Medical Liens in Colorado
A lien is a legal claim against your personal injury settlement by a third party who paid for your medical treatment. In Colorado, liens from hospitals, health insurers, Medicare, and Medicaid must be addressed before you receive your net settlement funds.
For informational purposes only. Not legal advice. Consult a licensed attorney.
Modified comparative fault (51% bar)
Fault System
2 years
Filing Deadline
$15,000 – $65,000
Avg Settlement
Types of Medical Liens in Colorado
Hospital Liens
Colorado hospitals that treated you for accident injuries may file a hospital lien against your settlement to recover unpaid bills. The lien attaches to your recovery before you are paid.
Health Insurance Subrogation
If your health insurer paid your medical bills, they have a subrogation right to be reimbursed from your settlement. Many states allow negotiation to reduce these amounts.
Medicare & Medicaid
Federal law requires Medicare and Medicaid liens to be paid in full — with limited exceptions. Your attorney must resolve these before settlement funds are distributed.
Workers' Compensation
If workers' comp covered your treatment for a work-related injury in Colorado, they have a lien on any third-party recovery you obtain.
Colorado Injury Law Overview
Colorado uses modified comparative fault with a 51% bar, so an injured party who bears majority fault cannot recover. The state mandates PIP coverage in auto policies, providing some no-fault medical benefits even in a primarily tort-based system. The statute of limitations is 2 years for personal injury. Colorado courts see significant litigation from skiing and outdoor recreation accidents under the Colorado Ski Safety Act, which limits ski resort liability in some circumstances. Premises liability claims against landowners are governed by C.R.S. § 13-21-115, which distinguishes between trespasser, licensee, and invitee standards. Colorado caps noneconomic damages in personal injury cases at $250,000 (adjustable for inflation), with a higher cap of $500,000 available upon clear and convincing evidence of extraordinary circumstances. Sovereign immunity protections apply to government entity claims, requiring strict compliance with the Colorado Governmental Immunity Act.