Detailed Answer
In Wisconsin, a physician’s lien typically arises from a contract or assignment rather than a specific statutory lien like the hospital lien under Wis. Stat. § 779.52 (hospital lien statute). Many doctors secure payment by obtaining an assignment of rights to insurance benefits under Wis. Stat. § 146.84 (assignment statute). Because this lien is contractual, you can often negotiate the amount the physician will accept in full satisfaction of the debt.
Here’s how negotiation works:
- Retain counsel early. An attorney experienced in personal injury can approach your physician’s office or billing department on your behalf. They know typical fee schedules and can leverage your pending settlement.
- Request an itemized bill. Obtain a detailed statement of services and charges. Compare those figures to Medicare rates or usual-and-customary fees for similar services. Providers often overbill and will drop charges to a lower negotiated figure.
- Make a written offer. Propose a reasonable lump-sum payment (for example, 30 to 50 percent of billed charges). Many providers will accept that rather than risk nonpayment or collection costs.
- Leverage timing. If your settlement disbursement is imminent, providers may settle for less to get paid quickly. A firm deadline ahead of disbursement can motivate them.
- File objections to hospital liens, if any. If you also face a hospital lien under Wis. Stat. § 779.52, your attorney can challenge the accuracy or priority of that lien in court to reduce the amount.
- Document everything. Get all agreements in writing. Ensure the provider signs a lien release that confirms no further balance is owed once you pay the negotiated amount.
Negotiation does not violate Wisconsin law. Courts respect fair, written settlements of contractual liens. By negotiating your physician’s lien, you maximize your net recovery and limit what you pay out of your personal injury settlement.
Helpful Hints
- Work with a lawyer: They understand fee schedules and statutory protections.
- Use Medicare as a benchmark: Many providers accept a percentage of Medicare rates.
- Set a firm deadline: Align it with your settlement disbursement date.
- Confirm lien releases in writing: Never rely on oral promises.
- Check for multiple liens: Hospitals, labs, and imaging centers may all file liens.
- Watch deadlines: Wisconsin hospital liens must be filed within 180 days of discharge per Wis. Stat. § 779.52.
Disclaimer: This article is for educational purposes only and does not constitute legal advice. Consult a licensed attorney in Wisconsin to address your specific situation.