BILL COLLECTORS - WORK COMP
Hibu Websites • March 31, 2021
BILL COLLECTORS - WORK COMP

10 Aug, 2018
Work Comp - Bill Collectors
If you are being harassed by a bill collector in reference to medical expenses from a work injury is there anything that you can do?
Yes.
Bill collectors are notorious for aggressively pursuing individuals for payment of work related medical bills. Typically, this problem arises because the work comp insurance company refuses to pay valid medical bills. Not wanting to fight an insurance company, the bill collectors turn on the worker and demand payment. Sometimes the workers are sued in small claims court. In situations where the medical bills are the result of a work injury, there are steps available to the worker who is being pursued by a bill collector.
Iowa law recently restricts the ability of a bill collector to pursue a worker for work related expenses. What the legislature did was to forbid the use of the small claims court, or district court process, for bill collection efforts. If a worker has a claim on file with the Iowa Industrial Commissioner in which the medical bills is being disputed the bill collector must wait until the Iowa Industrial Commissioner resolves that issue. Obviously, if the Industrial Commissioner find that the bill should be paid, then the work comp insurance company will pay the bill, and late charges in full.
The keys to making use of this process are as follows:
1. The medical expense at issue must be the product of a work related injury.
2. The medical bill must be turned over the workers' compensation insurance company.
3. A worker must have a contested case on file with the Iowa Industrial Commissioner in which the medical bill is at least one of the issues.
If you can establish these three elements, it will be impossible, and incredibly unfair for the bill collector to take you through the small claims court system.
Individuals who are being harassed by bill collectors in this circumstance should tell the bill collector that "Iowa Code § 85.27(6), prohibits the use of the small claims court to collect this work related medical expense."
Individuals with this problem should contact the workers' compensation insurance company and request their assistance. You can also consult with an attorney of your choice to receive further guidance and information as to this very unpleasant problem.
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