The Medicare Secondary Payer (“MSP”) Act obligates parties resolving liability insurance claims to address two broad obligations:
1) reimbursement/resolution
2) reporting
Within the reimbursement/resolution prong lie two components, past medicals and future medicals. To comply with future medical obligations, parties should screen the case to determine if a Medicare Set-aside Arrangement (“MSA”) is appropriate under the case-specific facts. The MSA obligation is the subject of debate and uncertainty nationwide. The purpose of this article is to provide a formalized approach to addressing the MSA issue in a 2012 liability insurance settlement.