Third Party Liability

Settlement

AmbulanceA personal injury claim covered by this Act cannot be settled unless:
  • written notice is given to the Minister, and
  • the Minister consents in writing – s. 13(1).

Section 13 applies to all claims and lawsuits settled after the Health Care Costs Recovery Act comes into force, regardless of when the claim or lawsuit was initiated, unless excluded by regulation.

Beneficiary’s duties:

  • at least 21 days prior to entering into a settlement, notify the Minister in the prescribed form – s. 12

Payor’s duties:

  • the person legally responsible for making payments under the settlement must:
    • notify the Minister of the proposed settlement terms – s. 13(1)
    • provide the Minister with requested information to evaluate the proposed settlement – s. 13(3)
  • obtain the Minister’s written consent – s. 13(1)(b)
  • pay the portion of the settlement allocated to the health care claim to the government within 60 days, or as otherwise agreed – s. 13(6) & (7)

If notice as required by s. 13(1) is not provided:

  • the government has the right to recover, from the person required to give that notice,
  • the total cost of past and future health care services related to the personal injury – s. 13(5)
  • as a debt due from that person to the government.

Releases – s. 13(8)

  • person to whose benefit the release is given must:
    • give the Minister written notice of the proposed terms, and
    • obtain the Minister’s consent.