Monday, January 26, 2009

Naming Medicare as Payee on Check

Posted by Matthew Garretson

What do I do if the liability insurer demands that they will only settle the case if Medicare’s name is put on the check?

-New York Attorney

When Medicare is named as a payee on a check, all other payees must endorse the check. The check is then sent to the Medicare Secondary Payer Recovery Contractor for deposit. The Medicare Secondary Payer Recovery Contractor will distribute any excess funds it has collected over and above the debt. The bad news is that although the check will be endorsed and deposited into Chase bank within 24 hours of receipt, it can take up to 15 weeks for the refund.