What is a Medicare Set-Aside Allocation?
A Medicare set-aside allocation is a document specifying future injury-related medical needs and associated costs. This document is required when settling workers’ compensation and liability claims involving injury-related medical expenses of the type typically covered by Medicare. The Center for Medicare and Medicaid Services (CMS) stipulates that a Medicare set-aside arrangement must be developed in order to protect Medicare’s interests when setting future medical expenses. Through Medicare set-asides, CMS seeks to establish Medicare as the secondary payer in cases involving Medicare beneficiaries who are also covered by other insurance carriers.
