House Bill 21-1300 Summary

• Establishes new Article 27.5 in Colorado law to regulate health-care provider liens for people injured due to negligence or wrongful acts of others.

• Caps lien amounts at the health-care provider's usual and customary billed charges and prohibits adding finance charges, interest, or other surcharges to lien amounts.

• Requires health-care providers to disclose payment options, lien terms, and restrictions to injured persons before creating a lien, including that lien holders cannot assign liens to collection agencies.

• Limits injured person liability to their net judgment or settlement proceeds after attorney fees and expenses; if recovery is less than the full lien amount, the injured person owes only what they received and the lien holder cannot sue directly for the difference.

• Allows liens to be filed under Colorado's Statutory Lien Registration Act to establish priority among multiple liens based on filing dates, with filing being optional.