Ariz. Supreme Court: Hospitals can enforce liens for Medicaid reimbursement

The Arizona Supreme Court has ruled hospitals can record and enforce liens on patients' legal settlements to get additional or full reimbursement for the costs of providing care for some Medicaid patients, reports Charlotte Observer.

The liens would be for the difference between when the hospital received in reimbursement from certain Medicaid programs and the total amount billed for services.

Federal law prohibits the practice of balance billing Medicaid patients. However, the Arizona Supreme Court said the prohibition doesn't apply to settlement proceeds if a hospital and a patient have entered into a negotiated rate agreement for services provided.


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