One of the most complex types of accounts for a hospital to collect on is an account involving a motor vehicle or other accident and for which a third party is potentially liable for the patient’s treatment. These accounts are labor-intensive, requiring regular contact with multiple parties including the patient, the patient’s attorney, and multiple insurance carriers.
For these types of accounts, RSource can provide a comprehensive solution that takes over at Day One and aggressively pursues all forms of reimbursement in addition to third-party liability insurance. Alternative forms of reimbursement include (i) the patient’s Personal Injury Protection (PIP) and Medical Payment coverage, (ii) the patient’s health insurance (with a subrogation agreement, if necessary) or even (iii) a self-pay settlement or payment plan.
Depending on the strength of the patient’s third-party-liability action, one of the sources referenced above, or a combination of them, can be a better alternative than waiting for a litigation recovery if the patient’s third-party-liability claim is not strong.
If no alternative form of payment is possible, then the timely filing of a lien, if available in the hospital’s jurisdiction, is crucial to protecting the hospital’s financial interest in any potential litigation recovery by the patient. RSource has extensive experience filing hospital liens – and releasing them when appropriate.
If a lien is not available or if the lien amount would not fully cover the hospital's bill, the hospital should obtain a "Letter of Protection" from the patient’s attorney. The Letter of Protection is a document, signed by the patient’s attorney, agreeing to pay the hospital out of any potential litigation recovery for the patient in consideration of the hospital forbearing from collection activity against the patient while the litigation is pending.
The RSource attorneys understand how to obtain the best possible Letter of Protection from the patient’s attorney, ensuring that critical language is included so the Letter is enforceable. And the RSource attorneys vigilantly monitor the patient’s attorney’s progress on a regular basis, demanding payment immediately upon time of recovery.
MVA/Liability Program accounts are typically placed at Day One.