SEPTA Pays Interest on Overdue Bus Accident Medical Bills

Posted on: June 26th, 2012       Attorney Thomas Newell

On July 21, 2010, the Commonwealth Court of Pennsylvania denied re-argument and confirmed its May 28, 2010 decision that SEPTA must make interest payments to medical providers whose bills it did not pay within 30 days of receipt.  A number of medical offices were treating PA bus accident victims and complained that SEPTA was not timely paying their medical bills.

The medical providers filed a lawsuit versus SEPTA claiming that it was required to pay their medical bills plus 12% interest for all bills not paid within 30 days of their receipt.  The Trial Court agreed and granted their Motion for Summary Judgment.  An Appeal was taken.  The Pennsylvania Commonwealth Court ruled that since SEPTA is self-insured, it was subject to the same legal requirements as “insurers”.  Therefore, any PA bus accident victim’s medical bills which are not timely paid are subject to the 12% interest penalty.  In Re SEPTA MVFRL Interest Litigation, 996 A.2d 1099 (Pa. Cmwlth. 2010)

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