Understanding Medical Liens in Personal Injury Cases

After an accident, medical bills can add up quickly. In personal injury cases, healthcare providers may stake a claim on your settlement or court award by filing a medical lien.

Medical liens enable you to get immediate medical care, even if you can’t pay upfront. However, in Missouri, these liens can affect your final settlement, claiming up to 50% of your award after deducting attorney fees.

Learn how medical liens work, how they can affect your injury settlement, and ways to reduce your liability so you can keep more of your compensation. Our Missouri medical malpractice lawyers at Cofman Townsley can protect your rights and help you manage medical liens to maximize your settlement.

Medical Liens: A Basic Overview

A medical lien is a legal claim that allows healthcare providers to recover payment from your personal injury settlement or court award for services they provided after your injury.

The purpose of medical liens is simple: healthcare providers want to ensure they get paid for treating individuals injured in accidents. Because personal injury cases can take time to resolve, they file a lien to claim a portion of the settlement or judgment, guaranteeing compensation for their services.

These statutory liens can cover hospitals, clinics, doctors, and other licensed practitioners. If the liens total more than half of the settlement, healthcare providers claiming compensation for services will split up to 50% of what’s left after legal fees.

How Medical Liens Are Created and Prioritized

Medical liens are created when a healthcare provider offers treatment to an injured person pursuing a personal injury claim. In Missouri, healthcare providers can file a lien with the county where the injured person resides or where the lawsuit is pending. Once the lien is filed, it attaches to any settlement or judgment the injured person receives.

In most cases, medical liens take priority over other claims on the settlement or judgment, including those of the injured party. This means that healthcare providers are typically paid before the injured person receives their portion of the settlement.

However, the priority of liens can depend on various factors, including the type of lien and whether other liens or claims have been filed. For example, a hospital’s lien may take precedence over other medical providers’ liens, depending on the circumstances of the case.

Potential Challenges With Medical Liens

Medical liens can help ensure healthcare providers get paid but can also cause problems for injured individuals. A common issue is disagreements about the amount or accuracy of the lien. Sometimes, a provider may file a lien for more than the injured person thinks is fair.

Another challenge is that liens are usually paid before the injured person receives their settlement, which can result in less money than expected. This can be a concern if the settlement isn’t enough to cover the lien and other expenses like lost wages or pain and suffering.

Navigating Medical Liens Effectively

Dealing with medical liens can be a daunting process, but there are steps you can take to manage them. Here are some practical tips:

• Consult With a Personal Injury Attorney: One of the most important steps you can take is to work with an experienced personal injury attorney. A knowledgeable attorney can explain the medical lien process and deal with healthcare providers on your behalf.

• Understand the Terms of Lien Agreements: If you sign a lien agreement with a healthcare provider, make sure you fully understand the terms before signing. Ask questions about how much will be owed, when payment is expected, and how the lien will affect your settlement.

• Review Lien for Accuracy: Review any medical liens to ensure they accurately reflect the services you received and the amounts billed. If you believe the lien is incorrect, your attorney can help dispute it.

• Negotiate the Lien: Your attorney may be able to negotiate the lien amount with the healthcare provider. Our skilled attorneys at Cofman Townsley will verify the accuracy of any medical liens on your settlement and negotiate with providers to potentially reduce the lien amount.

Protect Your Rights When Navigating Medical Liens

Medical liens are common in personal injury cases, but they can create complications. Understanding how they work, the types that may apply, and how to handle potential disputes is essential to protect your rights and financial well-being.

Consult a skilled attorney from Cofman Townsley to help you manage your medical liens and secure the compensation you deserve. We can address your medical liens so you can focus on your recovery. Contact us today for a free consultation.