Injury Attorneys Helping Victims Reach Settlements throughout Kentucky
There are several other interested parties in a lawsuit settlement than just the plaintiff. In fact, depending on the extent of the injury and the amount of medical treatments, multiple parties could request a portion of the plaintiff’s compensation.
To get their portion of the settlement, these companies or individuals establish a claim against it through a lien.
The Basics of a Settlement Lien
A lien is a court order against someone’s personal property. In a personal injury lawsuit, the personal property is the plaintiff’s compensation. The lien is placed when the company or individual proves that there is a valid debt owed to them, and the compensation would pay that debt. To have a lien placed against a personal injury settlement, the company must file a lawsuit with the courts.
Parties That Can File a Lawsuit Against Your Settlement
If you have a pending lawsuit, there are several parties that will file a suit to take a portion of your settlement. These parties include:
- Physicians and other healthcare providers. The most common lien holder against a personal injury settlement is a physician or healthcare provider. If you do not have health insurance, or your health insurance is inadequate, the balance due to that healthcare provider could turn into a lien. A lien could be created in a prior agreement with your physician, too, which agrees that you will pay your medical costs with a portion of your compensation.
- Health insurance companies. Your health insurer pays for the medical treatments you need for your injury, but they will want to receive compensation for those payments. Also, a government health insurance program will request reimbursement for any payments made toward your medical care.
- Medicare insurance carriers. If you have Medicare, it will request a lien against your settlement for reimbursement. After all, you are receiving compensation for past medical costs; therefore, insurance wants their funds returned.
- Automobile insurance carriers. If your insurance company picked up the cost of medical treatments during your recovery and while your settlement was pending, they will want reimbursement, too.
Worried About a Lien? Speak with Your Attorney
Liens are becoming more common, especially with the growing cost of medical expenses. Healthcare providers may file liens to secure compensation, especially for outstanding balances. An attorney could negotiate with healthcare providers for a lower settlement value and help preserve a plaintiff’s compensation.
If you were injured in an accident, contact Gladstein Law Firm, PLLC for a consultation. We are here to advocate for your right to compensation. Schedule an appointment with our attorneys by calling 800-991-0474 or requesting more information online.