You’ll be surprised how big of a drop collections can have and it’s not just the score, it’s a mark for all to see—so as long as you don’t plan on taking credit AND don’t come across any landlords that would need your credit report or employers (I’m in an industry where this is a must, but some employers check on this even if they’re not in an industry that expects it’s employees to not have any collections/judgement/felonies).

If you have the date/time and name of person you spoke that says it, may be long shot but even then you’d probably have signed paperwork to the effect of if insurance doesn’t cover you’re on the hook.

Which means yes you owe and you should see if there’s a way to cut that down—start by asking for itemized bill, and reviewing.