Nationwide Insurance sued by Pa. rehab clinic for failure to pay first-party benefits

A Montgomery County rehabilitation clinic has filed a breach of contract suit against an insurer over claims that the defendant has failed to compensate the plaintiff for services rendered to a car accident victim.

Blue Bell, Pa.-based Kim Chiropractic & Rehab Center is suing Nationwide Insurance Company of America over allegations that the defendant has yet to pay the plaintiff more than $4,000 in treatment costs that were afforded to Haeng Lee, who had a vehicle insurance policy with the defendant that is supposed to cover the cost of the victim’s care.

Lee sustained serious bodily injuries following her vehicle accident back on Nov. 14, 2011, the lawsuit states, after which she received treatment and care from the plaintiff that was necessary to alleviate her injuries.

The plaintiff subsequently submitted to the defendant its bills for services provided to Lee, together with all other required documentation and has requested that the insurance company pay first party benefits to the plaintiff as compensation for the services provided to the car accident victim, the suit says.

Nationwide, however, has failed to compensate the plaintiff, in the process violating Pennsylvania’s Motor Vehicle Financial Responsibility Law, the complaint alleges.

That failure to pay has resulted in an outstanding balance in the amount of $4,073.44, the suit states.

The plaintiff seeks $50,000 in damages, together with interest at the rate of 12 percent per annum, costs, reasonable counsel fees and other court relief.

An arbitration hearing has been scheduled for mid July 2013.

The lawsuit was filed Nov. 2 at the Philadelphia Court of Common Pleas by attorney Frederick I. Weinstein of the Philadelphia firm Goldberg & Weinstein LLC.

 

The case ID number is 121004457.