Settlement Liens FAQs

It depends on whether the hospital properly perfected a lien under O.C.G.A. § 44-14-470. If the hospital failed to file within 30 days of discharge, failed to serve all required parties, or made other technical errors, the lien may be unenforceable. Even valid liens can be negotiated down substantially. HBLG’s experience with hospital billing departments and lien statutes allows us to routinely secure significant reductions in hospital lien amounts, putting more money in our clients’ hands.

Georgia’s made-whole doctrine generally provides that a subrogating insurer cannot recover from your settlement unless you have been fully compensated for all your damages. This is a powerful tool against private health insurers. However, it does not apply to ERISA-governed employer health plans (due to the McCutchen decision), Medicare, or Medicaid. Whether the made-whole doctrine applies to your insurer requires case-by-case legal analysis—the type HBLG performs for every client.

Generally, yes—but only from the portion of your settlement allocated to past medical expenses, thanks to the U.S. Supreme Court’s ruling in Ahlborn (2006) and Wos (2013). Georgia Medicaid, administered by the Georgia Department of Community Health, cannot recover from portions of your settlement representing pain and suffering, lost wages, or future medical needs. This distinction—which many attorneys miss—can save clients tens or hundreds of thousands of dollars. HBLG strategically structures settlement allocations to minimize Medicaid exposure.

Yes—but only its proportionate share of compensation attributable to past medical care Medicare paid. Under the Medicare Secondary Payer Act (42 U.S.C. § 1395y(b)), Medicare is entitled to reimbursement if it paid for your injury-related medical treatment. However, the total amount Medicare can recover is limited by the ‘lesser of’ rule and can be negotiated down. Failure to properly resolve a Medicare lien can expose both you and your attorney to double damages under federal law, which is why hiring a firm like Haug Barron Law Group with Medicare lien experience is essential.

A lien is a legal right held by a third party—such as Medicare, Georgia Medicaid, a hospital, or a private insurer—to recover money from your settlement proceeds that they paid for your medical care. Georgia law and federal statutes authorize these liens, but they are not always valid or properly perfected. An experienced Georgia personal injury attorney can challenge defective liens and negotiate reductions to maximize the money you actually receive. Call HBLG at (844) 428-4529 for a free consultation.