When Mr. Vernon of Cincinnati Ohio has to relinquish nearly half of his settlement monies from a vehicle accident to Medicare, he inadvertently became a poster boy for what changes may come.

The courts ruling in the Hadden case said Mr. Hadden, who was hit by a truck in 2004 and received a settlement from one of the responsible parties, had to give up half of the money he received in order to pay off the medical expenses covered by Medicare.

This court decision may change how claims for liability and workers compensation benefits are handled in the future. If the amount of money being reached in a settlement all goes back to Medicare, the victims of the injury may not have anything left over to take care of themselves.

Medicare has a right to recoup money legally. However, there is now concern that recouping funds from people who can not make a full recovery for damage is not in the best interest of the injured person. While Medicare does need protection, the recent ruling does not appear to be practical.

Those who are eligible for future settlements after an injury on the job or due to an accident may not see the kind of settlement they need to continue living daily life. No one will be interested in settling cases if there is to be no recovery.

Those who owe Medicare do have the ability to file for a lien reduction when they can not make repayments, it is not an easy process to move through and it can complicate the settlement case over an extended period of time.


If you have questions about reimbursing Medicare after an accident or injury caused by another party, it is best to contact our office for a free consultation at 888-205-2415. Let an experienced attorney protect your rights. You can learn more by using our online contact form.