Does MassHealth Have the Right to Be Paid Out of a Settlement?
Yes. If you have been injured in a Massachusetts motor vehicle accident, slip and fall accident, or any other kind of accident, and MassHealth pays for your medical bills, they will have a lien on any monies you obtain via settlement. A lien means MassHealth has an enforceable legal interest in money that you recover from the person or company that injured you.
However, often MassHealth will reduce their lien prior to the time of settlement. Your Massachusetts personal injury lawyer will know how to effectively negotiate with MassHealth in order to reduce the amount of money you have to pay them. Of course, when negotiating any lien, it is imperative to negotiate before settlement. If negotiation occurs after settlement, your attorney does not have any negotiation leverage. That is because MassHealth knows that the case is settled, and they will expect to be reimbursed for the money they paid out on your behalf.