EVIDENCE OF DISCOUNTED BILLS ADMISSIBLE TO DETERMINE “REASONABLE VALUE” OF MEDICAL SERVICES IN INDIANA PERSONAL INJURY CASES
In Stanley v. Walker, the two parties were involved in a car accident and the plaintiff filed a negligence complaint. The defendant asked the trial court to admit evidence that the plaintiff’s healthcare providers discounted the medical bill. The plaintiff objected, arguing that any evidence of write offs would violate Indiana’s collateral source statute, Ind. Code § 34-44-1-2. The Court discussed how, in Indiana, the proper measure of medical expenses is the reasonable value of such expenses. The court stated that this value is not based exclusively on the actual amount paid to the health care provider, or on the amount originally billed. The court thus held that the collateral source statute does not bar evidence of medical bills discounted by insurance providers in order to determine the reasonable value of medical services in calculating the plaintiff’s damages. The court cautioned that this may only be done if the admission of the write offs can be done without violating the collateral source statute. Stanley v. Walker, 906 N.E.2d 852 (Ind. 2009).
