount of damages.

That means that the insurance company is highly unlikely to give you any money while you are still under treatment. You'll have to wait until you recover or reach maximum medical improvement.

Which means you are screwed if you go up against the insurance company without your own lawyer, especially if you are looking at $75,000 worth of surgery and a possibly permanent disability.

I strongly urge you to get a personal injury attorney. Try to find one who has medical resources that will defer getting paid until your claim eventually gets settled. That way you can get your treatment and needed surgery without being concerned about how you will pay for it.