Lawyer, Lawyer, Dutton & Drake, L.L.P.Representing Only The Injured!
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MANAGING MEDICARE'S MONEY

Understanding the role of Medicare, and other state/federal benefit programs is practically a full-time job. Here in our office the heads are spinning, and the eyes are watering by the time we think we have a plan in mind that helps protect the interest of the government, and the clients. What you have to understand is that work comp insurance companies are ruthless in trying to get off the hook for the obligation to take care of future medical expense. Those insurance companies will do anything to get the injured worker to take on the administration, payment, and reporting requirements to the federal government on cases that have been settled.Why the insurance companies are this way is a mystery to most workers. But if you think about it, it's not hard to understand. It boils down to more than simply paying for future medical care. Someone has to look at the bill as it comes in. Someone has to decide to pay the bill. Someone has to then write a check. Someone has to mail the check. Someone has to make a record of what has happened. Someone then has to keep track of those records, receipts, or other information pertaining to the payment. Finally someone has to report the details of what happened to the money to the satisfaction of the government. All of this costs money. Lots of money.Recently we looked in a case where the insurance company stated the minimum cost for maintaining a future medical account where only prescription medication was involved would be $2500 per year. Doesn't sound like very much when you think about it that way, does it? However, if the injured worker is 26 years of age this expenditure will cost more than $100,000 just to keep track of the numbers and paperwork during the estimated lifetime. Trust me, an insurance company is highly unlikely to pay you $100,000 even if you're willing to take on that work and accompanying risk. They think most lawyers and injured workers are blinded by money and won't consider the cost of administering the account.An injured worker should be very careful before taking on this challenging task. It's basically the same as trying to prove up expense account items for an over the road truck driver at tax time. There's a bunch of Mickey Mouse record keeping, organizing, and reporting that will drive most people crazy.

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Lawyer, Lawyer, Dutton & Drake, L.L.P.

Lawyer, Lawyer, Dutton & Drake, L.L.P.
1415 Grand Ave.
West Des Moines, IA 50265

Toll Free: 800-890-4544
Phone: 515-224-4400
Fax: 515-223-4121
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