News | June 11, 2009

Coalition Backs Legislation To Improve The Administration Of Medicare With Workers' Comp

Washington, DC - A coalition of attorneys representing injured workers; employers; insurance carriers: defense attorneys; and other interested parties applaud the introduction by Rep. John Tanner (D-TN) of HR 2641 to resolve the serious delays and confusion in the review of workers' compensation Medicare set asides by the federal agency responsible for administration of Medicare, the Centers for Medicare and Medicaid Services (CMS).

"The 'Medicare Secondary Payer and Workers' Compensation Settlement Act of 2009' will provide clear and consistent standards for CMS administrative process," said Douglas Holmes, President of UWC- Strategic Services on Unemployment and Workers' Compensation (UWC) and coordinator of the Coalition for Medicare Secondary Payer (MSP) Reform.

"CMS takes too long to review proposed set-asides, fails to provide consistent standards for determining amounts to be set aside, and provides no avenue to appeal CMS determinations. The process results in injured workers not receiving funds, additional costs for states and workers' compensation payers, and additional liability for employers, insurance carriers, and attorneys in contravention of the state workers' compensation exclusive remedy principle. A legislative solution to this problem is needed," said Holmes.

"Too often, injured workers bear the brunt of the delays caused by the current system and reforms are needed now. This bill is about process improvement and fair treatment of all parties. We applaud Representative Tanner for taking on this issue," said Ed Romano, President of the Workers Injury Law and Advocacy Group (WILG), the national association of Attorneys representing injured workers in workers' compensation cases.

"In case after case we hear of delays in approval, uncertainty of the amount to be reimbursed by injured workers, and changes in amounts to be set-aside after settlements have already been approved." said Romano.

"The current MSP procedure provides no effective recourse," Holmes stated. "There is no avenue to compel a timely decision or appeal a bad one. The legislation introduced by Representative Tanner corrects this situation and many other costly problems and delays, for the benefit of all parties involved – most importantly the injured workers."

SOURCE: Rep. John Tanner