Massachusetts 2023-2024 Regular Session

Massachusetts House Bill H1750 Compare Versions

Only one version of the bill is available at this time.
OldNewDifferences
11 1 of 1
22 HOUSE DOCKET, NO. 1771 FILED ON: 1/18/2023
33 HOUSE . . . . . . . . . . . . . . . No. 1750
44 The Commonwealth of Massachusetts
55 _________________
66 PRESENTED BY:
77 Jeffrey N. Roy
88 _________________
99 To the Honorable Senate and House of Representatives of the Commonwealth of Massachusetts in General
1010 Court assembled:
1111 The undersigned legislators and/or citizens respectfully petition for the adoption of the accompanying bill:
1212 An Act concerning equitable allocation of recovery proceeds for subrogation claims.
1313 _______________
1414 PETITION OF:
1515 NAME:DISTRICT/ADDRESS :DATE ADDED:Jeffrey N. Roy10th Norfolk1/13/2023Margaret R. Scarsdale1st Middlesex2/6/2023John Barrett, III1st Berkshire2/6/2023 1 of 3
1616 HOUSE DOCKET, NO. 1771 FILED ON: 1/18/2023
1717 HOUSE . . . . . . . . . . . . . . . No. 1750
1818 By Representative Roy of Franklin, a petition (accompanied by bill, House, No. 1750) of Jeffrey
1919 N. Roy, Margaret R. Scarsdale and John Barrett, III relative to equitable allocation of recovery
2020 proceeds for certain subrogation claims. The Judiciary.
2121 The Commonwealth of Massachusetts
2222 _______________
2323 In the One Hundred and Ninety-Third General Court
2424 (2023-2024)
2525 _______________
2626 An Act concerning equitable allocation of recovery proceeds for subrogation claims.
2727 Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority
2828 of the same, as follows:
2929 1 SECTION 1. Section 70A of chapter 111 of the General Laws, as appearing in the 2018
3030 2Official Edition, is hereby amended by adding the following sentence:-
3131 3 The expense of any attorney’s fees and costs incurred in enforcing the liability of the
3232 4tortfeasor and in obtaining such judgment, compromise or settlement shall be divided between
3333 5the health maintenance organization, or hospital, medical or dental service corporation and the
3434 6injured person in proportion to the amounts received by them from any such judgment,
3535 7settlement or compromise. If the settlement, judgment or funds available to satisfy the judgment
3636 8are less than the amount of plaintiff’s total damages, the court may reduce after a hearing the
3737 9amount of said insurer’s lien in the action, after evaluation of the plaintiff’s total cognizable
3838 10damages at law.
3939 11 SECTION 2. Chapter 111 of the General Laws, as so appearing, is hereby amended by
4040 12inserting after section 70D the following section:- 2 of 3
4141 13 Section 70D ½. Notwithstanding the provisions of sections 70A to 70D, inclusive, and
4242 14any contractual term to the contrary, no health maintenance organization or group or individual
4343 15medical insurer or disability insurer which has provided benefits for covered services to a person
4444 16insured in an accident shall have a lien or right of reimbursement or subrogation claim or claims
4545 17of recoupment no matter how designated upon any recovery or sum had or collected or to be
4646 18collected, whether by judgment or by settlement or compromise from another person as damages
4747 19on account of such injuries, for more than the proportionate share of said recovery or sum subject
4848 20to its lien, right or reimbursement, subrogation claim or claims of recoupment which the amount
4949 21of benefits so provided for covered services bears to the complete value of the injured person’s
5050 22tort damages.
5151 23 Either the entity which provided benefits or the injured person may petition the court in
5252 24which the accident case is pending, or in a court in which such case could be properly filed had
5353 25settlement not been attained before commencement of suit, for a determination of the
5454 26reasonableness of the settlement and the fair allocation of amounts payable thereunder. A hearing
5555 27on such petition shall adhere to the same procedural requirement as provided in section 15 of
5656 28chapter 152.
5757 29 SECTION 3. Chapter 231 of the General Laws, as appearing in the 2018 Official Edition,
5858 30is hereby amended by inserting after section 72 the following section:-
5959 31 Section 72A. In any action in which an injured person enters into a settlement with, or
6060 32obtains a judgment upon trial from a third party and benefits for such person’s injuries have been
6161 33paid under chapter 152, and the injured person and the insurer paying said benefits do not agree
6262 34to the amount each is entitled to recover out of such settlement or judgment, there shall be a just 3 of 3
6363 35and reasonable apportionment thereof in accordance with this section; provided, however if the
6464 36settlement, judgment or funds available to satisfy the judgment are less than the amount of
6565 37plaintiff’s total damages, the court or other authority authorized to approve settlements under
6666 38section 15 of chapter 152 may reduce after a hearing the amount of said insurer’s lien in the
6767 39action, after evaluation of the plaintiff’s total cognizable damages at law. Except in the case of a
6868 40final judgment, where the plaintiff is dissatisfied with the apportionment by the court, he may
6969 41withdraw his consent to the settlement.