Not unlike the government’s pandemic-response package, legal funding provides critical funds to plaintiffs awaiting settlement in the same way that medical funding provides relief to medical practices with outstanding accounts receivables and medical liens sitting on their books. Like the stimulus package, legal and medical funding keep households and businesses running amidst uncertainty – whether that’s the uncertainty of when settlement and payout will happen or the uncertainty of whether or not medical practices can stay afloat with elective and outpatient procedures shut down. This is a time of unprecedented uncertainty.
The threat of the coronavirus is compounding the financial troubles many were already facing before the outbreak and subsequent quarantine.
Here’s what we know so far:
- As a result of the coronavirus, courts are being shut down, which means settlements for those involved in a personal injury claim may have to wait. Unfortunately, even with temporary relief, mortgage payments, rent or car payments will come due soon enough. And grocery bills, phone and essential utilities wait for nothing. They also still need to be paid.
- Since the outbreak, some 18 percent of adults reported that they had been laid off or that their work hours had been cut. Not to mention, the proportion of those affected is higher for lower-income households – with 25 percent of those making less than $50,000 a year reporting that they had been let go or had their hours reduced (Los Angeles Times). For personal injury victims who may have already been out of work or had just gotten back to work, this blow to the American workforce could have devasting impacts. Maybe they were relying on a partner to help cover living expenses and/or medical bills, and now that salary has also been reduced or is no longer coming in. Or, for those who had just started looking for work after a personal injury accident, almost no one is hiring now.
- The insurance industry is also spiraling. For plaintiffs already fighting an uphill battle with insurance companies to pay fair settlements in their cases, the results will likely be an even slower system with undoubtedly fewer or lesser payouts.
- Medical providers are being forced, in many states to cancel all nonessential medical procedures and surgeries, including regularly scheduled appointments and other therapies. Not only is this likely to impact those with personal injury claims seeking treatment but the providers themselves will be feeling the squeeze.
COVID-19 Response: Legal Funding and Medical Funding Relief For Those In Need
Like most organizations, we issued a Cherokee Funding COVID-19 message to share how we will be operating during the shutdown. While our team works remotely, we are fully operational, and we are here to provide the ever-so important funding services to plaintiffs, attorneys and medical providers.
A few important reminders and updates:
- Cherokee Funding has helped over 50,000 plaintiffs; and, over 30,000 medical bills have been paid by Cherokee Funding on behalf of plaintiffs.
- Thousands of law firms have used Cherokee Funding. In fact, 99.1 percent of our business comes from attorney referrals.
- Our underwriting and risk management teams evaluate cases to ensure: No more than 10-15 percent of a case value is advanced and that no more than 30 percent of a case value is in medical expenses.
- Plaintiffs involved in a personal injury lawsuit can call us directly at 866-708-5262. Please note, we will need to consult with your attorney before issuing funds.
- Attorneys seeking funding for their clients can check out our informational client legal funding page or apply for funding on behalf of a plaintiff here.
- Medical providers interested in medical funding, including the purchasing and servicing of medical liens and LOPs, can visit our funding for medical practices page or request a quote here.
Cherokee Funding is committed, now and always, to providing critical legal and medical funding services. Our process is straightforward, fast, and the most affordable in the industry. We are one of the few companies with the balance sheet to provide the needed assistance to all qualified plaintiffs and medical providers during this unprecedented time. We hope the pandemic does not last long, but we are prepared if it does. During this time of exceptional need, we want everyone to know: We are open, and we are here to help. Please get in touch with us if there is anything we can do for you.