Can Medicaid take my settlement?

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Posts: 1
Joined: Tue May 31, 2016 11:18 am

Mon Nov 14, 2016 5:06 pm

I was in a car wreck two months ago on Thursday and I went to see the doctor on the day of the accident because I had a lot of pain in my hand. It turns out I broke my hand and had to have surgery. Luckily I have Medicaid so I didnt have to pay anything but now Medicaid wants to take my money from my personal injury case with the lawyer. Is Medicaid allowed to do that? Just take my money that I deserve for my accident?

Richard Dingus
Posts: 66
Joined: Mon Feb 22, 2016 10:48 am

Tue Nov 29, 2016 8:25 am

Thank you for the post, and great question.

If Medicaid has paid for medical expenses on your behalf that was related to injuries sustained in a motor vehicle accident, then Medicaid will likely be entitled to some form of reimbursement. Medicaid is typically entitled to up to one-third of your total settlement. Therefore, if you receive a $3,000.00 settlement from the at-fault insurance company, medicaid would be able to receive up to $1,000.00 of your settlement proceeds. Please note, however, that Medicaid will only be entitled to the amount paid on your behalf. Therefore, if medicaid paid less than a third, they will be reimbursed in full but limited to the amount paid.

For more information on Medicaid liens/reimbursements, please visit our article entitled Medicaid Liens and How they May Affect Your Recovery.

Thanks again, and I hope this helped!
Richard Dingus
Attorney and Counselor at Law

• Durham • Raleigh • Greensboro

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