Medicare reimbursement claim, interest

Posted by Mary Skinner

Question:
I resolved a case and held back 18.5k to resolve Medicare’s lien – this should have been plenty – but when I got the itemization, they want 21.5k. Some of these charges are clearly not related to my injury event. I sent an itemization of what I claimed was related and what I claimed was not, they sat on it forever, we called and called and then finally got someone. They said that they are charging interest on the full amount and they had no idea when they would get back with me. What do I do? Pay the 18.5k that I have in trust now to reduce the interest and hope they pay me back something?

-Alabama Attorney

Answer:
Medicare has 120 days to respond to a redetermination request and interest does accrue during that time. If it has been over 120 days there are ways that we can get them move on it. With that said, if you are certain that the 18.5K is the correct amount due Medicare (I can help you with the calculation if you aren’t) then I would reimburse Medicare – it will reduce the interest. I would be happy to discuss with you the options available.