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Detailed answer — what it means to be treated “on a lien” in Minnesota and how to find providers

When a doctor, clinic, or hospital agrees to treat you “on a lien” they are agreeing to defer billing you out-of-pocket and instead claim payment from any settlement or judgment you later obtain in your personal injury case. Providers usually do this after your attorney gives them a written promise to pay from the case proceeds. That written promise commonly is called a letter of protection (LOP), assignment, or medical lien agreement.

Key steps and practical points:

1. Understand the basic mechanics. A provider who accepts a lien or LOP treats you now and expects to be paid from the proceeds of your personal injury recovery. If you never recover money, many providers will not get paid. Because of that risk, providers often accept LOPs only when an attorney is involved or when the injury and liability facts appear strong.
2. Talk with a personal injury attorney early. Attorneys commonly negotiate LOPs on behalf of injured clients. A lawyer can provide the LOP, vouch for the case, and handle settlement negotiations so providers feel more comfortable extending credit. If you do not yet have a lawyer, some providers will still accept a lien, but they will be more selective.
3. Contact likely providers and ask about lien policies. Call hospitals, urgent care centers, orthopedic and pain clinics, chiropractors, physical therapists, and specialist groups in your area. Use phrases such as “do you accept letters of protection?” or “do you treat patients on a medical lien?” Be specific about whether they accept LOPs from private attorneys, public defenders, or only certain firms.
4. Use referral resources. Many personal injury attorneys maintain lists of medical providers who will treat lien patients. You can also call your local bar association, the Minnesota State Bar Association lawyer referral service, or look for community legal clinics that can point you to attorneys and providers willing to work with liens.
5. Get everything in writing. If a provider agrees to treat you on a lien or LOP, get a written agreement that states the provider’s charges, whether interest or collection fees will apply, the priority of the lien, and what percentage (if any) will be withheld for case costs. Never rely on an oral promise.
6. Know how liens are prioritized and enforced. Multiple parties (doctors, hospitals, health insurers, Medicare/Medicaid, or subrogated commercial insurers) may claim part of your recovery. Hospital or provider liens may have different rules and priority. Understanding these competing claims is important before you accept any LOP.
7. Watch for public benefits and insurance rules. If you have Medicare, Medical Assistance (Medicaid), or certain insurance coverage, federal and state rules may require repayment or notice. Providers who accept liens must still comply with billing rules and may have limited ability to collect from Medicare/Medical Assistance.
8. Be prepared to negotiate with the provider and your lawyer. Providers sometimes accept a discounted rate or a set percentage of the recovery. Your attorney can negotiate reductions and resolve competing liens during settlement.

Relevant Minnesota law and resources (for background):

• General state liens law (context for how liens work in Minnesota): Minnesota Statutes, Chapter 514 — Liens. https://www.revisor.mn.gov/statutes/cite/514
• Find local attorney resources and lawyer referral services through the Minnesota Judicial Branch and Minnesota State Bar Association: https://www.mncourts.gov/Help-Topics/For-the-Public/Find-a-Lawyer.aspx and https://www.mnbar.org/
• Verify a medical provider’s license with the Minnesota Board of Medical Practice: https://mn.gov/boards/medical-practice/

Practical example (hypothetical):

Maria is injured in a car crash. She cannot pay urgent orthopedic care out-of-pocket. Her attorney provides the orthopedist with a written letter of protection that promises payment from any settlement. The orthopedist agrees to treat Maria, documents the LOP in writing, and states that if Maria receives a recovery they will be paid the billed amount less any agreed reductions. When Maria settles her case, her lawyer pays the orthopedist from the settlement funds and distributes the remainder to Maria after other liens and attorney fees are handled.

Common limits: not all providers accept liens, and hospitals or specialists may refuse if liability is weak, the expected recovery is small, or the patient has complicating insurance (Medicare/Medicaid). Some providers will require an initial partial payment.

Helpful hints — how to find and work with lien providers in Minnesota

• Ask your personal injury attorney for a list of providers who accept LOPs.
• When you call a clinic, clearly state you have a personal injury matter and ask whether they accept “letters of protection,” “treatment on lien,” or “assignment from a personal injury settlement.”
• Request a sample lien/LOP form and read it carefully. Make sure it lists the provider’s billed charges, any collection fees, and the provider’s contact for lien questions.
• Ask whether the provider will accept reduced payment at settlement. Many providers discount billed amounts for lien cases if an attorney negotiates.
• Be cautious about signing broad assignments that give the provider direct control over settlement funds. A good LOP should create a claim for payment, not transfer your right to the entire settlement.
• Tell providers about any public benefits (Medicare/Medical Assistance) you receive. Providers must follow federal/state rules that may change how much they can collect.
• Keep good records: copies of LOPs, treatment notes, bills, communications with the attorney, and proof of any payments from settlement.
• If a provider threatens collections despite an LOP, contact your attorney immediately. A lawyer can assert the LOP and protect the settlement process.

Where to look next:

• Contact personal injury attorneys for referrals.
• Use the Minnesota Judicial Branch “Find a Lawyer” page or the Minnesota State Bar Association to locate attorneys and referral services. https://www.mncourts.gov/Help-Topics/For-the-Public/Find-a-Lawyer.aspx and https://www.mnbar.org/
• Call clinics and specialists directly and ask about lien policies.

Final note and disclaimer: This article explains general principles under Minnesota law and common practices surrounding medical liens and letters of protection. It is not legal advice and does not create an attorney-client relationship. For advice about your specific situation, consult a licensed Minnesota attorney who handles personal injury cases.