commissioner is entitled to recover the amount cost of the |
benefits actually paid out or, with regard to Medicaid recipients |
who participated in the managed care program when the |
| commissioner has determined that collection will be cost- |
effective, the reasonable value of benefits provided to the |
| extent that there are proceeds available for such recovery after |
| the deduction of reasonable attorney's fees and litigation costs |
| from the gross award or settlement. In determining whether |
| collection will be cost-effective, the commissioner shall |
| consider all factors that diminish potential recovery by the |
| department, including but not limited to questions of liability |
| and comparative negligence or other legal defenses, exigencies of |
| trial that reduce a settlement or award in order to resolve the |
| recipient's claim and limits on the amount of applicable |
| insurance coverage that reduce the claim to the amount |
| recoverable by the recipient. The department's statutory lien |
| may not be reduced to reflect an assessment of a pro rata share |
| of the recipient's attorney's fees or litigation costs. The |
| commissioner may, at the commissioner's discretion, compromise, |
| or otherwise settle and execute a release of, any claim or waive |
| any claim, in whole or in part, if the commissioner determines |
| the collection will not be cost-effective or that the best |
| possible outcome requires compromise, release or settlement. |