Lien Priority Calculator

Net-to-client after Medicare, Medicaid, ERISA, and hospital liens. Applies procurement-ratio reduction (Rimes/Ahlborn).

Most plaintiff attorneys underestimate lien reductions by 30-50%. This calculator applies the procurement-ratio reduction to Medicare per 42 CFR §411.37, recognizes the Ahlborn / Wos limits on Medicaid, and flags ERISA self-funded plans as post-Montanile strict-tracing vs fully-insured plans as negotiable. All client-side, zero login.

Settlement + Fees

Liens claimed (enter amounts claimed by each payer)

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Methodology + doctrines applied

Medicare (MSP). 42 U.S.C. §1395y(b); 42 CFR §411.37. Procurement-ratio reduction: Medicare lien × (attorneyFee + costs) / grossSettlement. Capped so the net Medicare recovery is never less than zero.

Medicaid. Applies Ahlborn (547 U.S. 268, 2006) and Wos v. E.M.A. (568 U.S. 627, 2013): state Medicaid recovery is limited to the portion of settlement attributable to past medical expenses. Many states now apply a formula approach post-Wos; we use a conservative 1/3 default allocation to past medical — verify your state's rule.

ERISA self-funded plans. Post-Montanile v. Board of Trustees (577 U.S. 136, 2016), the plan must trace to specifically identifiable settlement funds. Once funds are dissipated (paid to attorney, client, or other creditors), the plan's equitable lien can disappear. We flag self-funded plans as "strict tracing applies."

ERISA fully-insured plans. Subject to state anti-subrogation / made-whole laws. Often negotiable to 0-33%. We apply the procurement-ratio reduction as a starting point.

Hospital liens. State-specific. Many states require the lien amount be reasonable and customary; some let the hospital collect only Medicare/Medicaid-eligible amounts if the patient was covered. Procurement-ratio reduction often applies by state statute.

Provider bills. Usually the most negotiable category. Apply procurement-ratio reduction + negotiate on basis of "made whole" doctrine (some states).