This is a reminder that many liability insurance companies must register by July 1, 2009, with the U.S. Centers for Medicare and Medicaid Services (CMS), in compliance with new requirements intended to enforce the Medicare Secondary Payer laws.
Insurers subject to these requirements must register electronically with CMS between May 1 and June 30, 2009. Following a brief testing period, insurers will be required to file quarterly electronic reports of all medical payments made to Medicare beneficiaries.
Who must Register and File?
Insurers providing the following types of coverage must register and report:
- Homeowners liability insurance
- Automobile liability insurance
- Casualty insurance
- Product liability insurance
- Malpractice liability insurance
- Uninsured and Underinsured motorist liability insurance
- No-fault insurance (including auto, homeowners and commercial coverage, as well as medical payments coverage, personal injury protection and medical Expense Coverage)
- Workers’ compensation
The federal “Medicare Secondary Payer” – or “MSP” – provisions generally provide that the Medicare program does not have primary payment responsibility where private insurance and self-insurance programs provide coverage. Under federal law, Medicare pays secondary to liability insurance, no-fault insurance and workers’ compensation.
To help ensure that Medicare is the secondary payer, the Medicare, Medicaid and SCHIP Extension Act of 2007 includes mandatory reporting requirements related to Medicare beneficiaries who receive settlement judgments, awards or other payment from liability insurance, no-fault insurance or workers’ compensation and Medicare beneficiaries who have coverage under group health plans.
An additional reminder
Businesses that self-insure must also register and report. So, in addition to reporting regarding insurance issued to policyholders, your organization may have reporting requirements regarding its own group health plan, liability insurance and workers’ compensation. Please be sure that the person responsible for these plans is aware of this new reporting requirement.
These new MSP reporting requirements are complex. This Bulletin does not explain the requirements in detail. For more information about the new requirements, including requirements applicable to health plans, view this Bricker & Eckler’s Human Resources Bulletin at www.bricker.com/publications/articles/1450.pdf.
Additional information about requirements for registration can be found at: www.cms.hhs.gov/MandatoryInsRep/Downloads/RegistrationOverview.pdf.