Disclaimer: This article is for informational purposes only and does not constitute legal advice. Consult a qualified attorney for guidance on your specific situation.
Detailed Answer
Understanding Washington’s Physician’s Lien Statute
Under Washington law a licensed medical provider may record a lien to secure payment of reasonable charges for treatment related to a personal injury. See RCW 7.70.065 (Washington RCW 7.70.065). The lien attaches to any settlement or judgment you obtain. Unlike some states, Washington does not cap the lien at a fixed percentage of your recovery—it simply requires that the amount claimed be “reasonable.”
Negotiating Your Physician’s Lien
Even though providers can claim the full billed amount, many will negotiate to secure quicker payment. Follow these steps:
- Review Itemized Statements: Obtain a complete, itemized billing ledger. Look for duplicate or non-covered services.
- Compare Fee Schedules: Use Washington’s usual and customary rates or the Medicare fee schedule as benchmarks.
- Prepare a Written Proposal: Draft a concise letter to the provider’s lien department highlighting billing anomalies and proposing a reduced lien amount.
- Offer Prompt Payment: Propose a lump-sum payment—providers often accept 50–70% of the billed total to close the lien quickly.
- Escalate If Needed: If the provider declines, consider mediation or enlist a personal injury attorney to negotiate further.
Legal and Practical Considerations
Washington law requires lien filers to serve you within 60 days of treatment under RCW 7.70.060 (RCW 7.70.060). A late or improperly served lien may be invalid. Document every communication and get any reduction agreement in writing. Resolve liens before settlement disbursement to avoid title holds or delays in your net recovery.
Integrating Lien Negotiations into Your Settlement
When negotiating with the insurer or at mediation, present your reduced lien figure as part of your demand package. Demonstrating that liens are controlled can motivate insurers to settle promptly and maximize the amount you receive.
Helpful Hints
- Obtain a fully itemized medical billing ledger.
- Use publicly available fee schedules to justify reductions.
- Send all negotiation proposals and responses in writing.
- Document call logs, emails, and letters for your records.
- Consult a personal injury attorney if a provider refuses a reasonable reduction or if complex lien disputes arise.