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Recent changes to Center for Medicare and Medicaid Services (CMS) policy relative to prescription medication have impacted workers’ compensation settlements. Specifically, the CMS position on prescription medication review has led to higher Medicare Set-aside Arrangements (MSAs), which have proven to be disadvantageous to carriers and claimants alike. Some insurers are opting not to settle; they feel the prescription costs of the MSA make it fiscally preferable to keep the claim open. Additionally, some claimants are unwilling to settle, believing that the overall settlement is skewed toward prescription medication that they will never utilize.

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