Yes, CMS requires all Medicare Set Aside funds to be stored in a separate, interest-bearing account to prevent commingling with other funds and simplify accounting.
What are the CMS requirements for managing Medicare Set Aside bank accounts?
- Use MSA funds exclusively for Medicare-covered treatments related to the injury.
- Maintain funds in a separate, interest-bearing bank account.
- Keep and organize all related bills and receipts.
- Report expenditures to CMS annually or when funds are depleted.
How are funds deposited into my Medicare Set Aside account?
- Lump sum settlements: funds will only be deposited into your account in one lump sum.
- Structured settlements or annuity payments: there may be an initial deposit, followed by periodic deposits that often occur annually.
What is the best way to comply with Medicare Set Aside bank account requirements?
Due to the complexity of administering and managing a Medicare Set Aside account, CMS strongly recommends that injured parties use a professional administrator. Using professional administration means you never have to worry about compliance with Medicare rules, process bills, maintaining records or handling CMS reporting.
Learn more about Ametros’ professional administration service, CareGuard
CareGuard is a leading professional administration service that helps manage your future medical funds following a workers' compensation or liability settlement. Our goal is to make your post-settlement life easier by saving you money on doctor's visits, prescriptions, medical equipment, and more, all while coordinating your care. With CareGuard, you’ll never deal with a medical bill alone, and our experts will manage any necessary Medicare Set Aside reporting on your behalf.
