Georgia Personal Injury Settlements Subject to New Medicare Reporting Requirements
There are new laws in place which affect how Plaintiff lawyers must handle personal injury settlement funds in Georgia.
Starting July 1, 2009, insurance companies are subject to new reporting requirements which may hold up the settlement and payment to residents of Georgia who have been injured in car accidents and other types of personal injury claims.
Pursuant to the new laws, liability insurers (including workers' compensation insurers and group health plan plans) are required to determine whether any individual who files a claim against the insurer or any entity insured or covered by the insurer would be entitled to Medicare benefits. If so, the insurer must provide Medicare with that person's identity and any other information that may be required by the Secretary of Health and Human Services (Secretary). This information must be furnished to Medicare within the time specified by the Secretary after the claim is
resolved through settlement, judgment, award or other payment, regardless of whether there has been an admission of liability.
Failure of the insurance companies to comply with these new requirements could result in penalties.If an insurer or other Responsible Reporting Entity fails to notify Medicare in accordance with these guidelines, a civil penalty of $1,000 per day will be charged per claimant. In addition, Medicare now has the right to audit these entities who pay out to injured plaintiffs, and these entities must comply with the new registrations requirements.




