LifeWallet Launches Initiative to Secure New Agreements with Health Plans, Providers, Insurers and Attorneys, Continues Cost Cutting Efforts, and Announces it Secured a Waiver of Acceleration Based on a Negative Going Concern from its Largest Creditor
LifeWallet (NASDAQ: LIFW) has launched an initiative to secure new agreements with health plans, providers, insurers, and attorneys, aiming to generate revenue through fees on savings from unnecessary Medicare secondary payments. The company continues to enhance its 'Chase to Pay' model in partnership with Palantir Technologies, utilizing advanced data management and machine learning capabilities.
LifeWallet has reached settlements with multiple Property and Casualty (P&C) insurers, demonstrating the viability of its approach. These agreements include historical data sharing, long-term cooperative resolution of Medicare claims, and recognition of LifeWallet's rights to collect against third parties.
The company is implementing cost-cutting measures and has secured a waiver of acceleration based on a negative going concern from its largest creditor, Virage Capital Partners. LifeWallet is in advanced negotiations for a similar waiver with its second-largest creditor.
LifeWallet (NASDAQ: LIFW) ha lanciato un'iniziativa per garantire nuovi accordi con piani sanitari, fornitori, assicuratori e avvocati, mirando a generare entrate attraverso commissioni sui risparmi derivanti da pagamenti secondari Medicare non necessari. L'azienda continua a migliorare il proprio 'modello Chase to Pay' in collaborazione con Palantir Technologies, utilizzando capacità avanzate di gestione dei dati e machine learning.
LifeWallet ha raggiunto accordi con diversi assicuratori di proprietà e sinistri (P&C), dimostrando la validità del proprio approccio. Questi accordi includono la condivisione di dati storici, la risoluzione cooperativa a lungo termine delle richieste Medicare e il riconoscimento dei diritti di LifeWallet di riscuotere da parti terze.
L'azienda sta implementando misure di riduzione dei costi e ha ottenuto una deroga all'accelerazione basata su una valutazione negativa della continuità aziendale da parte del suo principale creditore, Virage Capital Partners. LifeWallet è in fase di negoziazione avanzata per una deroga simile con il suo secondo creditore più grande.
LifeWallet (NASDAQ: LIFW) ha lanzado una iniciativa para asegurar nuevos acuerdos con planes de salud, proveedores, aseguradoras y abogados, con el objetivo de generar ingresos a través de comisiones sobre los ahorros de pagos secundarios de Medicare innecesarios. La empresa continúa mejorando su 'modelo Chase to Pay' en colaboración con Palantir Technologies, utilizando capacidades avanzadas de gestión de datos y aprendizaje automático.
LifeWallet ha alcanzado acuerdos con múltiples aseguradoras de propiedad y responsabilidad (P&C), demostrando la viabilidad de su enfoque. Estos acuerdos incluyen el intercambio de datos históricos, la resolución cooperativa a largo plazo de reclamaciones de Medicare y el reconocimiento de los derechos de LifeWallet para cobrar a terceros.
La empresa está implementando medidas de reducción de costos y ha asegurado una exención de aceleración basada en una preocupación negativa sobre la continuidad de su mayor acreedor, Virage Capital Partners. LifeWallet está en negociaciones avanzadas para una exención similar con su segundo mayor acreedor.
LifeWallet (NASDAQ: LIFW)는 건강 보험, 서비스 제공자, 보험사 및 변호사와의 새로운 계약을 확보하기 위한 이니셔티브를 시작했습니다. 이 계획은 불필요한 Medicare 이차 지급에서의 절약을 통한 수수료로 수익을 창출하는 것을 목표로 하고 있습니다. 이 회사는 'Chase to Pay' 모델을 Palantir Technologies와의 파트너십을 통해 지속적으로 개선하고 있으며, 고급 데이터 관리 및 기계 학습 기능을 활용하고 있습니다.
LifeWallet은 여러 재산 및 사고(P&C) 보험사와의 합의에 도달하여 자사의 접근 방식의 타당성을 입증했습니다. 이러한 계약에는 역사적 데이터 공유, Medicare 청구의 장기 협력적 해결 및 제3자에 대한 LifeWallet의 징수 권리 인식이 포함됩니다.
회사는 비용 절감 조치를 시행하고 있으며, 최대 채권자인 Virage Capital Partners로부터 부정적인 지속 가능성 평가를 기반으로 한 가속 면제를 확보했습니다. LifeWallet은 두 번째로 큰 채권자와 유사한 면제에 대한 고급 협상 중에 있습니다.
LifeWallet (NASDAQ: LIFW) a lancé une initiative pour sécuriser de nouveaux accords avec des régimes de santé, des prestataires, des assureurs et des avocats, visant à générer des revenus grâce à des frais sur les économies réalisées sur des paiements secondaires Medicare non nécessaires. L'entreprise continue d'améliorer son 'modèle Chase to Pay' en partenariat avec Palantir Technologies, en utilisant des capacités avancées de gestion des données et d'apprentissage automatique.
