New Mexico 2025 Regular Session

New Mexico House Bill HB495 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	underscored material = new
2	2	[bracketed material] = delete
3	3	1
4	4	2
5	5	3
6	6	4
7	7	5
8	8	6
9	9	7
10	10	8
11	11	9
12	12	10
13	13	11
14	14	12
15	15	13
16	16	14
17	17	15
18	18	16
19	19	17
20	20	18
21	21	19
22	22	20
23	23	21
24	24	22
25	25	23
26	26	24
27	27	25
28	28	HOUSE BILL 495
29	29	57
30	30	TH LEGISLATURE
31	31	-
32	32
33	33	STATE
34	34
35	35	OF
36	36
37	37	NEW
38	38
39	39	MEXICO
40	40
41	41	-
42	42	FIRST SESSION
43	43	,
44	44
45	45	2025
46	46	INTRODUCED BY
47	47	Janelle Anyanonu
48	48	AN ACT
49	49	RELATING TO LIENS; IMPOSING RESTRICTIONS ON LIENS IMPOSED BY A
50	50	SERVICE PROVIDER; AMENDING SECTIONS OF CHAPTER 48, ARTICLE 8
51	51	NMSA 1978; AMENDING A SECTION OF THE MOTOR VEHICLE CODE
52	52	REGARDING RIGHTS OF SUBROGATION.
53	53	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:
54	54	SECTION 1. Section 48-8-1 NMSA 1978 (being Laws 1961,
55	55	Chapter 227, Section 1) is amended to read:
56	56	"48-8-1. LIENS UPON PERSONAL INJURY DAMAGES RECOVERED BY
57	57	PATIENTS--CREATION--EXCEPTION.--
58	58	A. Every [hospital] service provider located within
59	59	the state that furnishes emergency, medical or any other
60	60	service to any patient injured by reason of an accident not
61	61	covered by the state [workmen's ] workers' compensation laws is
62	62	entitled to assert a lien upon that part of the judgment,
63	63	.230952.2 underscored material = new
64	64	[bracketed material] = delete
65	65	1
66	66	2
67	67	3
68	68	4
69	69	5
70	70	6
71	71	7
72	72	8
73	73	9
74	74	10
75	75	11
76	76	12
77	77	13
78	78	14
79	79	15
80	80	16
81	81	17
82	82	18
83	83	19
84	84	20
85	85	21
86	86	22
87	87	23
88	88	24
89	89	25
90	90	settlement or compromise going, or belonging to such patient,
91	91	less the amount paid for [attorneys' ] attorney fees, court
92	92	costs and other necessary expenses [necessary thereto ] in
93	93	obtaining the judgment, settlement or compromise, based upon
94	94	injuries suffered by the patient or a claim maintained by the
95	95	heirs or personal representatives of the [injured party ]
96	96	patient in the case of the patient's death. Every service
97	97	provider asserting a lien shall be liable for a share of any
98	98	attorney fees and costs incurred in securing the judgment,
99	99	settlement or compromise equal to the proportion of any
100	100	attorney fees and costs paid by the patient pursuant to the
101	101	common fund doctrine.
102	102	B. A [hospital] service provider lien may be filed
103	103	upon damages recovered, or to be recovered, either as a result
104	104	of a judgment, or upon a contract of settlement or compromise,
105	105	for the amount of the reasonable, usual and necessary
106	106	[hospital] service provider charges for treatment, care and
107	107	maintenance of the [injured party in ] patient by the [hospital]
108	108	service provider and to the date of payment of the damages.
