The Collateral Source Doctrine is a legal principle that prevents the opposing party in a personal injury case from reducing their compensation payment based on insurance or other third-party payments that have already covered the victim's expenses. For example, if a medical bill is $5,000 but insurance only pays $800, the defendant must still pay the full $5,000 rather than the reduced amount, ensuring that the victim receives complete compensation regardless of what other sources have paid.
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Collateral Source DoctrineAñadido:
Colorado collateral source doctrine.
What it says is if [music] a collateral source, let's say health insurance, Medicaid, Medicare, reduces a bill, the other side doesn't get to see that. We all know. You go to the emergency room, you ask them for a tissue, they charge you $5,000, and then Medicaid comes back and says, "No, we'll only pay 800 bucks on that." In that one example, if it's a car accident and the ER charges you 5,000, but reduces it down to 800, the other side doesn't see the 800, they have to pay the full 5,000.
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