What Is the Medicare Secondary Payer Act?

The Medicare Secondary Payer Act (MSP) establishes that Medicare is never the first payer when another source—a liability claim, Workers' Compensation award, No Fault payment, or insurance plan—is responsible for covering injury-related medical costs. When that principle is ignored or mishandled, the consequences range from delayed care or denied payment for such care to significant federal penalties.

Compliance isn't a one-time checkbox. It spans the life of a case and, in many instances, extends well beyond it. Physician Life Care Planning helps attorneys, insurers, and injured parties understand their obligations at every stage and fulfill them without unnecessary exposure or delay.

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Why MSP Compliance Demands Specialized Attention

CMS now has broader access to beneficiary and recovery data than at any previous point in the program's history. Arrangements that once went unscrutinized are increasingly visible to federal reviewers. The cost of non-compliance—compounding interest, double damages, and long-tail liability—makes proactive, expert-led compliance the only responsible path forward. Physician Life Care Planning exists precisely for this work. Our team brings clinical knowledge, regulatory fluency, and decades of hands-on MSP experience to every case we touch. Contact Physician Life Care Planning today to speak with a specialist.

*Workload review threshold language from CMS guidance discusses those with a reasonable expectation of becoming enrolled in Medicare within 30 months of judgment, settlement, award, or other arrangement.

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