Restrictions on hospital lienholder

Sec. 3.5. (a) This section applies to any person who holds a lien under this chapter.

(b) As used in this section, "hospital lienholder" means:

(1) a person, firm, partnership, association, limited liability company, or corporation maintaining a hospital in Indiana; or

(2) a hospital owned, maintained, or operated by the state or a political subdivision;

that has a lien under this chapter.

(c) If a hospital lienholder settles or compromises a claim in an amount less than the amount of its lien, the hospital lienholder is barred from seeking any additional reimbursement from the patient or the patient's representative.

(d) A hospital lienholder is barred from seeking from the patient or the patient's representative payment for any amount of the hospital's charges that exceed the patient's financial obligation to the hospital under the terms of any private benefits to which the patient is entitled, including the terms of any health plan contract and medical insurance. The lien must reflect credits for all payments, contractual adjustments, write-offs, and any other benefit in favor of the patient.

(e) A hospital lienholder is barred from enforcing the collection of charges covered by this chapter until the cause of action, suit, or claim accruing to the patient has been resolved by compromise, settlement, or judgment.

As added by P.L.173-2013, SEC.3. Amended by P.L.205-2013, SEC.342.