Hospital System Third-Party Recoveries/Hospital Liens

​

Hospitals are required to treat trauma patients regardless of their ability to pay. Much of this treatment turns out to be uncompensated care. A subset of these patients, however, have been injured by the conduct of a third party (ex: automobile accident). When this is the case, the hospital can collect some or all of its outstanding balance through the patient's personal injury case against the third party.

 

Since 1933, the Texas Legislature has approved this process through what is now Chapter 55 of the Texas Property Code, known as the Hospital Lien Statute. The purpose of the statute has always been to provide a form of compensation for hospitals that are required to provide trauma care to injured patients.  The hospital lien statute allows a hospital to collect some or all of the outstanding balance, whether full bill charge, co-pay, deductible or out-of-network balance, from the individual whose conduct necessitated the trauma treatment (the third-party). Despite minor differences, most states have statutes similar to the Texas hospital lien statute.

​

Why You Should Have Attorneys Involved in Your Subrogation Process?

​

We are the only firm that employs attorneys to prosecute hospital lien claims.  Hospital lien claims are, at their core, personal injury claims.  These claims demand the expertise of attorneys and staff experienced in identifying, investigating, and prosecuting personal injury cases to ensure maximum recovery. Relying on one-stop patient billing companies or in-house patient financial services personnel is a costly mistake.
 

Most large, national subrogation companies rely heavily on computer algorithms and nonlegal analysts, with little to no attorney involvement in identifying and prosecuting claims. This approach often overlooks key opportunities and undermines recovery potential.

​

Avoiding Factual Misrepresentation from Your Patient’s Attorneys

​

Each of these claims involves a patient who is represented by an attorney skilled in reducing or eliminating the hospital's claim. The statute itself now requires that you have an attorney protecting your interest. To protect your financial interest, hospital lien claims must be managed by legal professionals who specialize in third-party recoveries in personal injury law - not administrative staff of familiar with the intricacies of this type of litigation.