Most of my clients can’t seem to understand that their settlement (often largely) pays off their outstanding medical bills, and then after that and attorney fees/expenses they get the remainder. They all ask “Why do I have to pay these bills?” even though they’re not and seem to think the settlement amount should all go to them personally and the bills should be paid on top of that. Surely others have had this issue. How can I more clearly explain this to them?

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I think there has been a cultural misrepresentation that a PI settlement = winning the lottery. It’s evolved from a jokey thing, like “oh I hope a Mercedes hits me so I can pay off my student loans lol” to actual entitlement.

likeuplifting

Ask if they are expecting free care and if so, why? They start to understand that someone's gotta pay and it's the at-fault party. You help them in negotiating the balances but they get the benefit of boarding the full bills so it actually works to their benefit. Also a pure P&S case doesn't hit as hard as a case with large bills so walk em thru that part too. Overall they should have it explained that bills are a good thing and that you'll make sure they leave your office with no debt, feeling better, and with some money in their pocket. This is an easy gripe to deal with.

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So many say they need $X “in their pocket” even though they have medical bills and have to pay their lawyer. So if it’s a $20k case they’ll say they need $15k in their pocket or they won’t settle, even though they owe us $6,666, have $1k in expenses, and have another $5k in medical bills, leaving them $7,300. In order for the math to add up to their arbitrary $15k in their pocket we’d have to settle for a number so many multiples over the medical bills that it would be very difficult. They don’t understand why the $5k in medical bills is coming out of their settlement and all ask “Why do I have to pay that!?!”

like

We tell them upfront that on a smaller case it’s going to look like this:

1/3 bills
1/3 me
1/3 them

Set the expectation up front that….yes. There is a 15,25,50k check with your name on it, but that money is for the injuries caused by the at fault party, and all those doctors you went to don’t work for free. Neither do I.

We will reduce our fee to even a dollar less than the client if for some reason the case goes a little sideways.

like

Adding on to above,

Remind them that they likely would’ve gotten their medical bills at BEST paid without you. If they even had someone return their calls.

likehelpful

You have to temper expectations on the front end. “I’m not so worried about the big number. I’m worried about what you’ll pocket at the end of the day.”

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