If you have suffered a personal injury, you may be faced with a hospital lien on whatever damages you collect from the tortfeasor (wrongdoer). Hospital lien claims typically arise when you have received some emergency care after an auto accident or slip-and-fall and you lacked insurance to fully cover your treatment for your care.
Having an attorney to help you navigate this is important because usually, the charges claimed for the lien are highly inflated – well above what a typical health insurer would pay for the same treatment. Although hospitals and health care providers do have statutory rights to impose these liens, and they may not have to reduce the amount to the extent they would for an insurer. However, your injury attorney can help you negotiate and argue for what is truly fair.
Every state has different rules for how it handles these issues, and the Tennessee Supreme Court was recently faced with answering whether “reasonable charges” are the discounted amounts hospitals accept as full payment to the insurer or if it is the full, undiscounted bill sent to patients. Continue reading →