If you receive a settlement as a result of a personal injury claim, your insurance company—or any other entity that paid for your child’s medical care, including the government—has the right to recover funds that were allocated to medical care. These are called “subrogation rights.” If your child is receiving government benefits there’s a good chance that you’ve already filled out and signed something called a “subrogation form,” in which you agree to repay some of the funds if a settlement is later received.

How much of those funds are you required to repay? Any time there is an injury that may require long-term care, such as brain injury or cerebral palsy, subrogation rights can become fairly complicated somewhat quickly. Be sure to involve your attorney in these matters. Never allow the insurance agency or the government to dictate the amount to you. Because of the high costs associated with care related to brain injury and cerebral palsy, combined with the long life spans of children, a court of law should determine how much the insurance company or government entity should be reimbursed. The court will use a formula that considers the estimated amount of time the child will need care, the amount of costs associated with care, the amount received in the settlement, and the amount paid by the entity.