What If You Have a Medicare Set-Aside and Don't Need Care?

Funds in a Medicare Set-Aside (MSA) can only be used to cover medical expenses due to your injury as set out in the MSA agreement, even if you no longer receive Medicare or treatment. They can't be used for any other purpose. If you have funds left over at the end of a year, they remain in the account and are carried forward to the next year. The funds will continue to accrue and be available if you need them in the future. 

Settling Your Estate After You Pass

If money remains in the account after you die, your estate administrator can distribute funds according to state law once all other claims have been satisfied. Money may go to beneficiaries, including family, friends, or charitable organizations, named in the settlement agreement after a period of 12 months. During this time, providers, physicians, and other medical suppliers can submit bills to Medicare for reimbursement first.

Learn more about Medicare set-asides. If you have been injured and received a settlement, contact a local special needs planner with questions about Medicare set-aside agreements and how they work.