I received a Workers comp. set aside medicare check. What will they do to me if I spend this money on something else than meds?

Asked almost 3 years ago - Ashland, KY

Just received this check after 6 years and I am so behind on everything, will I go to jail or what can they do to me if I spend this money???

Attorney answers (2)

  1. Nancy J Wallace

    Contributor Level 14


    Lawyer agrees

    Answered . MEDICARE will CUT OFF YOUR MEDICARE payments, you'll have NO insurance.

    You'll have to pay cash out of pocket for all prescription medication, doctor's visits and tests until you pay Medicare the money you promised to pay.

    The Settlement you signed promised to take the Medicare Set-Aside money, SET IT ASIDE, and account for every penny for medical purposes only; YOU'D BEST KEEP EVERY RECEIPT PLUS A MEDICAL MILEAGE CHART.

    If you use $10,000 to bail a drunk relative out of jail, and you don't have $10,000 in receipts for Medical treatment laying around ready to show to Medicare, MEDICARE MAY TERMINATE ALL MEDICARE SERVICES AND BENEFITS until you produce $10,000 in receipts showing that Medicare's money went to real medical care.

    You won't go to jail. You'll just go without any pills and have a stroke.

    Either way, it's a really dangerous idea.

    Sorry I couldn't give you better news.

  2. Gary Christmas

    Contributor Level 11


    Lawyer agrees

    Answered . If you do not follow the rules for your set-aside account and spend down the money on work-related medical then Medicare/Medicaid will likely not pay for your medical until you have paid this money for what it was supposed to be used for - your work-related medical treatment.

    DISCLAIMER The contents of this answer are for informational purposes regarding legal issues in South Carolina... more

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