A medical lien is a claim by a healthcare provider on a patient's personal injury recovery to secure payment for treatment. It is paid from the settlement or judgment and affects what remains for the claimant and any funder.
Providers treat patients who have pending injury claims on the understanding that they will be paid from the recovery. The amount billed, the amount a payer would have allowed and the amount negotiated at settlement can differ widely.
Lien behavior is a data asset. How liens are reduced, in which venues and for which injuries, informs both the value of the underlying claim and the value of the lien itself as a receivable.
A medical lien is not the same as a letter of protection, though the two often appear together. The lien is the claim on proceeds. The letter is the provider's agreement to wait.
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