What does Medicare Set Aside mean? Read on to discover the definition & meaning of the term Medicare Set Aside - to help you better understand the language used in insurance policies.
Medicare Set Aside
An amount of money related to future medical expenses that must be reserved from an employee benefits, workers compensation, or auto insurance claim settlement that involves a Medicare-eligible claimant. The purpose of the set-aside is to protect Medicare from paying for medical benefits that should have been funded by the party responsible for causing the injury. Although applicable to general liability and automobile no-fault claims, the set-aside is most commonly a factor in workers compensation claim settlements. The Centers for Medicare and Medicaid Services (CMS) must approve the amount of the Medicare set-aside.
We hope the you have a better understanding of the meaning of Medicare Set Aside.