2022 Medicare Recovery Thresholds
CMS has announced Medicare lien minimum recovery thresholds for 2022 settlements. Those thresholds are unchanged for the sixth straight year. These minimum settlement amount recovery thresholds essentially create a safe harbor for the smallest of settlements (excluding settlements that include exposure-based injuries). You can find that CMS alert here.
Here are some highlights:
- Plaintiffs need not report settlements less than $750;
- CMS will not attempt collection for Medicare liens less than $750; and,
- Defendants and Insurers need not report settlements less than $750 through mandatory insurer reporting.
Interestingly, CMS admitted an increased cost of collection to $328 per BCRC file. Nevertheless, the number of “missed recoveries” below the $750 threshold is just sixteen for no-fault and nine for workers’ compensation.
CMS’s recovery threshold rule applies only to physical trauma-based settlements, workers’ compensation settlements, and no-fault insurer settlements. Exposure settlements of any amount (for example, Asbestos settlements) still must be reported to Medicare.
At MASSIVE, we’re ready to assist on all those settlements larger than $750 – whether it is for Medicare Liens, Medicaid Liens, ERISA Liens, or any other Health Insurance Lien. Contact our experts to learn more about our services.