109	109	C. As used in Chapter 48, Article 8 NMSA 1978,
110	110	"service provider" means a natural person, corporation,
111	111	company, trust, partnership, incorporated or unincorporated or
112	112	cooperative association, hospital or other legal entity
113	113	permitted by law to provide care to an injured patient and that
114	114	provides care to that patient. A service provider shall be
115	115	.230952.2
116	116	- 2 - underscored material = new
117	117	[bracketed material] = delete
118	118	1
119	119	2
120	120	3
121	121	4
122	122	5
123	123	6
124	124	7
125	125	8
126	126	9
127	127	10
128	128	11
129	129	12
130	130	13
131	131	14
132	132	15
133	133	16
134	134	17
135	135	18
136	136	19
137	137	20
138	138	21
139	139	22
140	140	23
141	141	24
142	142	25
143	143	licensed to provide that care when a license is required. The
144	144	care provided to the injured patient shall be provided in the
145	145	normal course of business. "
146	146	SECTION 2. Section 48-8-2 NMSA 1978 (being Laws 1961,
147	147	Chapter 227, Section 2) is amended to read:
148	148	"48-8-2. FILING AND NOTICE OF [HOSPITAL ] SERVICE PROVIDER
149	149	LIENS.--No [hospital] service provider lien is effective upon
150	150	damages recovered for personal injuries unless:
151	151	A. a written notice is filed in the office of the
152	152	county clerk of the county in which the [hospital ] service
153	153	provider asserting the lien is located containing the following
154	154	information:
155	155	(1) an itemized statement of all claims
156	156	certified as correct by an agent of [such hospital ] the service
157	157	provider;
158	158	(2) the date of the [accident ] loss;
159	159	(3) the name and location of the [hospital ]
160	160	service provider; and
161	161	(4) the name of the person, firm or
162	162	corporation alleged to be liable to the [injured party ] patient
163	163	for the injuries received; [and ]
164	164	B. the [hospital] service provider sends by
165	165	certified mail, with return receipt requested, prior to the
166	166	payment of any money to the [injured person ] patient or [his]
167	167	the patient's attorneys or legal representative as compensation
168	168	.230952.2
169	169	- 3 - underscored material = new
170	170	[bracketed material] = delete
171	171	1
172	172	2
173	173	3
174	174	4
175	175	5
176	176	6
177	177	7
178	178	8
179	179	9
180	180	10
181	181	11
182	182	12
183	183	13
184	184	14
185	185	15
186	186	16
187	187	17
188	188	18
189	189	19
190	190	20
191	191	21
192	192	22
193	193	23
194	194	24
195	195	25
196	196	for the patient's injuries, a copy of the written notice,
197	197	together with a statement of the date of filing, to the person,
198	198	firm or corporation alleged to be liable to the [injured party ]
199	199	patient for the injuries sustained. The person, firm or
200	200	corporation alleged to be liable to the [injured person ]
201	201	patient shall, upon request of the [hospital ] service provider,
202	202	disclose the name of the insurance carrier that has insured the
203	203	person, firm or corporation against liability; and
204	204	C. the [hospital] service provider mails a copy of
205	205	the written notice by certified mail with return receipt
206	206	requested to the home office of any insurance carrier that has
207	207	insured the person, firm or corporation against liability, if
208	208	the name and address [is ] are known."
209	209	SECTION 3. Section 48-8-3 NMSA 1978 (being Laws 1961,
210	210	Chapter 227, Section 3) is amended to read:
211	211	"48-8-3. PERSONS LIABLE FOR PAYMENT OF LIEN--LIMITATION
212	212	OF ACTIONS.--
213	213	A. Any person, firm or corporation, including an
214	214	insurance carrier, making any payment to a patient or to [his
215	215	attorney] the patient's attorneys , heirs or legal
216	216	[representative] representatives as compensation for the injury
217	217	sustained, after the filing and receipt of written notice of
218	218	the lien [as aforesaid ] and without paying the [hospital ]
219	219	service provider asserting the lien the amount of its lien or
220	220	that portion of the lien [which ] that can be satisfied out of
221	221	.230952.2
222	222	- 4 - underscored material = new
223	223	[bracketed material] = delete
224	224	1
225	225	2
226	226	3
227	227	4
228	228	5
229	229	6
230	230	7
231	231	8
232	232	9
233	233	10
234	234	11
235	235	12
236	236	13
237	237	14
238	238	15
239	239	16
240	240	17
241	241	18
242	242	19
243	243	20
244	244	21
245	245	22
246	246	23
247	247	24
248	248	25
249	249	the money due under any final judgment or contract of
250	250	compromise or settlement, less payment of the amount of any
251	251	prior liens, shall be liable to the [hospital ] service provider
252	252	for the amount that the [hospital ] service provider was
253	253	entitled to receive.
