Third Party Liability

Responsibility Statement

To provide the authority to require the repayment of health care costs from third party wrongdoers, or their insurers. In addition, the legislation will ensure the Province of British Columbia the benefit of participating in class action lawsuits for recovery of health care costs with respect to an injured party/beneficiary.
 
The Health Care Costs Recovery Act passed May 29, 2008 and brought into force by Regulation effective April 1, 2009. The Health Care Cost Recovery Act allows the Ministry of Health Services to recover all health care costs paid by government related to a beneficiary’s injury that was caused by the wrongful act of a third party.

The Health Care Costs Recovery Act is the foundation for the Third Party Liability Department. Two points were clearly made during the Conversation on Health – accountability and sustainability in the health system. Ensuring the province is entitled to recover the health care costs for personal injuries stemming from the negligence or wrongdoing of a third party is a small part of ensuring an accountable and sustainable public health system.

Currently the Third Party Liability department of Ministry of Health Services relies on a 50 year old agreement which provided for an insurer to, if they chose to, follow the agreement pay or negotiate a portion of the hospital and medical costs and pay that amount to the Ministry. Many insurers and legal representatives did not follow the agreement and chose to pay nothing. Therefore, the recovery of the health care costs was significantly reduced from the actual amount of services provided.

The Health Care Costs Recovery Act provides the Province of British Columbia with the authority to collect Health Care Costs, as defined in the Act and Regulations, from Third Party Insurers or wrongdoers. Compliance is required.