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What Happens When I Get a Hospital Lien After a Car Accident?

Hogan Leatherwood

What Happens When I Get a Hospital Lien After a Car Accident?

After a severe car accident, victims are often rushed to the hospital before insurance details can be verified. Texas law requires hospitals to provide emergency care regardless of insurance status. But what happens when medical bills pile up and the patient is uninsured or cannot pay out-of-pocket?

In Texas, these situations are often handled through hospital liens.

Understanding Hospital Liens

A hospital lien gives medical providers the legal right to claim part of any compensation a patient later receives through:

  • Court judgments
  • Insurance settlements
  • Workers’ compensation claims
  • Claims under federal laws like the Longshore and Harbor Workers’ Act or the Federal Employees Liability Act

According to Chapter 55 of the Texas Property Code, hospitals can assert liens against compensation from injuries caused by another person’s negligence.

Lien Requirements and Restrictions

Texas law sets out strict rules for hospital liens to be valid. For example:

  • Timing of treatment: The lien must relate to care provided within the first 72 hours after the accident.
  • Duration of charges: Hospitals may only lien charges from the first 100 days of care, while emergency physicians are limited to seven days.
  • Population limits: Liens cannot be imposed in counties with fewer than 800,000 residents.
  • Reasonableness: Excessive or unreasonable charges cannot be liened.

For a lien to be enforceable, it must:

  • Identify the patient, accident date, and provider’s details.
  • Be filed in the county where care was provided.
  • Notify the patient within five days of filing.

Improperly filed liens may be challenged and invalidated with the help of an attorney.

The Impact of Hospital Liens

Hospital liens can complicate personal injury cases because insurers often refuse to release settlement funds until liens are addressed. Hospitals prefer liens since they usually result in higher payments compared to standard insurance reimbursements.

Many accident victims mistakenly believe they have no choice but to give up a large share of their settlement. In reality, hospital liens can often be reduced or negotiated.

Resolving Hospital Liens

This is where experienced legal representation makes a difference. A skilled personal injury attorney can:

  • Review the lien for errors or improper filings.
  • Negotiate reductions in lien amounts.
  • Challenge excessive charges.
  • Protect the client’s ability to keep more of their settlement.

The attorneys at Leatherwood Law have extensive experience negotiating and resolving hospital liens. Our firm has recovered millions of dollars for clients by confronting powerful institutions and maximizing compensation.

Hospital liens typically arise after serious car accidents, but they can also affect victims of:

Protect Your Rights with Leatherwood Law

If you or a loved one is facing a hospital lien after a car accident, do not wait. Contact Leatherwood Law today.

📞 Call 1-877-664-6665
✉️ Email Intake@leatherwoodfirm.com

We provide free, no-obligation case evaluations. Our dedicated team will fight to protect your rights, your recovery, and your financial future.