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Settlement Money

  • Avatar of pamhalpert

    pamhalpert

    [1]Mar 3, 2013
    • member since: 05/15/06
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    They are buying the hospital with the settlement money??? Does anyone else remember a few weeks ago when Owen was on the phone and found out the insurance doesn't have to pay the money because of a loophole with to many attendings on the plane? Are they just going to ignore that twist in the storyline??

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    PetraJelaviMi

    [2]Mar 4, 2013
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    Beacuse of too many attendings the hospital has to pay them the settlement money and that is why the hospital closed the trauma and is in bankrupt. Now do you get it? there is no loophole... P.S. sorry for my English

    Edited on 03/04/2013 7:16am
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    kanniballl

    [3]Mar 4, 2013
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    As Petra said... the loop hole prevented the insurance from having to pay the money.


    The settlement was against Seattle Grace (and I think) the airline since they were the at-fault parties. As much as Owen thought he was doing the right thing, he DID pick the cheaper and less-safe airline.


    With the Insurance company pointing out the loop hole and backing out, the HOSPITAL had to pay their entire portion of the settlement itself which made it go bankrupt. As Owen said upon hearing the Insurance company denied the claim, the hospital didn't have nearly enough in their "emergency account" so they had to pay out of their regular holdings. That's what "broke" the hospital.


    The loop hole was that no more than X attendings could go on the same plane. Other companies have this in place as well, because in the off-chance of a crash they don't want to lose entire departments or the entire brain-trust of a hospital.


    So, since Arizona went on the plane... that was one too many. And thus the Insurance Company didn't have to pay because the hospital went against its guidelines.



    You usually have insurance, such as Umbrella Insurance, to protect you from lawsuits. The idea being that: you pay $X per year to cover you from lawsuits up to $Y. So if-and-when some guy falls on your sidewalk and decides to sue you for a a million dollars, you don't lose your house and everything you own.


    But the Insurance company has a bunch of rules and policies in place: partially to prevent people from screwing over the Insurance company and partially just to screw over the customer. If you break one of their rules regarding the "event" then they don't have to pay. So you get stuck having to pay the entire amount yourself.


    Random things the Insurance companies might not pay out for: suicide on life insurance, finding out your purposely iced the side-walk to make your neighbor slip, are in cahoots with the plaintiff so you can split the reward, etc. Some are big and obvious, others are small and mundane. The small ones typically screw over the customers more often than not.

    Edited on 03/04/2013 8:38am
    Edited 2 total times.
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  • Avatar of pamhalpert

    pamhalpert

    [4]Mar 4, 2013
    • member since: 05/15/06
    • level: 14
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    PetraJelaviMi wrote:

    Beacuse of too many attendings the hospital has to pay them the settlement money and that is why the hospital closed the trauma and is in bankrupt. Now do you get it? there is no loophole... P.S. sorry for my English

    Your English is good.
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