Medicare Secondary Payer Manual (Pub. 100-05), Ch. 3 § 10.2
Situations in Which MSP Billing Applies
10.2 - Situations in Which MSP Billing Applies
(Rev.11874, Issued: 02-23-23, Effective: 03-24-23; Implementation: 03-24-23)
Medicare secondary billing procedures apply in the following situations:
• Where the Veterans Affairs (VA) authorized services, Medicare does not make payment
for items or services furnished by the VA or other non-Federal provider. pursuant to such
an authorization. Note, although certain MSP billing procedures apply, VA is not an
MSP provision. Rather, it represents a Medicare payment exclusion.
• Where services are payable under Workers’ Compensation (WC), no-fault or liability
insurance, Medicare does not make payment for otherwise covered items or services to
the extent that payment has been made, or can reasonably be expected to be made. Under
certain circumstances, Medicare may make conditional payments, subject to
reimbursement, if the WC, no-fault, or liability insurer has not paid or will not pay
promptly. Medicare is secondary to WC, no-fault, and liability insurance even if State
law or a private contract of insurance stipulates that its benefits are secondary to
Medicare benefits or otherwise limits its payments to Medicare beneficiaries.
• Medicare benefits are secondary to benefits payable under a GHP for individuals eligible
for or entitled to Medicare Part A based on ESRD during a Medicare coordination
period as described in Pub. 100-05, Chapter 2, §20.
• Medicare benefits are secondary to benefits payable under a GHP for individuals age 65
or over who have GHP coverage as a result of their own current employment status or
the current employment status of a spouse of any age. (See Pub. 100-05, Chapter 2§10,
for an explanation of this provision.)
• Medicare benefits are secondary to benefits provided by GHPs for certain disabled
individuals under age 65 (entitled to Medicare on the basis of disability) who have
coverage based on their own current employment status or the current employment
status of a family member, e.g., a spouse or other family member of a disabled
beneficiary. (See Pub. 100-05, Chapter21, §30, for an explanation of this provision.)
• Payment made by any of these primary payers can be used to satisfy unmet deductibles
and the individual's coinsurance. Inpatient, psychiatric hospital, Skilled Nursing Facility
(SNF), or Religious Non-medical Institution care that is paid for by a primary payer is not
counted against the number of lifetime psychiatric days available to the beneficiary.