In February 2025, a major Arkansas personal injury law change reshaped how accident victims can recover medical costs after being hurt in car wrecks, truck crashes, or other serious accidents. This new statute limits medical expense compensation in Arkansas, potentially altering what evidence injury victims can present in court, and how much they may ultimately recover.

At the Reed Firm, we’re committed to standing up for injured Arkansans and ensuring they understand their rights. Below, we break down what this law means, how it affects your case, and why having an experienced injury lawyer in Little Rock has never been more important.

What Changed in Arkansas Law?

On February 11, 2025, lawmakers enacted a statute that dramatically impacts medical expense compensation in Arkansas personal injury cases.

• Before the law change: Plaintiffs could recover the full billed amount of their medical care, even if insurance covered part of it or the provider accepted a lower payment. This principle came from the Arkansas collateral source rule, which prevented defendants from benefiting from a plaintiff’s insurance coverage or other outside payments.
• Now: Plaintiffs may only recover the amounts they actually paid or still owe for medical treatment, not the original billed charges.

This Arkansas personal injury law change effectively limits what juries can consider when calculating damages, significantly influencing the value of many injury claims.

Why This Matters to Accident Victims

Medical billing can be confusing, and the new law makes it even more critical to understand how your medical expenses are presented.

Under this statute:

• Juries may see smaller numbers. Instead of $100,000 in billed charges, they might only see $5,000 or $10,000 in payments made or owed.
• Insurance companies gain leverage. They may argue that your case is worth less simply because the visible medical expenses are lower.
• Victims could recover less compensation. Those with health insurance, including Medicare and Medicaid, are likely to be unfairly affected.

Supporters of the change say it helps eliminate what they call “phantom damages” in Arkansas, the difference between billed and paid medical costs. But for real accident victims, this so-called reform can mean less recovery for real injuries and real pain. In many cases, it punishes those who acted responsibly by maintaining health insurance.

How Reed Firm Protects Clients Under the New Law

Although this Arkansas personal injury law change creates new challenges, it doesn’t mean injury victims are powerless. The Reed Firm is adapting our litigation strategies to ensure our clients still recover full and fair compensation. We do this by:

• Building comprehensive evidence of damages beyond medical bills, including lost wages, pain and suffering, and long-term care needs.
• Highlighting the total impact of the injury, helping juries understand that the consequences of an accident go far beyond hospital invoices.
• Challenging insurance tactics that attempt to undervalue cases under the new law.
• Providing honest, strategic guidance so clients know how to strengthen their claims and maximize results.

Our goal remains the same: to protect victims’ rights and hold negligent parties fully accountable.

What Injury Victims Should Do Now

If you’ve been hurt in a car crash, truck accident, or another serious incident in Arkansas, the new law makes it vital to take smart steps early:

1. Keep thorough documentation of all medical visits, treatments, and out-of-pocket expenses.
2. Don’t rush into a settlement. Insurance companies may try to use this law to justify lower offers.
3. Consult a skilled injury lawyer in Little Rock who understands how this Arkansas personal injury law change affects your claim and can fight for every dollar you deserve.

Reed Firm: Fighting for Justice in a Changing Legal Landscape

Even as Arkansas personal injury law changes, our mission at the Reed Firm never will. We’re dedicated to protecting the rights of accident victims and pursuing full justice, not just partial compensation.

If you’ve been injured in a car or truck wreck in Little Rock, call us today for a free case evaluation. Let our team stand up for you and your family.