There are all kinds of liens that can arise in injury cases. There may be Medicare liens. There may be Medicaid liens. A lien may arise through TriCare. A lien could arise through an ERISA policy or a non-ERISA health insurance policy. There could be long-term disability liens.
Personal Injury Cases
Under Virginia Code, there are certain statutory liens that arise. One of them is for EMS services. That lien is limited to $200.00.
Statutory liens also exist for hospitals in the amount of $2,500.00 and $750.00 for a doctor.
What might be referred to as an assignment or a type of lien in a workers’ comp case may be invalid. In particular, assignments are invalid under Va. Code § 65.2-631. The attempt by a provider to charge the worker with what is not otherwise paid by workers’ compensation is impermissible under Va. Code § 65.2-714.
Personal Injury Liens-Attorneys
Attorney liens are recognized under Va. Code § 54.1-3932. This Code section requires certain things be done in order to perfect the lien. In particular written notice of the claim of such lien must be given to the former client, the opposite party or their attorney or agent and the Clerk of the Court in which the case may be pending. The providing of that notice may void the settlement although the settlement may still constitute proof of liability.
Child Support Liens
A child support lien is subordinate to an attorneys’ lien and is also subordinate to the hospital and doctor’s liens. After those superior liens are paid, then the child support lien kicks in. Va. Code § 63.2-1927 controls when the lien arises.
Workers’ Comp Liens
Workers’ compensation liens arise by statute. They apply to any settlement or judgment that the injured party might obtain against the responsible third party. For more information on that, see the post on this site dealing with Workers’ Compensation.
Medicare Liens
Liens that belong to Medicare really are not liens at all. Medicare is what is called a “secondary payor”. The primary payor is the party that is responsible for the injury to the party covered by Medicare. That first party is technically responsible for any bills incurred by the injured person. Medicare however generally steps in and pays those bills even though they’re technically not required to do so. For more on Medicare Liens, see the post on this site dealing with that topic.
Personal Injury Liens-Medicaid
Medicaid is a state sponsored program that is federally funded. Their lien is different than a Medicare lien. People who are on Medicaid typically are low income or disabled and the lien that Medicaid accrues is governed by state statute. For more information on that topic, see the posting on this site dealing with Medicaid.
ERISA Liens
ERISA liens arise by statute and also by contract. An ERISA policy is not subject to the Virginia anti-subrogation statute. Before you pay any ERISA liens, you need to make sure that the policy in question is indeed an ERISA policy. For more information on that, see the post on this site dealing with ERISA liens.
Federal Employee Health Benefit Plans
Federal employee health benefit plans are not ERISA policies. They are governed by federal statute. Their lien arises by statute and also by contract. Federal employee health benefit plans typically will not reduce their lien by the amount of attorneys’ fees, although some of them may. It’s worth a try. To determine that, you need to get the actual policy.
Call or contact us for a free consult. Also for more info on liens in personal injury cases, see the Wikipedia pages.
