Medicare Set-Aside Allocations (MSA) are predetermined amounts of money set aside from the settlement of a worker’s compensation case. They are typically held in a trust and used to cover projected lifetime medical costs covered by Medicare. An MSA can be funded either by a lump-sum payment or by a combination of cash and a structured settlement annuity.
Sometimes an MSA may be mandatory. You will want to reach out to American Settlement Corporation if your worker’s compensation case follows one of these criteria:
The settlement involves an injured party that is already a Medicare beneficiary, regardless of the settlement amount.
The injured party must have a reasonable expectation of becoming a Medicare recipient within the next 30 months, and the total settlement amount is more significant than $250,000.
A reasonable expectation for someone becoming a Medicare recipient includes having applied for or been approved for Social Security Disability Income benefits, having been denied and are appealing the decision, having end-stage renal disease but do not yet qualify for Medicare, or are 62 ½ years of age.
Making the Most Out of Medicare Trusts
Trying to estimate the amount of money needed to fund the MSA and the other details associated with establishing the trust can be complicated and confusing if you try to do it on your own. Please contact our associates to explore your options for an MSA so that you can make the best decision for you and your family’s future.