LifeWallet a conclu des accords avec plusieurs assureurs de biens et accidents (P&C), démontrant la viabilité de son approche. Ces accords incluent le partage de données historiques, la résolution coopérative à long terme des réclamations Medicare et la reconnaissance des droits de LifeWallet pour recouvrer des tiers.
L'entreprise met en œuvre des mesures de réduction des coûts et a obtenu une dérogation d'accélération basée sur des inquiétudes négatives concernant la continuité de son plus grand créancier, Virage Capital Partners. LifeWallet est en négociations avancées pour une dérogation similaire avec son deuxième créancier le plus important.
LifeWallet (NASDAQ: LIFW) hat eine Initiative gestartet, um neue Vereinbarungen mit Gesundheitsplänen, Anbietern, Versicherern und Anwälten zu sichern, um Einnahmen durch Gebühren auf Einsparungen aus unnötigen Medicare-Zahlungen zu generieren. Das Unternehmen verbessert weiterhin sein 'Chase to Pay'-Modell in Zusammenarbeit mit Palantir Technologies und nutzt fortschrittliches Datenmanagement und maschinelles Lernen.
LifeWallet hat mit mehreren Schaden- und Unfallversicherern (P&C) Vergleiche erzielt und somit die Machbarkeit seines Ansatzes nachgewiesen. Diese Vereinbarungen umfassen den Austausch von historischen Daten, eine langfristige kooperative Lösung von Medicare-Anforderungen und die Anerkennung der Rechte von LifeWallet zur Einziehung von Drittmitteln.
Das Unternehmen implementiert Kostensenkungsmaßnahmen und hat eine Beschleunigungsbefreiung auf der Grundlage einer negativen Fortführungsprognose von seinem größten Gläubiger, Virage Capital Partners, gesichert. LifeWallet befindet sich in fortgeschrittenen Verhandlungen für eine ähnliche Befreiung mit seinem zweitgrößten Gläubiger.
- Launched initiative to secure new agreements expected to generate revenue through fees on Medicare secondary payment savings
- Reached settlements with multiple P&C insurers, validating LifeWallet's business model
- Ongoing negotiations with additional P&C insurers to potentially expand claims resolution system
- Implemented strategic cost reductions in 2023 and 2024, potentially contributing to operating expense savings
- Secured waiver of acceleration from largest creditor, Virage Capital Partners, based on potential negative going concern
- Potential negative going concern opinion from auditors for the year ending December 31, 2024
- Ongoing need for cost-cutting measures suggests financial challenges
- Dependence on successful negotiations with second-largest creditor for similar waiver
LifeWallet's initiative to secure new agreements and cost-cutting efforts signal a strategic pivot towards financial stability. The company's partnerships, particularly with Palantir, demonstrate a focus on technological innovation in healthcare reimbursement. However, the need for a waiver from its largest creditor raises concerns about the company's financial health.
The settlements with P&C insurers could potentially boost revenue streams, but the impact remains uncertain without specific financial figures. The ongoing cost reductions, while positive for the bottom line, may limit growth potential if they affect core operations. Investors should closely monitor upcoming financial reports to assess the effectiveness of these strategies in improving LifeWallet's financial position.
LifeWallet's "Chase to Pay" model and clearinghouse system represent a significant innovation in healthcare data management. By leveraging Palantir's technology, the company is positioning itself at the forefront of healthcare data analytics. The agreements with P&C insurers for data sharing and claim resolution could streamline Medicare reimbursement processes, potentially benefiting multiple stakeholders in the healthcare ecosystem.
However, the success of this model hinges on widespread adoption and the company's ability to navigate complex healthcare regulations. The initiative's impact on healthcare costs and efficiency will be important to watch, as it could reshape industry practices if successful.
The settlements with P&C insurers and the assignment of rights to collect against third parties present interesting legal implications. LifeWallet's approach could streamline Medicare lien resolution, potentially reducing legal disputes. However, the complexity of these agreements and the involvement of multiple parties may lead to new legal challenges.
The waiver secured from Virage Capital Partners is a crucial legal development, providing LifeWallet with breathing room regarding its financial obligations. This suggests that creditors see potential in the company's business model, despite financial concerns. Investors should monitor how these legal arrangements impact LifeWallet's operations and financial stability in the long term.
CORAL GABLES, Fla., Sept. 08, 2024 (GLOBE NEWSWIRE) -- MSP Recovery, Inc. d/b/a LifeWallet (NASDAQ: LIFW) ("LifeWallet," or the "Company"), a Medicare, Medicaid, commercial, and Secondary Payer reimbursement recovery and technology leader, today announces an initiative to secure new agreements with health plans, providers, insurers and attorneys as it continues to make significant strides in revolutionizing healthcare reimbursement through data-driven solutions and strategic partnerships.
