Waivers under Section 1870(c) of the Act

50.6 – Waivers under Section 1870(c) of the Act (Rev. 12438; Issued: 01-04-24; Effective: 02-06-24; Implementation: 02-06-24) MSP Contractors have authority to consider beneficiary requests for waivers under Section 1870(c) of the Act. However, the authority to waive Medicare claims under Section 1862(b) of the Act, and to compromise claims or to suspend or terminate recovery action under the FCCA, is reserved exclusively to CMS staff. Distinctions between waiver, partial waiver, and compromise are important, and are found at Pub. 100-05, Chapter 1 where each term is defined. A beneficiary may offer to refund to the MSP Contractor less than the full amount of Medicare’s claim. Medicare may accept such an offer either as a compromise under the FCCA, or as a waiver under Section 1870(c) of the Act. Medicare claims (see Pub. 100-05, Chapter 1 for definition) that do not involve the FCCA could be considered for waiver based on “economic hardship” or “equity and good conscience.” The MSP Contractor handles waiver requests. Waivers granted under this authority may not be appealed because they are granted at CMS’s discretion. See 42 C.F.R. § 405.926(h).