CMS Announces New Fixed Percentage Option Regarding Medicare’s Recovery Claims for Certain Liability Settlements

The Centers for Medicare and Medicaid Services (CMS) has announced a new fixed percentage option regarding Medicare’s recovery claims for certain liability (including self-insurance) settlements beginning November 7, 2011. To review CMS’ announcement, click here www.msprc.info

This option will be available to beneficiaries who receive certain types of liability (including self-insurance) settlements of $5,000 or less. Under CMS’ new plan, a beneficiary who elects this option will be able to resolve Medicare’s recovery claim by paying Medicare 25% of his/her total liability settlement instead of using the traditional recovery processes. Continue reading “CMS Announces New Fixed Percentage Option Regarding Medicare’s Recovery Claims for Certain Liability Settlements”

Hadden v. U.S.

U.S. v. Hadden
No. 1:08-CV-10, 2009 WL 2423114
(D. W.D. Ky, Aug. 6, 2009)

This case involved a pedestrian plaintiff, Mr. Hadden, who was struck by a utility truck as he was walking on a sidewalk. The accident was caused when an unidentified driver ran a stop sign thereby cutting off the utility truck causing it take evasive action. In doing so, the utility struck Mr. Hadden causing bodily injury. Mr. Hadden sued the utility truck driver but was unable to file suit against the driver who ran the stop sign (the phantom tortfeasor) as he/she could not be found.

Mr. Hadden eventually reached a settlement with the utility truck driver in the amount of $125,000. Medicare issued a conditional payment demand upon Mr. Hadden for approximately $64,252.37 (said figure representing the full amount of the conditional payments issued by Medicare less applicable procurement costs). Continue reading “Hadden v. U.S.”