Disclaimer: This article is for general information only. It does not provide legal advice, nor does it create an attorney-client relationship.
Detailed Answer
Under Utah law, a health care provider may assert a lien on the proceeds of your personal injury claim for services rendered in connection with that claim. See Utah Code Ann. § 78B-5-803. The lien attaches to any judgment, settlement, or compromise and secures payment for medical treatment.
You can negotiate physician’s liens to maximize your net recovery. Providers often agree to a reduced payoff in exchange for prompt payment and to avoid collection costs. Here is how the process typically works:
- Review the lien statement. Confirm dates of service, billed amounts, and patient information.
- Compare billed charges to industry benchmarks. Use Medicare fee schedules or usual and customary fees as a reference.
- Identify billing errors or duplicate entries. Submit a written request for an itemized bill and clarify any discrepancies.
- Prepare a compromise proposal. Many providers will accept 30–60% of billed charges. Submit your offer in writing.
- Negotiate in good faith. Keep all communication documented and professional.
If the provider refuses to compromise, you or your attorney can file a motion in court to determine the lien’s reasonableness. The court will consider the actual value of the services and may reduce the lien accordingly. For more detail on lien amounts, see Utah Code Ann. § 78B-5-805.
Helpful Hints
- Engage a personal injury attorney early. They often have experience negotiating medical liens.
- Request an itemized bill before settlement negotiations begin.
- Compare charges against Medicare’s published fee schedule (available at cms.gov).
- Use a lien negotiation service if you lack experience with medical billing.
- Document all settlement communications and lien payoffs for your records.