Detailed Answer
When you’re injured and a medical provider files a lien under Mississippi law, that lien claims a portion of your settlement or jury award to cover bills. In Mississippi, hospitals and certain healthcare providers can assert liens under Mississippi Code § 11-44-25 (mscode.state.ms.us/11/44/00025.htm). To preserve your recovery, use these proven negotiation strategies.
- Confirm lien validity. Verify the provider filed the lien within 60 days of your release as required by Miss. Code § 11-44-25. An untimely or improperly recorded lien may be voidable.
- Obtain an itemized bill. Request a detailed statement of all services and supplies. Look for duplicate charges, miscoded procedures or services you never received.
- Compare to Medicaid/Medicare rates. Mississippi liens cannot exceed usual and customary rates. Compare billed amounts to state fee schedules or Medicare allowable rates to challenge inflated charges.
- Leverage policy limits. If the defendant’s insurance has a hard cap, use that as a bargaining tool: you only have that pot of money to satisfy all liens and your client’s net recovery.
- Negotiate a global payoff. Offer a one-time reduced payment—often 30–50% of the lien—rather than an open-ended obligation. Providers frequently prefer a lump sum to lengthy waiting for collection.
- Use subrogation rules. If your health insurer paid medical costs, it may have subrogation rights. Engage the insurer in negotiations—they often accept deeper discounts to close their claim.
- Assert offsets and credits. Seek credit for any out-of-pocket payments, Medicaid write-offs or other adjustments. Confirm the lienholder applied these credits accurately.
- Cap and carve-out non-lien items. Exclude noncovered or indirect costs—documentary expenses, patient courtesy discounts or services outside the lien period—to minimize the lien base.
- Negotiate timing of payment. Offer immediate payment upon settlement rather than installments. Quick cash payments often secure steeper discounts.
- Document every agreement in writing. Get signed releases that waive any future claims once you satisfy the negotiated amount.
Helpful Hints
- Keep meticulous records of all medical expenses, insurance payments and lien notices.
- Work with a personal injury attorney or lien negotiation professional experienced in Mississippi lien law.
- Review every lien statement for accuracy before settlement talks begin.
- Understand that some providers use third-party lien collection firms—those firms often accept lower payoffs to close accounts quickly.
- Always factor lien negotiation into your overall settlement strategy to maximize your net recovery.
Disclaimer: This article provides general information only and does not constitute legal advice. Always consult a qualified attorney about your specific circumstances.