Disclaimer: This article is for informational purposes only and does not constitute legal advice. Consult a qualified attorney to discuss your specific situation.
Detailed Answer
When you recover money in a Wisconsin personal injury settlement, certain health care providers may have statutory liens or subrogation rights against your recovery to cover unpaid medical bills.
1. Hospital and Provider Liens (Wis. Stat. § 146.82)
Under Wisconsin Statute § 146.82, a hospital or ambulatory surgical center can file a lien for care and supplies provided to an injured patient. To be valid, the facility must:
- File the lien with the county register of deeds within 60 days after you’re discharged.
- Send you notice of the lien within 30 days of filing.
Once validly filed, the lien attaches to any recovery you obtain from the person or insurer responsible for your injuries. It covers the reasonable value of services, supplies, and related costs.
2. Medical Assistance (Medicaid) Recovery (Wis. Stat. §§ 49.145 & 146.835)
If you received Medical Assistance (Medicaid) for your injury-related care, the program has a right to reimbursement from your settlement under Wis. Stat. § 49.145. Additionally, the state can pursue subrogation under Wis. Stat. § 146.835 against any third-party recovery. These claims often arise automatically and may require you to repay the full amount paid by Medicaid before you can keep the balance of your settlement.
3. Private Insurance Subrogation
Your private health plan may include a subrogation or reimbursement clause. That clause allows the insurer to recoup payments it made for your treatment from your settlement. The exact scope depends on your plan documents and sometimes equitable subrogation principles in Wisconsin courts.
4. Paying and Challenging Liens
You generally must pay undisputed, valid liens from your net recovery. If a lien amount seems excessive or the provider missed procedural steps, you can file a motion in circuit court to reduce or discharge the lien. Courts consider factors like the total recovery, attorneys’ fees, and the reasonableness of charges.
Failure to address a valid lien can expose you to enforced collection, including foreclosure on the lien or further legal claims by providers.
Helpful Hints
- Obtain itemized medical bills early. Compare them to lien statements for accuracy.
- Track all filings and notices. Ensure hospitals and Medicaid programs met Wisconsin’s deadlines.
- Review your private insurance policy for subrogation language. Understand your repayment obligations.
- Consider negotiating lien reductions, especially for indigent status or disputed charges.
- Consult a personal injury attorney experienced in Wisconsin lien law to protect your net recovery.