254	254	B. Liability of the person, firm or corporation for
255	255	the satisfaction of the [hospital ] service provider lien shall
256	256	continue for a period of one year after the date of any payment
257	257	of any money to the patient [his ] or the patient's heirs or
258	258	legal representatives as damages or under a contract of
259	259	compromise or settlement. Any [hospital ] service provider may
260	260	enforce its lien by a suit at law against the person, firm or
261	261	corporation making the payment. [In the event of a suit to
262	262	enforce a lien, the hospital may recover a reasonable
263	263	attorney's fee and the costs of filing and recording the lien ]
264	264	If the patient, or the patient's heirs or legal representatives
265	265	seeking damages under a contract of compromise or settlement,
266	266	exercise a hold harmless agreement with the person, firm or
267	267	corporation making payment of money to the patient or the
268	268	patient's heirs or legal representatives, any enforcement of a
269	269	lien by a suit at law shall be brought or maintained against
270	270	the party or parties receiving payment of money. "
271	271	SECTION 4. Section 48-8-4 NMSA 1978 (being Laws 1961,
272	272	Chapter 227, Section 4, as amended) is amended to read:
273	273	"48-8-4. COUNTY CLERK TO MAINTAIN [HOSPITAL ] SERVICE
274	274	.230952.2
275	275	- 5 - underscored material = new
276	276	[bracketed material] = delete
277	277	1
278	278	2
279	279	3
280	280	4
281	281	5
282	282	6
283	283	7
284	284	8
285	285	9
286	286	10
287	287	11
288	288	12
289	289	13
290	290	14
291	291	15
292	292	16
293	293	17
294	294	18
295	295	19
296	296	20
297	297	21
298	298	22
299	299	23
300	300	24
301	301	25
302	302	PROVIDER LIEN RECORDS.--Every county clerk shall maintain a
303	303	proper index of all [hospital ] service provider liens under the
304	304	name of the injured person."
305	305	SECTION 5. Section 48-8-5 NMSA 1978 (being Laws 1961,
306	306	Chapter 227, Section 5) is amended to read:
307	307	"48-8-5. RELEASE OF LIEN.--The [hospital ] service
308	308	provider shall, upon receipt of payment of the lien or the part
309	309	recoverable under the lien, execute and file, at the expense of
310	310	the [hospital] service provider, a release of lien."
311	311	SECTION 6. Section 48-8-7 NMSA 1978 (being Laws 1961,
312	312	Chapter 227, Section 7) is amended to read:
313	313	"48-8-7. SERVICE PROVIDER'S INTEREST IN SETTLEMENT
314	314	LIMITED TO LIEN RIGHTS .--Nothing in [this act ] Sections 48-8-1
315	315	through 48-8-7 NMSA 1978 shall be construed to permit any
316	316	[hospital] service provider to be a party to or to have any
317	317	interest in the amount or manner of any settlement of any claim
318	318	on which a lien has been filed other than the lien rights as
319	319	provided in [this act ] those sections."
320	320	SECTION 7. Section 66-5-301 NMSA 1978 (being Laws 1978,
321	321	Chapter 35, Section 325, as amended) is amended to read:
322	322	"66-5-301. INSURANCE AGAINST UNINSURED AND UNKNOWN
323	323	MOTORISTS--REJECTION OF COVERAGE BY THE INSURED--SUBROGATION
324	324	RIGHTS.--
325	325	A. No motor vehicle or automobile liability policy
326	326	insuring against loss resulting from liability imposed by law
327	327	.230952.2
328	328	- 6 - underscored material = new
329	329	[bracketed material] = delete
330	330	1
331	331	2
332	332	3
333	333	4
334	334	5
335	335	6
336	336	7
337	337	8
338	338	9
339	339	10
340	340	11
341	341	12
342	342	13
343	343	14
344	344	15
345	345	16
346	346	17
347	347	18
348	348	19
349	349	20
350	350	21
351	351	22
352	352	23
353	353	24
354	354	25
355	355	for bodily injury or death suffered by any person and for
356	356	injury to or destruction of property of others arising out of
357	357	the ownership, maintenance or use of a motor vehicle shall be
358	358	delivered or issued for delivery in New Mexico with respect to
359	359	any motor vehicle registered or principally garaged in New
360	360	Mexico unless coverage is provided therein or supplemental
361	361	thereto in minimum limits for bodily injury or death and for
362	362	injury to or destruction of property as set forth in Section
363	363	66-5-215 NMSA 1978 and such higher limits as may be desired by
364	364	the insured, but up to the limits of liability specified in
365	365	bodily injury and property damage liability provisions of the
366	366	insured's policy, for the protection of persons insured
367	367	thereunder who are legally entitled to recover damages from
368	368	owners or operators of uninsured motor vehicles because of
369	369	bodily injury, sickness or disease, including death, and for
370	370	injury to or destruction of property resulting therefrom,
371	371	according to the rules and regulations promulgated by, and
372	372	under provisions filed with and approved by, the superintendent
373	373	of insurance.
