CMS Pub. 100-05, ch. 5, § 10.8.3

The COBC develops to determine if a liability (including automobile liability) insurance claim has

been or will be filed. If, as a result of that development or receipt of self-reported information (for

example, letter from beneficiary or attorney or other beneficiary representative, notification from

provider), the beneficiary/representative indicates the intent to file a liability insurance claim, the

beneficiary/representative is notified by the COBC of Medicare's potential recovery claim, if there is a

settlement, judgment, or award, the COBC shall, where appropriate, send the attorney or other

beneficiary representative a release agreement to be completed and returned directly to the lead

contractor. The lead contractor shall post a termination date if it is notified that a liability case has

been resolved through a settlement, judgment or award and does not provide for future medical

payments. If its recovery development efforts find additional information that serves to modify the

information that is contained on CWF, it sends a CWF Assistance Request to the COBC via ECRS

(See §10.2.1).

If the COBC's development indicates there is a possible payment under liability insurance, the

contractor shall make conditional payment. The COBC shall designate a lead contractor to monitor

the progress of the liability claim and coordinate Medicare recovery efforts (See Chapter 7, §50.5).

See §10.8.1 for instructions where a liability insurance claim follows a no-fault situation; the lead

contractor is responsible for the same type of actions where a no-fault claim follows a liability claim.