Digital Accountability and Transparency Act (DATA Act) Changes

On May 9, 2014, the President signed into law the Digital Accountability and Transparency Act (DATA Act). CMS provided an alert this morning reminding persons affected by the Medicare Secondary Payer Act that “[o]ne outcome of this legislation will be to reduce the timeframe for the referral of delinquent debt to the Department of Treasury (“Treasury”) for both Non Group Health Plan (including self-insurance, liability, no-fault, and workers’ compensation) and Group Health Plan from 180 to 120 days after the payment is due.” This change is effective October 1, 2015. The legislation ensures that if a plaintiff, primary payer, or counsel does not pay back a Medicare lien within the 60 day timeframe, Medicare will refer the debt to the department of Treasury for collection. If you have any questions or concerns, please feel free to contact me.

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