Home / Government Benefits Planning / What Are a Plaintiff Attorney’s Obligations to Medicare When Settling a Case?

What Are a Plaintiff Attorney’s Obligations to Medicare When Settling a Case?

Key Takeaways

  • Plaintiff attorneys have a legal obligation to protect Medicare’s interests when settling a case.
  • Medicare may pursue recovery directly from attorneys for unpaid conditional payments.
  • Proper handling requires identification, reporting, and reimbursement of Medicare claims.
  • Early planning reduces compliance risk and post-settlement liability.

Meet the Author

Greg Maxwell, Esq. CFP®

Greg Maxwell is an attorney, Certified Financial Planner, and settlement planner. He specializes in settlement tax planning, government benefits planning, and financial planning for plaintiffs and plaintiff attorneys.

Are You or Your Client Receiving a Settlement Soon?

Book a free 15-minute call to review settlement planning options and help make sure you or your client make the most of the settlement.

Book a FREE call today to start your tax strategy & financial planning with settlement experts. Avoid costly mistakes, reduce taxes, and make the most of your settlement.

Book a FREE call today to start your tax strategy & financial planning with settlement experts.

Introduction

As a plaintiff attorney, it is important to understand your obligations to Medicare when settling a personal injury case. There are two parts to consider in Medicare's interests: the Medicare conditional lien and Medicare's future interest.

First is the Medicare conditional lien, which is Medicare's right of recovery from the date of injury to the date of settlement. Most attorneys are familiar with this process — they go through the process with the Benefits Coordination & Recovery Center (BCRC) to get the conditional payment letter and obtain a final demand from Medicare that will be settled at the time of settlement.

As for Medicare's potential future interest, it will vary from case to case depending on the facts — and in a liability situation, the rules are less clear than they are in a worker's compensation case.

What attorneys need to do is make sure that Medicare's interests are considered and protected going forward. There are many factors that should be evaluated when protecting Medicare’s future interests. Although it is not a necessity to establish a Medicare set aside, it may be one option to consider. There are other solutions as well.

If you're not sure of the facts of your particular case or what you need to do, we're more than happy to get on a phone call and walk you through the considerations. The attorneys here at Amicus Settlement Planners can help you and your client decide what the best course of action is for you to take from the point of settlement going forward to protect Medicare's future interests. It will be fact-dependent so we'll do our best to help clear that up so that you and your client can make the best decision. See how our expertise in structured settlements and government benefits planning can work for you.

You May Also Like...