In personal injury cases, many patients can’t pay for treatment up front. A medical lien lets a provider treat now and be paid from the patient’s settlement later.
How lien-based treatment works
- The patient is injured and is represented by an attorney.
- The provider and patient (and typically the attorney) sign a lien agreement.
- The provider treats and documents care.
- When the case resolves, the provider is paid from the settlement per the agreement.
Why documentation matters
A lien is only as strong as the records behind it. Clear, timely treatment notes, billing, and communication with the attorney’s office all support the value of your work.
Note: Lien rules vary by state. Work with qualified counsel to make sure your lien agreements and practices are compliant where you operate.
The cash-flow challenge
Because payment comes at settlement, lien receivables can build up for months or years. That’s the gap provider lien funding is designed to close.