Who pays my bills/lost wages?
Medical bills and lost wages resulting from your injuries caused by an accident can be significant. When you are involved in a motor vehicle accident while in a Delaware insured car, your medical bills and wage loss are paid by the automobile insurance covering the care you are occupying – regardless of which driver is at fault. This coverage is known as Personal Injury Protection (PIP) coverage, and is also referred to as no-fault coverage.
If your claim arises from a non-motor vehicle accident (for example, a slip and fall due to a dangerous condition), medical bills and lost wages are handled differently. Any wage benefit will have to come from your employment (i.e., disability benefits, vacation, and/or sick time). Medical bills will be covered by your private health insurance carrier. To the extent that private health insurance pays benefits, they will seek to recover their money out of any settlement you obtain from any responsible party. This recovery is called a subrogation right. This right is contained in almost all medical insurance policies.