Vote: approved

Item Text

31. SETTLEMENTS OF CLAIMS FOR RECOVERY OF MEDICAL CARE AND TREATMENT Approve settlements of claims for recovery of the cost of medical care and treatment entered from December 23, 2008 to January 6, 2011. The settlements to be approved are set forth in the attached schedule, and represent recovery by the Maricopa County Benefits Trust Fund of $124,971.64 on claims of $647,877.00. A.R.S. § 12-962 permits the County to recover the cost of medical care and treatment provided to participants in its employee Health and Welfare Benefits Program (“Participants”) who are injured by third parties. Under the County’s Administrative Services Only Agreement (the “ASO”) with Connecticut General Life Insurance Company (“CIGNA”), the County has authorized CIGNA to enter into binding settlement agreements where the recovery is 50 percent or more of the cost of the medical care and treatment provided to Participants for injuries caused by third-party tortfeasors. The settlements to be considered for approval represent settlements negotiated by CIGNA or its subcontractor in which the recovery is less than 50 percent of the cost of the medical care and treatment provided to Participants for injuries caused by third-party tortfeasors. The ASO provides that CIGNA’s administrative fee for obtaining reimbursement to the Benefits Trust Fund is (a) five percent of the amount reimbursed, plus attorneys’ fees, in cases in which it has retained counsel, and (b) 29 percent of the amount reimbursed in cases where no counsel is retained. (C-39-11-002-S-00)