NASP 2009 Annual Conference

Made Whole in a Nutshell: A Case Study Presented b y Matthew R. Falk, Esq.

Introduction Presentation of Facts Presentation of Made Whole in a Nutshell memo Health Recovery in Anti-Subrogation States

Belinda Baker is rear-ended by Maxine Miller. Liability is not a real dispute. Policy limits are not an issue. Wage loss is minimal. Permanency and future medical care and treatment claimed

Summons and complaint (Tab No. 1) alleges: Negligence of Defendant Maxine Miller Obligation of Miller ’ s insurance company to pay damages Obligation of Baker ’ s insurance company to pay UIM benefits Seeks a determination of subrogation rights of health insurance companies, namely ABC Health Ins. (additionally 123, 456, and Ace)

Plaintiff claims medical specials of $4, Treating facilities are Allied Health of WI, Lakeview Medical Center, and Marshfield Clinic Subrogee ABC ’ s Request to Admit (Tab No. 2) requests all parties admit: ABC paid $1, (subsequently increased) Claims forms back-up these payments Ins. policy covers Baker ABC is subrogated to Baker ’ s rights

Plaintiff serves an offer of Settlement on Defendant’s Liability insurer for $22,500 (Tab No. 4) Plaintiff and Defendant reach a settlement that cuts off ABC’s subrogation rights without including ABC. Plaintiff offers ABC $ to settle (Tab No. 5), but that won’t fly with ABC! Plaintiff was indeed made whole Plenty of policy proceeds are available

Offers of settlement are made between Plaintiff and ABC (Tab Nos. 6 and 7) with no success... … Plaintiff seeks a hearing to extinguish lien.

Plaintiff’s argument against made whole (Tabs Nos. 8 and 9) Baker needed to be compensated in an amount in excess of $22,500 to be made whole

(Tab No. 10) Wholeness: The Wild West!

(Tab No. 11) A Different World

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