When an injured worker files bankruptcy, it is important to note than any medical bills related to treatment for the work injury which are included in the bankruptcy cannot be included thereafter in a workers’ compensation lawsuit. In other words, you will not be paid for bills you incurred while treating on your own, if indeed you no longer owe on these bills because of filing bankruptcy.
Additionally, if the injured worker wins a settlement from the workers’ compensation claim, the settlement award may be paid to the bankruptcy court instead of to the injured worker.
Therefore, it would be worthwhile for an injured worker who is involved in a workers’ compensation matter and is also contemplating a bankruptcy suit, to seek advice from an attorney.