No Medicare Set-Asides for Now

The Centers for Medicare & Medicaid Services (CMS) has withdrawn its proposed rule in tort actions on future medicals called “Medicare Secondary Payer and Future Medicals.” On Oct. 8th the Centers for Medicare & Medicaid Services (CMS) withdrew its proposed regulation for future medicals with respect to liability claim settlements. The Notice of Proposed Rulemaking (NPRRM) was submitted to the Office of Management & Budget over a year ago on August 1, 2013. The CMS submission can be found here.

According to the AAJ, this means that, currently, there is no future medicals rule pending from Medicare and the prospect of having to do Medicare Set-Asides in third party liability matters is now dead.

The American Association for Justice press release:
“REGULATORY VICTORY: FUTURE MEDICALS RULE WITHDRAWN

October 13, 2014
The Centers for Medicare & Medicaid Services (CMS) has withdrawn its proposed rule on future medicals called “Medicare Secondary Payer and Future Medicals.” This is a huge victory that AAJ achieved thanks to the excellent guidance provided by AAJ’s Regulatory Counsel, Sarah Rooney, and AAJ’s Medicare Secondary Payer Advisory Group chaired by AAJ President-Elect Larry Tawwater.

AAJ lobbied hard against the proposed rule which was issued in June 2012. The rule would have reduced access to civil justice for Medicare beneficiaries and would have left them without the benefit of Medicare coverage when they are sick or dying. Our lobbying has achieved the results we wanted for you and your clients—CMS has withdrawn the rule from review. This means there currently is no future medical rule pending.”