A recent U.S. district court order has moved self-insurers and insurance carriers—i.e. the primary payers—into a more prominent position as the targets for collection efforts by Centers for Medicare & Medicaid Services ("CMS") in seeking reimbursement for payments made from liability settlement proceeds before the Medicare lien is finally adjudicated.
U.S. District Court Judge David Bury, sitting in Tucson, Az., issued an order in the case of Patricia Haro, et al. v. Kathleen Sebelius, Secretary of U.S. DHHS, CV 09-134 TUC DCB, which did two significant things.
First, it granted class-action status to a group defined as "persons who are or will be subject to [Medicare Secondary Payer ("MSP")] recovery, and from whom defendant [CMS] has demanded or will demand payment of MSP claims before there have been determinations of the correct amounts through the waiver or appeals process."
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