On July 31st, a bill titled “The Medicare Secondary Payer and Workers’ Compensation Settlement Agreements Act of 2014” also known as S 2731 was introduced in the United States Senate. S 2731 was introduced by Sens. Bill Nelson, D-Fla., and Rob Portman, R-Ohio, and is very similarly modeled after legislation which was introduced earlier in this Congress widely known as HR 1982.
The legislation seeks to primarily achieve the following objectives: 1) establish clear criteria in determining when there may be a review of a WCMSA by CMS; 2) create certainty for calculating the amounts to be included in MSAs; 3) provide a reasonable time frame in which CMS is to review WCMSA submissions; 4) provide an appeals process for parties to CMS determinations of a WCMSA; 5) provide an optional direct payment of set-aside amounts to Medicare; 6) assure that settlements that meet the terms of MSP at the time of settlement are not disapproved based on later changes in law, regulations or administrative interpretations.
Proponents of S 2731 claim that the bill has garnered support of the trial bar, employers, as well as the insurance industry. The text of the bill is not yet available at this time; however we will provide access to it once it becomes available. We will also keep subscribers updated on any new activity on S 2731.