Let insurance pay for my medical bills or file a personal injury suit?

Let insurance pay for my medical bills or file a personal injury suit?

Personal Injury

Medical bills are the most common reason people begin a personal injury case. It is not unreasonable that if a person or business causes injury to someone, that person or business should at least be liable for paying all medical bills resulting from the injury.

“But what if my own health insurance company has already paid for my medical bills? Does it make sense to sue the person or business that was responsible for my injury?”

Consider this example of a hypothetical man named Tom.

Tom is walking down the street when he is struck by a piece of machinery being operated by a construction worker hanging a new sign on a storefront. Tom is rushed to the hospital. His left shoulder requires immediate surgery. Over the course of several months, he also visits a physical therapist to strengthen his repaired shoulder. The treatments total $40,000 and Tom’s health insurance pays for everything, except the deductible, pain and suffering, and lost wages.

Needing reimbursement & compensation, Tom hires an attorney who files a lawsuit against a construction company involved in the project. Tom’s health insurance company files a lien against that lawsuit. By filing the lien, the insurance company is arguing, “Tom is the one who was injured, therefore it’s his prerogative to sue. However, we paid $40,000 for his medical care so his favorable judgment should reimburse us also.”

In most states, the health insurance company’s lien would be valid. Let’s assume that Tom goes to court and he is awarded $90,000 for medical costs, pain and suffering, and lost wages.

After reimbursing his health insurance company and paying his legal fees, Tom would receive approximately $20,300. That can greatly help to cover his bills and inconvenience.

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If you or someone you know has been injured due to negligence, call (614) 878-7777 to discuss your case with attorney Chuck Bendig. The call is completely free and with no obligation.

This video contains my Last Will and Testament

This video contains my Last Will and Testament

Wills

Have you ever thought, ‘When I die, I’ll leave a video for my loved ones’? More and more people are preparing a video in which they read their will and explain why they’ve left certain belongings to some and not others. The recording can show the execution of the will and can be compelling proof that you were mentally competent, but is it a good idea?

Let’s explore some of the pros and cons of a video will.

Pros:

A video Will can head off claims that you weren’t of sound mind or were being unduly influenced in some way when you signed your will. A video will help in the event that someone is disappointed and decides to hire a lawyer to contest your Will. The video can also show you and your witnesses signing your Will. In this case, it clearly demonstrates that you were rational, knew the contents of your Will and were expressing your own wishes.

A video Will can supplement your formal estate plan: For example, if you want one child to serve as an executor, a video Will is your chance to say so. Your other children or family won’t be left to wonder about your actions. If you want to get into detail, a video Will can also express how you’d like your family to divvy up items of sentimental value.

Cons:

(This is a big one.) Although you may use your video Will to convey how your family should distribute sentimental items, you need to know that your wishes are not legally enforceable. Meaning your video won’t be accepted by a probate court, a bank, or any other institution that controls assets in your name. Only a formal paper Will is legally enforceable.

Videos don’t last forever and therefore, are subject to damage.

If you opt for a video Will, consider it as an add-on to a formal, legal, paper will, filed by an estate planning attorney, and remember these tips:

  • Use a quality camera that clearly identifies your face.
  • Speak clearly without distortion and eliminate as much background noise as possible.
  • Keep the video-captured area at medium close-up.
  • The video cannot be edited and must be submitted with any kind of technical data necessary to play it back.
  • Some states want you to be sworn in by a person authorized by law to take oaths.
  • Prior to administering the oath, any officers of the court have to identify themselves on camera.
  • Mention the date, time and place of the recording prior to recounting your last wishes and the recorded names of your beneficiaries, as well as the names and addresses of the will’s witnesses if they’re not present at the taping.
  • The video Will should run without interruption.

Remember, it’s still the law that to be valid, a Last Will and Testament must be on paper and signed. If you have nothing but a recording of the deceased person’s last wishes, you’re unlikely to have a Will that will hold up in court.

It is important to consult with a legal professional about the laws and regulations in your jurisdiction to determine the validity and suitability of a video Will.

Finally, keep in mind that a Will, in either written or video form, is not the only estate planning tool you have. Various trusts can also help make sure your estate is left according to your wishes.

*WL – WebLinks Directory

When should I begin my estate planning?

When should I begin my estate planning?

Probate & Estate, Wills

There’s an easy answer to this. It’s never too early. You’ve heard tomorrow isn’t promised. It’s true. At worst, you could die before getting around to executing a plan, and that could leave your heirs with a costly, divisive mess.

What happens if you suffer a debilitating health crisis that prevents you from seeing that your wishes are carried out, or even prevents you from signing essential documents?

Did you know that applicable laws that are favorable to you now may be changed to be less so later? The more years that slip by, the more vulnerable you become to being taken advantage of because of your advanced age.

If your needs change in the future, you can modify your plan; although prospective change isn’t a valid excuse for delay. Do your best to look out for yourself and for your family now, and be sure to keep your plan current. Make sure that you have the right documents and that they are in keeping with estate laws now and in the future. An estate & probate attorney can help you with this.

