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KYRetirement Systems

Medicare Claims Payment Process


  • Claim of $100 is presented to Medicare.
  • Medicare pays 80% or $80 of the $100.
  • KRS pays 80% of the remaining $20 or $16.
  • Member pays 20% of the $20 or $4.
  • This process is repeated on all claims until the Maximum out of pocket is reached. Then KRS pays 100%.