Disclaimer: This article is for informational purposes only and does not constitute legal advice. Consult a licensed attorney for guidance tailored to your situation.
Detailed Answer
In Massachusetts personal injury cases, medical providers may file liens against any settlement or judgment to recover unpaid charges. These liens are governed by Massachusetts General Laws Chapter 233, Section 79G. If left unchallenged, medical liens can significantly erode your net recovery. Here are proven strategies to negotiate down medical liens and maximize your compensation.
1. Verify Lien Validity and Procedural Compliance
Under M.G.L. c. 233, § 79G, a provider must serve a written notice of lien on the injured party and all known attorneys within 30 days after trial or settlement. If the provider misses this deadline or fails to follow other statutory requirements, you can challenge or invalidate the lien.
2. Obtain an Itemized Bill and Medical Records
Request a detailed, itemized statement of all medical services and associated costs. Review each line item against usual and customary fees in Massachusetts. Highlight any discrepancies, duplicates, or non-covered services to support your negotiations.
3. Challenge Unreasonable or Inflated Charges
Massachusetts law limits lien recovery to “reasonable” charges. Research standard rates for comparable treatments and question any excessive or duplicated fees. Present your findings to the provider to demand a fair reduction.
4. Leverage Prompt Payment Discounts
Many providers offer discounts for upfront or prompt payment. Propose a lump-sum payment that represents a reasonable percentage—often 25–50%—of the billed amount to encourage swift resolution.
5. Negotiate a Flat Percentage Reduction
Personal injury attorneys often negotiate medical liens for a fraction of the billed amount. Depending on factors like provider size and lien amount, aim for a reduction in the range of 40–70% to preserve more of your settlement.
6. Coordinate with Health Insurers and Subrogation Claims
If your health insurer paid any medical bills, it likely holds subrogation rights under M.G.L. c. 175, § 47. Communicate with the insurer’s subrogation department to avoid duplicate claims and to align your negotiation strategy for all liens.
7. Seek Court Intervention When Necessary
If negotiations stall, you can petition the appropriate trial court to determine the reasonableness of the lien under M.G.L. c. 233, § 79G. A court hearing can result in a judicially mandated reduction of the lien amount.
Helpful Hints
- Begin lien negotiations early to inform settlement strategy.
- Maintain thorough records of all correspondence with providers and insurers.
- Be ready to challenge liens in court if a provider refuses reasonable adjustments.
- Consider engaging a lien resolution service for complex or multiple liens.
- Review your insurance coverages (MedPay, PIP) for additional benefits.
- Stay current on Massachusetts lien statutes to spot procedural mistakes.