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An interesting issue of LIGA credit

Judge Piper Griffin recently ruled in favor of LIGA, allowing a credit for medical expenses incurred by a Medicaid eligible plaintiff even though she had not and could not submit the bills for payment under the program. See, Anderson v. Gutierez-Cruz, 2015-00611 (Civil District Court 10/24/18).

At issue were $5,408.12 of billed medical expenses related to treatment for injuries incurred in a March 1, 2014 motor vehicle accident. The deadline for submitting the bills to Medicaid for payment was November 12, 2015.

Plaintiff filed suit against an insured of Affirmative Casualty Insurance Company. Rather than going through Medicaid, she sought recovery of medical expenses through liability insurance. When Affirmative was declared insolvent on March 24, 2016, the Medicaid deadline was expired.

LIGA claimed a credit for medical expenses under Louisiana Revised Statute 22:2062. Plaintiff opposed the credit, arguing that before LIGA's obligation ever existed, her right to the alternative benefits was extinguished.

Judge Griffin recognized the "unfortunate" consequences, but concluded that the statutory "expression of legislative will" superseded "plaintiffs' equity argument."


Posted: Nov. 27, 2018