Here is a quick summary of the estate-planning process

Getting started on estate planning can be a lot simpler than you think. To start with, you will want to go through these basic steps:

Take inventory of your assets, including investments, retirement accounts, insurance policies, real estate holdings and valuable items including your digital assets.
Determine your goals and your inheritors. If you have minor children or elderly loved one, who will care for them when you are gone?
Designate a person that you trust to manage your business affairs; Power of Attorney.
Designate a person to direct your medical care should you become incapacitated; Power of Attorney Healthcare
Designate an Executor to implement the directives outlined in your Will.

After deciding what kinds of bequests you wish to make, it’s important to discuss your plans with your heirs. You don’t want to leave any unpleasant surprises. Think about how best to leave your assets. A simple Will may not be the best option. An attorney can help you with a variety of trusts, which have many advantages in creating an estate plan.

I can’t stress enough that the earlier and the greater the degree of clarity you use when you outline your plans to family and friends, the less chance there will be for disagreements when you are gone.

Who Should Be Your Inheritors?

Who Should Be Your Inheritors?

Probate & Estate, Wills

If you’ve thought about estate planning and have contemplated when and how to distribute your assets to your heirs, read on. You probably imagine that this process will entail a series of trade-offs to prevent emotion-laden family problems. However, when you focus on numbers, you’re dealing with objective and straightforward facts.

But, you are in murkier waters when considering who should inherit your wealth, and you understand that emotions will most likely factor into those decisions. The truth is, there is no correct answer to how to distribute your estate. But here are some questions that will help frame your thinking:

  • How much would you like to leave to charity and how much to your family?
  • Will you divide your assets equally among your heirs, or on some other basis, like need or good behavior?
  • What form does your estate take? Is it cash, securities or some other assets? Do you want to give these outright or leave them in a trust?
  • Can the heirs you chose to handle the responsibility of managing their own finances, or will they need help?
  • If you use a trust, will there be provisions, what will they be and whom will you designate as the trustee?

Maybe we should take a step back and clarify what exactly an heir is. An heir is a relation who potentially is entitled to money or property after you die, such as a spouse or child. Laws in each state outline the exact order in which heirs inherit property, but the list stops at a certain point. Not every heir automatically inherits.

The term “heir” is often used when someone dies without a will. When that happens, the estate administrator tries to find who rightfully inherits the property.

A “beneficiary” is a person or an organization who receives money or property by being specifically named in your will or trust. Beneficiaries can include charities, descendants or close friends, and even places of worship.

If you leave a will, beneficiaries often have more rights to whatever assets remain after probate. If you don’t leave a will, the assets go to the first heir in line, and the process continues until a living blood relative is found. Keep in mind that rules may vary depending on the jurisdiction.

Trusts can help ensure the people you want to get your assets, in the form you want. Ensuring the transfer of your hard-earned assets to your heirs is a crucial part of a well-thought-out estate plan. Although it may be uncomfortable to have a conversation like this with your spouse, your children, and other possible heirs, it will enable them to ask questions and clarify what your exact wishes are. While the estate planning talk deals with sensitive issues, it will mean a smoother transition for your heirs after your death.

Get started with your estate plan.

5 Common Misconceptions about a Power of Attorney

5 Common Misconceptions about a Power of Attorney

All, Probate & Estate, Wills

MISCONCEPTION #1. A power of attorney can be authorized at any time.

– I received a phone call asking me to draft a power of attorney. The caller said that she had just received certification from her father’s doctor stating that he is no longer competent. “Can you draft a power of attorney and living trust for my dad?” she asked. Unfortunately, I can’t do that. Once someone lacks legal capacity, they can no longer sign any legal document including a power of attorney or living trust, which of course is the purpose of the document. At this point, the only recourse is a guardianship proceeding through the courts, which can be extremely costly and time-consuming.

MISCONCEPTION #2. Power of Attorney documents are all the same. I’ll just download one from the web.

– Everyone’s circumstances are unique. Without guidance from an experienced estate attorney, a generic POA document could expose your estate to legal challenges and interjections. Unfortunately, when problems with a POA are discovered it’s usually too late.

MISCONCEPTION #3. A Power of Attorney grants the agent the right to make any decision that they choose.

– Within a POA the agent has an obligation to make decisions that are in the best interests of the principal. While the POA grants authority, the right to act is based on fiduciary circumstances. If the action is not in the best interests of the principal, the agent does not have the right to act. In fact, many people fear signing a POA because they are concerned that their agent will mismanage their estate. Although the fiduciary obligation offers protection, it is important to choose someone that you trust to be your agent.

MISCONCEPTION #4. There is one standard Power of Attorney; it covers everything.

– It is much more flexible than that. The principal determines what powers to grant their agent in the document, which is why it’s important that it be drafted by an experienced attorney.

  • A general power of attorney governs all powers covered by a power of attorney, such as buying or selling property or otherwise managing one’s assets.
  • A limited or special power of attorney can grant very precise authorizations. For example, a power of attorney can be drafted which only grants the power to conduct a real estate sale.

MISCONCEPTION #5. Only a Durable Power of Attorney survives death.

-All powers of attorney terminate upon the principal’s death. The difference between a regular power of attorney and a durable power of attorney revolves primarily around incapacity.

 

  • A standard POA terminates upon death or incapacity. Once either of those events happens, the POA is invalid.
  • A Durable POA survives mental incapacity, but not death. The agent can act on the principal’s behalf even if the principal is declared mentally incompetent.