Personal Injury Lawyer
If you suffered an injury due to someone else’s negligence, you may have a personal injury case against them. In many cases, if you have health insurance and suffer an injury, the insurance will pay a portion, if not all of your medical bills. How much they pay depends heavily on the type of insurance you have. If you file a claim and receive a settlement, however, the health insurer may claim some of your settlement money. If you’re curious about liens placed on your settlement, the truth is that health insurers can file one.
What Is a Lien?
Liens are court orders placed on a person’s property that satisfies a debt owed to a third person. If you’re talking about a settlement, then the personal property is the settlement. It may be the entire settlement or a portion of the settlement. If a third party places a lien on a settlement, they must file a lawsuit. When it comes to personal injury law, any entity can file a lien against the injured party, if it paid any part of a bill.
Can Health Insurance Providers File a Lien?
You may be surprised that health insurance companies can file a claim against your settlement. Say that you file a lawsuit to recover the cost of your medical bills. Anyone who paid a portion of these bills can file a medical lien against your settlement. This is a demand for repayment! Often, your insurance is going to pay for personal injury treatment. If your insurance does this, then you have to pay back the medical expenses.
This process is known as subrogation. Now, the way that this lien works has everything to do with your health insurance policy. In some states, subrogation is not legal. You should always check your state’s laws and make sure that you read the fine print of your health insurance. In a lot of cases, a health insurance provider can and will file a lien if they paid for your medical expenses before a settlement.
The lien process is complicated. Every state has different statutes and regulations regarding liens and lien holders. If you’re in a large personal injury case, don’t try to navigate these laws on your own. You would have better luck with an advocate at your side. Experienced personal injury lawyers have the knowledge necessary to predict whether a health insurer is going to file a lien against your settlement and what to do if that happens. For more information on how to navigate your personal injury case, look into a lawyer’s consultation.