Is CMS Ever Going to Issue Regulations Governing Liability MSA’s?

Is CMS Ever Going to Issue Regulations Governing Liability MSA’s?

This week, Medicare once again punted on releasing notice of proposed rulemaking for post-settlement medical care on liability claims.  Medicare has been seriously hinting at implementing such regulations since December 2018 but the concept dates back all the way to the 2012 Advanced Notice of Proposed Rulemaking on MSP and Future Medicals.  Prior notices indicated that the rule would clarify what it means for a Medicare beneficiary to “satisfy” Medicare’s interests with respect to future medical treatment where there is a settlement, judgement, award or other payment.    Medicare planned on releasing proposed regulations in March 2021.  After not providing any guidance within the timeframe they set forth, the Office of Budget Management (OBM) then stated that they would issue proposed rulemaking by October 2021.  October passed without any further clarification on whether and how the Medicare Secondary Payer Act impacts a party’s obligation for future medicals in a liability claim.  Medicare recently updated the notice, stating that they are hoping to provide further clarification by February 2022.  The MSP industry anticipates that when the rule is finally issued that it will include specific guidance on the use of liability Medicare Set Asides (LMSA).  Since the concept of LMSA would significantly impact how liability cases are settled, we are closely monitoring any signals issued by Medicare and OBM.  If you have any questions on how to “satisfy” Medicare’s interests for future medical expenses on liability claims while we await further guidance, you can call us at MSA Services, LLC (866) 306-9423.