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What Happens To Medical Bills When Workers’ Comp Is Denied?

October 30, 2025

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What Happens To Medical Bills When Workers’ Comp Is Denied?

Michigan lawyer explains how to get medical bills paid when there is a dispute about workers’ comp benefits.

Workers’ comp is a safety net for employees who are hurt on-the-job. It covers all reasonable and necessary medical treatment without any co-payments or deductibles being owed. It is perhaps the most important benefit available. Unfortunately, insurance companies look for ways to dispute claims. A question we get from potential clients is what happens to medical bills when workers’ comp is denied in Michigan? We tell them that payment could be made by some other insurance, or it could end up being their personal responsibility.

Employees who find their medical treatment under workers’ comp denied can file an Application for Mediation or Hearing. This will start a legal process where a magistrate decides if medical should be paid or not. Evidence from both sides will be presented. Based on the evidence presented, a magistrate can then order an insurance company to make payment of medical bills.

What happens to medical bills when workers’ comp is denied in Michigan?

In Michigan, if a workers’ comp claim happens to be denied for medical bills, employees can file an Application for Mediation or Hearing. This starts a legal process where a magistrate decides if medical bills should be paid. Health insurance will pay disputed medical bills pending resolution of a workers’ comp case. This includes Medicare and Medicaid.

Health insurance will pay disputed medical bills

In Michigan, if a workers’ comp claim happens to be denied for medical bills, then health insurance will usually pay until a case is decided. An employee may need to provide a formal document called a Notice of Dispute. They may also have to sign a reimbursement agreement and pay money back out of the proceeds of any settlement or award. An experienced lawyer can negotiate with health insurance and reduce any payback amount. The goal should be to get medical bills paid and maximize what the employee receives in his or her pocket. If the case is lost, there should be no reimbursement to health insurance whatsoever.

Debt is written off by medical providers

In Michigan, if a workers’ comp claim happens to be denied for medical bills, medical providers will sometimes write off debt they believe to be uncollectible. This means no further payment is expected and the medical bills simply go away. Watch out because these medical bills can sometimes reappear and cause major headaches. It is possible to get a settlement from workers’ comp that includes money for medical bills that have been written off.

Medical bills are sent to collections

In Michigan, if a workers’ comp claim happens to be denied, it is common for unpaid medical bills to be sent to collections. This can result in an endless stream of annoying telephone calls, damage to a person’s credit score, and a possible lawsuit. These bills will stick around until someone pays them. Make sure to hire an experienced lawyer to protect your interests.

Injured on the job in Michigan? Contact our work injury lawyers now

If you were injured while on the job in Michigan and you are wondering what happens to medical bills if your workers’ comp claim is denied, then call now (855) 221-2667 or fill out our contact form for a free consultation. There is absolutely no cost or obligation. Our attorneys are here for you.

Our attorneys have been exclusively helping injured workers in Michigan for more than 40 years. Our attorneys can help you better understand our state’s work injury laws and what happens after someone has been hurt on the job.

To see what our own clients have to say about the caring, compassion, and communication they received from us, you can read in their own words about their experience here on our testimonials page from clients we have helped.

Michigan Workers Comp Lawyers never charges a fee to evaluate a potential case. Our law firm has represented injured and disabled workers exclusively for more than 40 years. Call (855) 221-2667 for a free consultation today.

Related information:

Penalty For Late Workers’ Comp Payment Explained

Jeffrey E. Kaufman, Michigan Workers Comp Attorney
Jeffrey E. Kaufman, Michigan Workers Comp Attorney

Jeffrey E. Kaufman has extensive experience in workers compensation cases and has recovered millions of dollars in benefits for his clients. He believes all injured workers deserve to be on equal footing with insurance companies and employers, and fights tenaciously so their rights are secured and protected.

Get Help From our Michigan Workers’ Comp Lawyers Today

You’re not alone. Our Michigan workers’ comp lawyers have been called the best in the state, and we pride ourselves on providing you with care, trust, and responsiveness.

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