Lien Resolution

Name: Lien Resolution
Brand: Physician Life Care Planning
Rating: 4.4 (19 reviews)

When medical bills follow an injury claim, the path to fair compensation can get complicated fast. Physician Life Care Planning cuts through lien complexity so more money stays where it belongs.

Why Medical Liens Matter

When a client suffers an injury, medical providers (hospitals and doctors) and health plans that covered their treatment frequently assert a legal right to recover service charges and payments from any settlement or award the client receives. This recovery right can arise from contracts and/or statutes—a process commonly known as subrogation—meaning a portion of your client's recovery can be claimed before funds are ever disbursed.

Federal programs carry especially significant recovery rights that must be accounted for during case resolution. The Medicare Secondary Payer Act (MSP) governs Medicare beneficiaries, the Medical Care Recovery Act (MCRA) applies to veterans treated at Department of Veterans Affairs (VA) facilities, the Federal Employees Health Benefits Act (FEHBA) covers federal employees who are not railroad workers, the Federal Employers' Liability Act (FELA) applies to railroad workers, and the Employee Retirement Income Security Act (ERISA) governs employees of large companies that fully self-fund their health insurance plans. Each operates under federal law, giving these programs powerful tools to pursue repayment. State-regulated health plans add another layer of complexity, each following its own jurisdiction's rules—making thorough lien identification and resolution a critical part of protecting your client's net recovery and your firm's disbursement accuracy.

What Lien Resolution Actually Does

Lien resolution is the disciplined process of identifying every outstanding healthcare provider claim or health insurance payment made to confirm whether it is related to your client's injury claim and challenging those that don't belong, and negotiating the rest down to the lowest reasonable amount. At Physician Life Care Planning, that process includes:

Investigation: Researching claims through records, correspondence, and direct outreach
Verification: Confirming which liens are legally valid and which can be challenged
Auditing: Reviewing payments claimed for reimbursement to confirm they relate only to the compensated injury
Negotiation: Pursuing every available reduction, offset, and compromise
Resolution: Securing final agreements that hold up and protect all parties

The Cost of Ignoring a Lien

Unresolved Medicare claims carry some of the steepest consequences—federal law authorizes recovery of penalties including high interest rates on what is asserted as a debt, Department of Treasury offsets of federal benefits when not paid or appealed on time, and the doozy of them all, Double Damages—double the original amount paid by Medicare (CMS) minus procurement costs when the government’s reimbursement is pursued in court. Other programs carry their own penalties. Beyond financial exposure, unresolved liens can surface long after a case closes, creating liability for attorneys and unexpected obligations for their clients.

Types of Healthcare Liens We Handle

Medicare Conditional Payment Liens

The Medicare Secondary Payer Act establishes Medicare's right to reimbursement from third-party recoveries. Physician Life Care Planning works to negotiate these before a case closes to minimize exposure and protect all parties involved.

Medicare Advantage—Part C & Part D

Private insurers administering Medicare benefits will often seek the same federal recovery rights as traditional Medicare. These liens require the same careful attention.

Medicaid or Its Private Equivalent, Managed Care Organizations

A federally and state co-funded program, Medicaid lien procedures vary significantly by state. We navigate each state's specific notification requirements and negotiation procedures. If the Medicaid plan is a privately administered MCO plan, we negotiate with that plan or its subrogation agent.

Dept of Veterans Affairs (VA), CHAMPVA, and Privately Administered TRICARE

When VA or CHAMPVA covers injury-related care, those costs must be addressed from any third-party recovery. We handle the specialized rules governing military healthcare liens. TRICARE is a privately administered health care insurance program and is offered to some veterans when they seek medical care outside VA facilities. TRICARE coordinates benefits with Medicare when you are also Medicare eligible, but has similar recovery rights as the VA for the portion of its payments not paid by Medicare.

Federal Employee-Based Health Plans or Laws FEHBA & FELA

Employer-sponsored health plans governed by federal law often carry broad reimbursement language. Our attorneys review the controlling plan documents and engage with the recovery contractor to resolve the applicable lien.

State Employee-Based Health Plans

These vary by state, and our lien resolution specialists are able to handle these, too.

ERISA Liens Versus Standard Health Insurance Liens

When a subrogation agent (think large collection agency) seeks recovery of payments made by or on behalf of a large employer, we request the controlling plan documents to determine and confirm whether the plan is a Self-Funded ERISA plan or a regular insured plan. Once confirmed, our lien resolution specialists go to work to achieve the resolution of the claimed lien.

Hospital & Private Healthcare Liens

State law, sometimes down to the county or municipality level, governs private hospital liens, with strict rules around how enforceable rights are established. We verify, challenge, and negotiate these directly.

Why Attorneys Partner With Physician Life Care Planning

Time back. We manage all lien communication and negotiation, so legal teams focus on client advocacy rather than administrative follow-up.
Reduced liability. Attorneys who work with experienced lien resolution professionals carry significantly less exposure to insurer repayment claims.
Better outcomes. Clients receive larger net recoveries and fewer calls from subrogation companies chasing them after a case closes.
Cost efficiency. Many states allow lien resolution fees to be carried as a case-related expense rather than overhead.

Talk to a Lien Resolution Specialist Today

Physician Life Care Planning's lien resolution team is ready to assist with new referrals, pending cases, or post-resolution questions.