Hospital and Provider Liens vs. Health Plan Claims in Washington

By the FigureMyTax Editorial Team · How we calculate

An ambulance operator, hospital, nurse, practitioner or physician who treats a traumatic injury has a lien on your claim, but all such liens from one accident together cannot exceed 25 percent of your award or settlement. The lien must be filed with the county auditor, and a settlement does not discharge it unless it provides for payment or the provider releases it.

The lien and the cap

RCW 60.44.010 gives these providers a lien on your claim, right of action and money from a tort-feasor or its insurer for the value of the service, with costs and reasonable attorney fees for enforcing it. All liens for one accident or event together cannot exceed 25 percent of an award, verdict, judgment or settlement. It does not apply to workers' compensation.

Perfecting it

Section 60.44.020 says a provider gets the lien only if it enforces it itself or through a licensed collection agency, discloses its use of liens in its billing and collection practices, and, within 20 days after the injury or care, or any time before settlement and payment, files a verified notice of claim with the county auditor, who records it (60.44.030).

Settling and enforcing

No settlement discharges the lien unless it provides for payment or a signed release is filed with the court or delivered to the tort-feasor or insurer (60.44.050). The provider must sue to enforce within one year after filing, and release the lien within 30 days after payment (60.44.060).

What we did not find

We found nothing in these sections on how the lien ranks against your attorney fee, so the calculator takes it after fees and costs.

How an insurer's claim differs

A health plan's claim is not a provider lien; see our post on health plan reimbursement. Medicaid and Medicare follow their own rules; see the Medicare and Medicaid post. Enter each claim in the Washington medical lien calculator.

This is general information, not legal advice, and the state comparisons above are illustrative, not an exhaustive survey. Confirm how Washington's rules apply to your specific case with a licensed Washington attorney.