374	374	B. The uninsured motorist coverage described in
375	375	Subsection A of this section shall include underinsured
376	376	motorist coverage for persons protected by an insured's policy.
377	377	For the purposes of this subsection, "underinsured motorist"
378	378	means an operator of a motor vehicle with respect to the
379	379	ownership, maintenance or use of which the sum of the limits of
380	380	.230952.2
381	381	- 7 - underscored material = new
382	382	[bracketed material] = delete
383	383	1
384	384	2
385	385	3
386	386	4
387	387	5
388	388	6
389	389	7
390	390	8
391	391	9
392	392	10
393	393	11
394	394	12
395	395	13
396	396	14
397	397	15
398	398	16
399	399	17
400	400	18
401	401	19
402	402	20
403	403	21
404	404	22
405	405	23
406	406	24
407	407	25
408	408	liability under all bodily injury liability insurance
409	409	applicable at the time of the accident is less than the limits
410	410	of liability under the insured's uninsured motorist coverage.
411	411	No motor vehicle or automobile liability policy sold in New
412	412	Mexico shall be required to include underinsured motorist
413	413	coverage until January 1, 1980.
414	414	C. The uninsured motorist coverage shall provide an
415	415	exclusion of not more than the first two hundred fifty dollars
416	416	($250) of loss resulting from injury to or destruction of
417	417	property of the insured in any one accident. The named insured
418	418	shall have the right to reject uninsured motorist coverage as
419	419	described in Subsections A and B of this section; provided that
420	420	unless the named insured requests such coverage in writing,
421	421	such coverage need not be provided in or supplemental to a
422	422	renewal policy where the named insured has rejected the
423	423	coverage in connection with a policy previously issued to [him ]
424	424	the insured by the same insurer.
425	425	D. The uninsured motorist coverage provided
426	426	pursuant to this section may permit the issuing insurer to
427	427	recover proceeds against third parties in subrogation; provided
428	428	that any action brought to recover proceeds paid pursuant to
429	429	this section shall:
430	430	(1) include any insured party or party who
431	431	received payment from the uninsured motorist coverage as a
432	432	named plaintiff therein and no action in subrogation shall be
433	433	.230952.2
434	434	- 8 - underscored material = new
435	435	[bracketed material] = delete
436	436	1
437	437	2
438	438	3
439	439	4
440	440	5
441	441	6
442	442	7
443	443	8
444	444	9
445	445	10
446	446	11
447	447	12
448	448	13
449	449	14
450	450	15
451	451	16
452	452	17
453	453	18
454	454	19
455	455	20
456	456	21
457	457	22
458	458	23
459	459	24
460	460	25
461	461	permitted absent the inclusion of the insureds and any
462	462	beneficiaries to the uninsured motorist coverage as named
463	463	parties;
464	464	(2) require claims made against any third
465	465	party be proven by a preponderance of the evidence;
466	466	(3) be triable to a jury upon request of any
467	467	party; and
468	468	(4) not permit either the fact that uninsured
469	469	motorist coverage benefits were paid or the amount of any such
470	470	payment to be admissible in any action to recover damages
471	471	against a third party.
472	472	E. If a driver is covered by a motor vehicle or
473	473	automobile liability policy in the minimum limits set forth in
474	474	Section 66-5-215 NMSA 1978 at the time of an alleged loss, that
475	475	person shall be immune from any third-party subrogation action
476	476	seeking subrogation of payment of underinsured benefits paid in
477	477	excess of those limits. "
478	478	SECTION 8. APPLICABILITY.--The provisions of this act
479	479	apply to lien enforcement actions filed on or after July 1,
480	480	2025.
481	481	SECTION 9. EFFECTIVE DATE.--The effective date of the
482	482	provisions of this act is July 1, 2025.
483	483	- 9 -
484	484	.230952.2