UWC Applauds Senators Portman and Cardin Introduction of Legislation to Clarify Workers’ Comp Payments

On September 24, 2020 Senator Rob Portman (R-OH) and Senator Ben Cardin (D-MD) introduced legislation to clarify the determination of workers’ compensation for Medicare eligible employees who were injured or became ill in the course of employment.

This bi-partisan bill is the Senate companion to HR 4161 that was introduced by Representatives Mike Thompson (D-CA) and George Holding (R-NC).

• The proposal would:
  • Create certainty for calculating the amounts in workers’ compensation Medicare set-aside arrangements;
  • Provide a reasonable time frame for the Centers for Medicare and Medicaid Services (CMS) to review set-aside submissions;
  • Provide an appeals process for parties to CMS determinations;
  • Increase revenue to Medicare through optional direct payment of the total amount of the set-aside to be paid to Medicare.
• The proposal will benefit injured workers, employers, insurers and CMS. It creates a system of certainty and allows the settlement process to move forward while eliminating millions of dollars in administrative costs that harm workers, employers (especially small business), insurers, and CMS.

UWC has been working closely with the bill sponsors to finalize the provisions of the Senate bill for introduction and to advocate for the clarification of Medicare Secondary Payer responsibilities for payers with respect to workers’ compensation.