Existing law provides that a hospital may recover its charges for treatment of a patient injured in an accident by filing a lien on any money the patient receives by settlement with, or judgment against, the person responsible for the injuries. If an injured patient is covered by a government program such as Medicare, this bill would give hospitals the choice of either filing a claim with the program or filing a hospital lien. If the hospital files a lien, the amount of the lien would be tied to the prospective reimbursement amount of the government program, plus an additional percentage. In the case of a patient who has no health care coverage, the hospital's lien amount would be capped at the prospective amount that would be reimbursed by Medicare, plus an additional percentage. A hospital that files a lien may also choose to adjust the amount of its claim, based upon the length of time it takes to receive payment. This bill would cap the amount a hospital may recover for treatment from the insurance of a third party that is liable for the injury when the amount claimed exceeds the policy limits. This bill would permit a patient to obtain a copy of his or her medical records and an itemized statement of the charges that support the amount claimed by the hospital in a lien. This bill would also make nonsubstantive, technical revisions to update the existing code language to current style.

Statutes affected:
Introduced: 35-11-371, 35-11-371