Tackle Medical Bills Before Finalizing Your Client’s Settlement: Here’s How
Medical bills can quickly deplete a personal injury settlement. Your settlement consultant can help create a plan to minimize debt and maximize settlement funds, leaving your client with the funds needed to move forward.
Lien Resolution
Most personal injury clients have medical liens from Medicare, Medicaid, ERISA, Private Insurance, or VA/TRICARE. Your settlement consultant may suggest working with a lien expert pre-settlement who negotiates with insurance carriers to reduce and resolve healthcare liens. To illustrate potential savings, we pulled two real-life examples from leading lien resolution companies ARCHER and Medivest. ARCHER, who reports an average healthcare lien reduction of 65%, details a Pennsylvania Medicaid lien reduction from $1,914,206 to $191,421, saving more than $1.7 million. Similarly, Medivest provides an example of a Medicare Advantage Plan lien reduction from $648,434.45 to $75,000, saving the client more than $573,000.
Although the savings may not always be as significant as the two examples above, if your client has outstanding medical liens, any reduction is worth the time.
Medicare Set-Asides & Professional Administration
If your client is Medicare-eligible, a Medicare Set-Aside (MSA) may be necessary. An MSA uses settlement funds to pay for future medical expenses that would otherwise be covered by Medicare. One potential cost-savings strategy is to fund the Medicare Set-Aside with a structured settlement annuity (more on that here).
Another consideration is professional MSA administration. Companies like Ametros help clients avoid costly self-administration mistakes and potential loss of future medical coverage. Additionally, Ametros has discount programs to help your clients save money on doctor visits, medical equipment, prescriptions, and more. Ametros’ CareQuote tool provides a breakdown of discounted pricing before settlement, giving you and your client a clear picture of future medical-related expenses.
Another company, Saber Solutions, offers Medicare Set-Aside analysis and Medical Cost Projections to help determine future medical costs, providing you with the information needed to negotiate your client’s settlement. Again, any steps that can be taken to reduce your client’s expenses are well worth the time investment.
Start Planning for Post-Settlement Life Today
The best settlement plans begin pre-settlement. For more information on settlement maximization tools and strategies, contact us today.