Disclaimer: This article is for educational purposes only and does not constitute legal advice.
Detailed Answer
When you resolve a personal injury claim in Wyoming, your settlement often includes payment for medical treatment you received. Under Wyoming law, certain healthcare providers can assert a statutory lien against your personal injury recovery to secure payment for services rendered.
Statutory Hospital Liens under the Wyoming Hospital Lien Act
Wyoming’s Hospital Lien Act (Wyo. Stat. §§ 33-37-101 through 33-37-108) allows hospitals to file a lien against any claim, judgment, or settlement you obtain for injuries that required hospital care. Key points include:
- Notice and Filing: A hospital must file a written lien notice with the county clerk of the county where treatment occurred within 90 days after your discharge. (See Wyo. Stat. § 33-37-104.)
- Service on Responsible Party: After filing, the hospital must serve you and any liable insurer or defendant with a copy of the lien. (Wyo. Stat. § 33-37-105.)
- Lien Amount: The lien covers the reasonable value of your hospital services and supplies up to the amount agreed or prevailing rates. (Wyo. Stat. § 33-37-102.)
- Priority and Enforcement: The lien has priority over all other unsecured claims and survives discharge or release of liability. If the lien is not paid within 30 days of written demand, the hospital may sue to enforce it. (Wyo. Stat. § 33-37-106.)
Full text of the Hospital Lien Act: Wyo. Stat. § 33-37-101 et seq.
Insurance and Subrogation Rights
If your health insurer paid part or all of your medical bills, the insurer may have contractual subrogation or reimbursement rights to recover from your settlement. These rights typically arise under your insurance policy, not by statute, and require you or your attorney to identify and negotiate with the insurer before closing the claim.
Federal Liens: Medicare and Medicaid
If Medicare or Medicaid covers your medical expenses, federal law (42 U.S.C. § 1395y(b)) creates a right of reimbursement. You must notify Medicare of your settlement and protect its interests; failure to do so can jeopardize your future benefits and expose you to penalties.
Negotiating and Paying Liens
To finalize your personal injury settlement, you or your attorney should:
- Obtain lien statements from all providers, insurers, and government payers.
- Verify filing deadlines and lien validity under Wyoming law.
- Negotiate reductions or payment plans where possible.
- Include lien payoffs in your settlement agreement or escrow funds to satisfy each lien.
Generally, you are responsible for satisfying valid medical liens out of your recovery. If liens remain unpaid, providers may pursue you personally for payment.
Helpful Hints
- Early in your claim, compile a list of all healthcare providers and insurers involved in your treatment.
- Check county clerk records for any filed hospital liens.
- Request lien payoff quotes in writing and review them carefully.
- Ask your attorney to confirm that settlement funds are disbursed to lienholders before you receive your net recovery.
- Maintain clear communication with your insurer, providers, and Medicaid/Medicare administrators to avoid surprises.