Settlement With Client Dual Eligible for Medicaid and Medicare

John Darer • January 6, 2020

Understand Countable or You Could be Held Accountable

Dual Eligibility Medicaid Medicare
We are receiving a number of calls from individuals who received workers compensation settlements who were dually eligible, but there was a failure to recognize this in settling the workers compensation claim, possibly putting other public benefits in jeopardy.  Whether you are a plaintiff's personal injury lawyer or workers compensation applicant attorney you obviously don't want to be there. 

What Does It Mean to Be Dually Eligible?
Being eligible for both Medicaid and Medicare under the rules of the respective programs. Medicaid, a state and federally funded program that provides basic health care coverage for those whose income and assets are below certain thresholds, can be used to supplement Medicare coverage if the claimant has both programs.

A Medicare Set-Aside account is considered an available resource for purposes of asset/income sensitive needs-based benefits such as SSI and Medicaid.  

If the Medicare Set-Aside account is not set up inside a special needs trust or Supplemental Needs Trust (New York), the plaintiff/claimant may lose Medicaid/SSI eligibility.  To maintain their Medicaid/SSI benefits,  the MSA must be placed within a special needs trust, using a hybrid trust which addresses both Medicaid and Medicare.  

Be mindful of this issue in the run up to settlement negotiations.


independent life structured settlement annuities
By John Darer March 16, 2025
In the structured settlement annuity industry, dominated by many of the largest life insurers in the United States, Independent Life Insurance Company (ILIC) achieved significant milestones in 2024. Good news, positives and some concerns discussed in this lattest post.
Prudential and Pacific Life are among the world's most ethical companies
By John Darer March 13, 2025
Prudential and Pacific Life have once again been named among the world's most ethical companies. Prudential received the award for the 11th time., Pacific Life received the award for the 8th time. Prudential and Pacific Life are leading issuers of structured settlement annuities.
structured settlement annuity market expansion 2025
By John Darer March 13, 2025
John Darer reviews structured settlement annuity market expansion featuring 3 new entrants Athene Life & Annuity, American National (ANICO) and Puritan Life as well as MetLife's development of a best in class
settlement agreement and release
By John Darer February 11, 2025
What is a Settlement Agreement and Release? What is the role of a Settlement Agreement and Release in establishing a structured settlement? What is a compromise?
structured settlement market explained
By John Darer February 11, 2025
John Darer reviews the primary structured settlement market, secindary market and tertiary structured settlement markets
tax free structured settlement annuity
By John Darer February 7, 2025
A structured settlement annuity does not drive the tax consequences of structured settlement annuity payments. It is the type of damages the structured settlement annuity payments represent, as reflected in the relevant settlement documentation executed by the settling parties
structured settlement beneficiary
By John Darer January 29, 2025
Structured settlement beneficiary death claim. An executor cannot change the beneficiary of a structured settlement annuity. StructuredTypically, settlement agreements permit the Payee to name or change a beneficiary, provided such change is in writing and submitted to the Assigmment Company or annuity issuer in writing and in proper form.
new york structured settlements, new york city structured settlements, nyc structured settlement cos
By John Darer January 23, 2025
Which life insurance companies write structured settlement annuities for personal injury and wrrongful death settlements in Bronx, Brooklyn, Staten Island, Queens, Manhattan, Long Island, Westchester, Erie, Rockland, Albany,Monroe in 2025 through licensed representatives?
structured settlement annuities
By John Darer January 8, 2025
Why Structured Settlements? Because Certain Sells® Structured settlements offer predictable income streams, which can be appealing to rein in uncertainty. John Darer reviews some other reasons that structured settlements are increasingly being used to settle cases:
structured settlements history
By John Darer December 13, 2024
Structured settlements have roots that trace back more than 100 years, from 1918, when Congress exempted damages for personal injury or sickness from income tax, to the establishment of structured settlements as the core personal injury settlement planning tool it is today.
More Posts