Is an insurance carrier legally obligated to honor a known TRICARE lien in the settlement of a third-party liability claim? If not, is the carrier’s attempt to do so unreasonable as a matter of law?
This case is noteworthy because it presents the Court with its first opportunity to consider what subrogation obligations exist between an insurance company, a federal health benefits program, and an injured claimant in the context of a third-party liability claim. The Court’s decision as to the insurer’s lien obligations could have a substantial impact upon future tort victims in third-party liability claims in Montana.
Katy Brautigam, Oral Argument Preview, West v. USAA: A Legal Obligation to Subrogate?, 77 Mont. L. Rev. Online 153, https://scholarship.law.umt.edu/mlr_online/vol77/iss1/20.