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Medical Injury FAQ

How Will the Collateral Source Rule Affect My Case?

If My Care Is Covered While My Claim Is Pending, Will I Recover Less Money?

If you're not familiar with legalese (and hardly anyone is), the collateral source rule dictates what evidence is allowed in civil cases. In layman's terms, this is how it works: if you're making a case that someone owes you money, they are forbidden from using evidence that the money was paid (or will be paid) by a third party. For personal injury cases, this is usually how it usually plays out:

You were the victim of a defective medical device or drug, and you were severely injured. As a result, you sue the manufacturer for your medical expenses. Now, let's say that your healthcare costs were partially covered by Medicare or a private health insurer. Your opponent (the pharmaceutical company) might want to use your coverage to limit the size of your award. The collateral source rule makes that impossible.

In short, the collateral source rule helps you.

It makes sure that the defendant can't limit their liability just because your medical costs happened to be covered by someone else (either by insurance or from a loan). More importantly, it frees up our clients to seek immediate medical care without worrying about how it will limit their case. Thanks to the collateral source rule, defendants can't use your resourcefulness to shield themselves from responsibility.

That's why it's important to work with a law firm. Gaining legal assistance will help you understand what exactly your Medicare and Medicaid help is and how to get the most compensation possible after your injury. You need to have your medical expenses paid for—and you shouldn't have to wait until your pharmaceutical case is settled to get it. You shouldn't be penalized for reimbursement through private, state, or federal healthcare.

To talk about your case, options, and rights with an experienced professional, contact Arnold & Itkin. We're here to help, and we have the experience to make a difference.

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  • $8 Billion Top 3 Largest Jury Verdict in U.S. History Arnold & Itkin LLP tried a Risperdal case against Johnson & Johnson for failing to warn about one of the drug’s most damaging side effects: gynecomastia. Our skill, hard work, and dedication resulted in the third-largest jury verdict ever obtained ...
  • $357 Million Largest Workplace Accident Settlement in Texas history Arnold & Itkin LLP secured a massive nine-figure settlement against a transnational corporation for a workplace incident. The settlement set a Texas record for being the largest personal injury settlement in the state’s history.
  • $205 Million Confidential Settlement Obtained for Numerous Clients Arnold & Itkin reached a record $205,000,000 settlement on behalf of clients after several years of hard-fought litigation. The case settled just before trial was set to begin.
  • $171 Million One of the Largest Confidential Settlements in History Arnold & Itkin worked over the course of several years to represent clients in a case that many other law firms turned down. In the end, we were able to obtain a record-setting confidential settlement of $171 million.
  • $117 Million Largest Single-Event Personal Injury Verdict in Louisiana History Arnold & Itkin represented a pregnant woman who experienced stomach pain and called Acadian Ambulance. The driver of the ambulance drove the ambulance into the back of a sugar cane truck causing the plaintiff's spine to be severed at T4 and for her ...
  • $116 Million Confidential Settlement Arnold & Itkin LLP negotiated a massive nine figure settlement on behalf of their clients after several years of hard fought litigation.
  • $110 Million Record Settlement Achieved for Victims of Defective Products Arnold & Itkin obtained a record settlement for individuals harmed by defective, dangerous products. The result exemplifies our commitment to clients and justice for those seriously injured by the conduct of others.
  • $105 Million Record Settlement for Dangerous Product Victims Arnold & Itkin’s legal team helped represent those harmed by dangerous products. We were successful in recovering a $105 million settlement.
  • $97 Million Massive Settlement Secured for Refinery Workers Arnold & Itkin is proud to share that after months of preparation for trial, our firm was able to secure a huge settlement for clients who were injured in a refinery fire. Find out more now.
  • $92.7 Million Record Settlement for Burn Injury Victim Arnold & Itkin LLP secured a substantial settlement for a man who suffered severe burns in an accident at his job. The settlement set a new record statewide for workers with similar injuries.
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“The outcome of the case was about 10 times more than I expected.”
Kenny Truck Accident Victim

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