> ## Documentation Index
> Fetch the complete documentation index at: https://docs.holace.io/llms.txt
> Use this file to discover all available pages before exploring further.

# Damages Tracking

> Medical bills, liens, and other damages — billed vs. incurred, balance owed, paid + owed, final amount.

The **Damages** tab on a journey is where the dollar amounts live. Medical bills, medical liens, other liens, and other damages — every number that ends up in the demand letter, the settlement calculator, and the disbursement statement starts here.

\[Screenshot: Damages tab with the four summary cards across the top and the medical-bills table beneath]

## The three sections

<Tabs>
  <Tab title="Medical Bills">
    One row per provider per billing event. The most-edited section on the tab.
  </Tab>

  <Tab title="Liens">
    Two sub-tabs — **Medical Liens** (provider liens, hospital LOPs, ERISA) and **Other Liens** (Medicare, Medicaid, child-support, judgment liens).
  </Tab>

  <Tab title="Other Damages">
    Lost wages, property damage, out-of-pocket — anything that isn't medical.
  </Tab>
</Tabs>

## Billed vs. Incurred — separate columns

This is the single most important distinction on the tab. As of the April 2026 fix, **Billed and Incurred are now separate, side-by-side columns** — not one column doing two jobs.

| Column                 | What it means                                                                         | Where it shows up                                                    |
| ---------------------- | ------------------------------------------------------------------------------------- | -------------------------------------------------------------------- |
| **Billed (As Billed)** | The full sticker price the provider sent — gross, pre-insurance, pre-write-off.       | Used as anchor for negotiation. Visible to the firm only.            |
| **Incurred**           | What was actually owed after insurance write-offs. The patient-responsibility number. | **The number used in the demand letter.** This is what carriers see. |

Editing **Incurred** does not touch **Billed**, and vice versa. If the AI extraction guessed an Incurred value from the records, you can edit it back to a corrected number without losing the billed amount. The cell turns blue when an AI-extracted Incurred value is sitting in there waiting to be confirmed.

\[Screenshot: Medical bills table with the AS BILLED, INCURRED, POST-SETTLEMENT, and DISBURSEMENT column groups visible]

## The four totals

<Columns cols={2}>
  <Card title="Total Billed">
    Sum of every Billed amount. The "raw" provider invoice total.
  </Card>

  <Card title="Total Incurred">
    Sum of every Incurred amount. **This is what feeds the demand letter.**
  </Card>

  <Card title="Total Reductions">
    Post-settlement provider reductions you've negotiated.
  </Card>

  <Card title="Balance Owed">
    What providers are still owed after reductions and any payments made.
  </Card>
</Columns>

A second pair of grand totals lives at the bottom of the bills table:

* **Paid + Owed** — sum of payments already made plus the current balance still owing.
* **Final Amount** — the disbursement-ready number after reductions, used when the disbursement statement is generated.

## AI-populated bills

When you run a [Medical Chronology](/legal-workflow/medical-chronology-extraction), HoLaCe scans the records for dollar amounts and pre-populates the Damages tab. You'll see a banner like:

> HoLaCe AI populated **3 providers** and billing amounts from the Medical Chronology records. Review each row — amounts shown in blue were AI-extracted and need confirmation.

You can either click **Confirm All AI Values** to accept everything in one click, or **Review One by One** to walk through each row. AI values stay blue until confirmed — no AI guess silently becomes a demand-letter number.

\[Screenshot: AI banner at the top of the Medical Bills section with the Confirm All / Review One by One buttons]

## Liens

The **Liens** sub-tab has two parts:

* **Medical Liens** — typically a provider's lien-on-proceeds (LOP), a hospital lien, or an ERISA / health-plan subrogation claim. Each lien tracks the lienholder, the original balance owing, the negotiated reduction, and the final amount.
* **Other Liens** — Medicare, Medicaid, child-support, judgment liens. Same fields, different category.

The grand total for both lien types rolls up into a single **Total Final Amount** card so you always know the total being held back at disbursement.

\[Screenshot: Liens tab with the Medical / Other sub-tabs and the Total Final Amount summary]

## Other Damages

A simple table for the non-medical categories: lost wages, property damage, rental car, out-of-pocket co-pays, future-care estimates. Each row has a description, a type, and an amount. The total flows into the demand letter as a separate line item under "Special Damages."

## What feeds where

| This number…               | Goes here                              |
| -------------------------- | -------------------------------------- |
| Total Incurred             | Demand letter — total medical specials |
| Other Damages total        | Demand letter — special damages        |
| Liens — Total Final Amount | Settlement disbursement holdback       |
| Final Amount per provider  | Disbursement statement, page 2         |

<Note>
  Default reduction percentages and lienholder rates can be set per firm: see [Admin → Firm Pricing Configuration](/admin-cross-cutting/admin-portal/billing).
</Note>

## What's next

Once your numbers are clean, the [Demand Letter](/legal-workflow/demand-letters) pulls Total Incurred + Other Damages into a draft. After settlement, the [Settlement Calculator](/legal-workflow/settlement-calculator) and [Disbursement Statement](/legal-workflow/disbursement-statement) read these same totals — there's no second place to keep them in sync.