LD 1319
pg. 312
Page 311 of 460 PUBLIC Law Chapter 20 Page 313 of 460
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LR 2000
Item 1

 
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.

 
2-A. Assignment of rights of recovery. The receipt of
benefits under the Medicaid MaineCare program administered by the
department pursuant to the United States Social Security Act,
Title XIX or under the elderly low-cost drug program under
section 254 constitutes an assignment by the recipient or any
legally liable relative to the department of the right to recover
from 3rd parties for the medical cost of injury, disease,
disability or similar occurrence for which the recipient receives
medical benefits. The department's assigned right to recover is
limited to the amount of medical benefits received by the
recipient and does not operate as a waiver by the recipient of
any other right of recovery against a 3rd party that a recipient
may have.

 
The recipient is also deemed to have appointed the commissioner
as the recipient's attorney in fact to perform the specific act
of submitting claims to insurance carriers or endorsing over to
the department any and all drafts, checks, money orders or any
other negotiable instruments connected with the payment of 3rd-
party medical claims.

 
2-B. Direct reimbursement to health care provider. When an
insured is eligible under the Medicaid MaineCare program
administered by the Department of Human Services pursuant to the
United States Social Security Act, Title XIX or under the elderly
low-cost drug program under section 254 for the medical costs of


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