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Watch Your Hospital Bills A patient who was involved in a car wreck went to a hospital to receive treatment. His medical insurance company paid the hospital bill pursuant to a contract the insurance provider had with the hospital to accept a reduced amount for services rendered in the hospital. This is a common practice. The example, if you have a $60,000 hospital bill, the medical insurance provider has an agreement with the hospital and the hospital agrees to accept $20,000 as payment. In this case the hospital did except the reduced sums but then sent a letter to the patient stating that the patient was responsible for the remainder of the bill. The hospital informed the patient that the hospital was claiming a hospital lien on the recovery amount the patient would receive from the car accident. Hospitals and doctors can have a lien on proceeds from an automobile accident similar to a lien a garage man has on your car or a contractor has on your house repairs. The Appellant Court agreed the patient owed a debt to the hospital but the debt was paid when the hospital accepted the reduced payment from the medical insurance company thereby extinguishing the hospital’s lien. Where I’d Rather Be: On a cold rainy day having barbeque and a beer with Billy Debow at the Elbow Inn. David Lee Wells is a Missouri lawyer and this article is not legal advice. See a lawyer for advice. A lawyer should not be chosen solely on advertising David Lee Wells practices law at 329 Armour Road, North Kansas City, Missouri 64116 (816) 842-2171 toll free 1-866-LAW4BIKERS www.law4bikers.com Wide Open 55