| With today's struggling economy, more and more | | | | hospital care and medical treatment that is paid for by |
| people are finding themselves without medical | | | | Medicare, Medicaid and other types of health |
| insurance. No problem if you don't have any immediate | | | | insurance. Unless properly accounted for or negotiated |
| medical issues. But it does pose a huge problem when | | | | to lower amounts, such liens can take a serious bite |
| you suddenly find yourself in an emergency room, | | | | out of an accident victim's financial recovery. |
| doctor's office or physical therapy after being seriously | | | | As a general rule, insurance companies and local |
| injured in an accident. | | | | courts do not have a problem with medical liens, as |
| The question then hits you: How will I ever pay the | | | | long as the medical care costs are reasonable and |
| medical bills when they come due? | | | | comparable to services provided by other medical |
| Obviously, most uninsured accident victims don't have | | | | providers in the area. However, the insurance |
| thousands of dollars sitting in the bank waiting for such | | | | company and legal system leave the responsibility of |
| a dilemma. Medical care costs can quickly escalate if | | | | lien payment to the client and to his or her personal |
| the initial injuries are serious. Weeks (or even months) | | | | injury attorney. The attorney usually takes on the |
| may be needed for therapy and recovery. An | | | | responsibility for keeping track of the liens and ensuring |
| insurance settlement may be a year away or more, | | | | they are accurate and paid promptly as part of the |
| but that doesn't stop the bill collector from harassing | | | | settlement process. |
| you and your family. | | | | In some cases, the attorney may attempt to negotiate |
| That's when a medical lien can be a (financial) | | | | with the lien-holder for a reduction of a particular |
| life-saver. Just ask any experienced personal injury | | | | medical bill as part of settlement negotiations with the |
| attorney who may be retained to prosecute a client's | | | | insurance company - although there is no guarantee |
| claim against the insurance company. One important | | | | that the lien-holder will accept a lower amount. The |
| service provided by a good personal injury attorney is | | | | attorney has some leverage because it is through his |
| the ability to arrange a lien with a doctor, physical | | | | or her efforts that the lien holder receives payment. In |
| therapist or medical clinic to cover the medical costs | | | | some cases, a reduction of the lien amount can be |
| needed for recovery. | | | | negotiated to more favorable terms for the injured |
| By definition, a 'lien' is a legally-binding contract or | | | | party. |
| statute that requires payment to the doctor, clinic, | | | | Laws regarding liens vary widely from state to state |
| government agency or health insurance company | | | | and can be difficult to fully understand for the average |
| when the case concludes - typically out of the | | | | person. Therefore, it's important to discuss the pros |
| settlement funds or court award paid out by the | | | | and cons of medical liens with your personal injury |
| insurance company. | | | | attorney during the early stages of a case - before |
| Simple? Not quite. Some doctors or therapists are | | | | the lien is in place. |
| unwilling to provide medical services on a lien basis, | | | | Liens can be an important and invaluable part of a |
| requiring immediate payment. So it's important for | | | | successful personal injury case, but it's important that |
| someone without medical insurance to ask the | | | | the injured accident victim understand all of the |
| question up front: "Do you accept liens?" Your attorney | | | | contractual obligations and requirements associated |
| can help guide you in this matter, since he or she most | | | | with liens. A good personal injury attorney should take |
| likely works with a variety of qualified medical | | | | the time to fully explain whether liens are right for your |
| providers daily who are willing to work on a lien basis. | | | | particular case. |
| Common liens that are protected by law arise from | | | | |