| Many times an individual who has been injured in | | | | despite their best intentions. But now there is a |
| an accident and it is the fault of another person | | | | funding mechanism which frees up cash to the |
| does not have health insurance to pay for their | | | | provider by making advances on medical liens. |
| medical expenses. These individuals typically | | | | Called medical lien funding, physician groups, clinics, |
| consult an attorney and a personal injury lawsuit is | | | | and hospitals no longer have to turn away |
| filed. Unfortunately, these cases take a long time | | | | patients for financial reasons. Many of these |
| to settle, yet care must be given to the victim, | | | | programs offer the advances without recourse, |
| sometimes on an ongoing basis. | | | | so even if the patient loses his claim, the provider |
| So how does an individual get the care he needs | | | | won't have to pay back the money that was |
| if health insurance isn't available to pay for it? | | | | advanced. |
| Some medical professionals will treat a patient on | | | | There is no set amount or percentage that will be |
| a medical lien basis. A medical lien can extend the | | | | advanced to the provider, as each case is |
| amount of time allowed for payment of medical | | | | analyzed at the outset. The funding source weighs |
| bills incurred due to an accident. | | | | such variables as the total amount of care given, |
| A medical lien is a written agreement between | | | | the likelihood of ongoing services, the length of |
| the patient and the doctor stating that the cost | | | | time it might take to settle, and the strength of |
| of the care will be paid for once the case is over. | | | | the case to develop a model for funding. In many |
| An attorney is usually part of the agreement, as | | | | cases, the medical lien funding company will buy a |
| he acts in a fiduciary capacity to insure the funds | | | | portfolio of cases that the medical provider has |
| will be paid to the practitioner when the case is | | | | on hand. This service can free up literally hundreds |
| resolved. The requirement to pay the amount due | | | | of thousands of dollars that can be used for any |
| to the medical provider isn't contingent upon a | | | | purpose the practitioner desires. |
| successful conclusion to the personal injury | | | | Simple requirements for medical lien funding: |
| lawsuit, as is often the case with lawyers. | | | | |
| Although many pain management groups, imaging | | | | 1. Patient must be represented by an attorney in |
| centers, orthopedic surgeons and other healthcare | | | | a present ongoing claim or lawsuit |
| providers routinely perform services on a medical | | | | 2. Healthcare needs are a direct result of injuries |
| lien basis, many more are leery of doing so | | | | sustained in an accident, in which liability is clear |
| because of the length of time it takes to get paid. | | | | and the defendant's insurance is verified. |
| These types of cases can sometimes take years | | | | 3. The attorney of record must agree to |
| to settle. Since cash flow is a major issue among | | | | acknowledge a lien in the amount of the medical |
| medical providers, it can be difficult to accept the | | | | bill. |
| case even if the prospect of ultimately receiving | | | | Medical lien funding is a relatively new form of |
| payment is likely. | | | | financing, but is gaining in popularity. Not only does |
| Accelerating cash flow with advances on medical | | | | it relieve the financial burden of the medical |
| liens | | | | professional, it also gives victims of personal injury |
| Because of the drag on working capital, many | | | | cases a better chance of getting the care they |
| providers turn away personal injury victims | | | | need. |