This initiative is expected to generate revenue through fees charged on savings from unnecessary Medicare secondary payments. As previously announced, key developments include:
- Clearinghouse System: In partnership with Palantir Technologies, Inc. (NYSE: PLTR) (“Palantir”), LifeWallet continues to enhance its “Chase to Pay” model with a sophisticated clearinghouse solution designed to build an expansive repository of data that can be used to determine medical conditions as well as payer obligations. This system utilizes the Palantir Foundry platform, through the development of new technological tools and machine learning to capture and manage healthcare data effectively.
- Settlements with Property and Casualty (P&C) Insurers: As previously announced, LifeWallet has reached settlements with multiple P&C insurers, demonstrating the viability of its approach. These agreements include the provision of historical data (up to 10 years) and future claims data sharing; long-term agreements to resolve Medicare claims cooperatively; P&C Insurers’ agreement that they are Primary Payers1 for any unreimbursed Medicare liens that LifeWallet identifies from data sharing; and the P&C Insurers’ agreement to assign all rights to collect against other third parties that either failed to pay liens or collected twice from Medicare funds and the P&C Insurers.
- Ongoing Negotiations: LifeWallet continues to make progress in ongoing negotiations with additional P&C insurers to resolve claims on similar terms, potentially expanding the reach of its Medicare claims resolution system. These settlements provide a going-forward process to collaboratively and timely resolve future claims and share important historical data. This is expected to enhance LifeWallet’s claims reconciliation capabilities by identifying claims owned by LifeWallet that it may have the right to recover on, while benefitting Medicare plans and downstream entities across the mainland U.S. and Puerto Rico.
LifeWallet Cost Cutting Efforts
LifeWallet strategically reduced its operating costs in 2023 and continues to do so in 2024. These cost reductions do not impact the systems the Company has already created to support recovery efforts of the claims owned by the Company or other resources available to third parties. The Company anticipates these reductions could continue to contribute savings to operating expenses for the year ending December 31, 2024.
"We continue to make significant strides in the right direction, consistently evaluating our operations and strategies,” said LifeWallet CEO, John H. Ruiz. “Our team remains committed to identifying innovative ways to streamline our processes and reduce costs without compromising the quality of our services.”
Waiver from Virage Capital Partners
LifeWallet has secured a waiver of acceleration based on a negative going concern from its largest creditor and is in similar advanced negotiations with its second largest creditor. On September 6, 2024, Virage Capital Partners (“Virage”) agreed to waive a provision of the Company’s Master Transaction Agreement that would accelerate the payment of amounts due to Virage in the event the Company receives a negative going concern opinion from its auditors for the year ending December 31, 2024.
Forward Looking Statements
This press release contains forward-looking statements within the meaning of the federal securities laws. Forward-looking statements may generally be identified by the use of words such as “anticipate,” “believe,” “expect,” “intend,” “plan" and “will” or, in each case, their negative, or other variations or comparable terminology. These forward-looking statements include all matters that are not historical facts, including for example statements regarding any potential future transaction with Virage, as well as potential future settlements. By their nature, forward-looking statements involve risks and uncertainties because they relate to events and depend on circumstances that may or may not occur in the future. As a result, these statements are not guarantees of future performance or results and actual events may differ materially from those expressed in or suggested by the forward-looking statements. Any forward-looking statement made by the Company herein speaks only as of the date made. New risks and uncertainties come up from time to time, and it is impossible for the Company to predict or identify all such events or how they may affect it. The Company has no obligation, and does not intend, to update any forward-looking statements after the date hereof, except as required by federal securities laws. Factors that could cause these differences include, but are not limited to, the Company’s ability to capitalize on its assignment agreements and recover monies that were paid by the assignors; the inherent uncertainty surrounding settlement negotiations and/or litigation, including with respect to both the amount and timing of any such results; the success of the Company's scheduled settlement mediations; the validity of the assignments of claims to the Company; negative publicity concerning healthcare data analytics and payment accuracy; and those other factors included in the Company’s Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and other reports filed by it with the SEC. These statements constitute the Company’s cautionary statements under the Private Securities Litigation Reform Act of 1995.
About LifeWallet
Founded in 2014 as MSP Recovery, LifeWallet has become a Medicare, Medicaid, commercial, and secondary payer reimbursement recovery leader, disrupting the antiquated healthcare reimbursement system with data-driven solutions to secure recoveries from responsible parties. LifeWallet provides comprehensive solutions for multiple industries including healthcare, legal, and sports NIL. For more information, visit: LIFEWALLET.COM
CONTACTS
Media
ICR, Inc.
MSP@icrinc.com
Investors
Investors@LifeWallet.com
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1 “Primary Plans” or “Primary Payers,” when used in the Medicare Secondary Payer context, means “any entity that is or was required or responsible to make payment with respect to an item or service (or any portion thereof) under a primary plan. These entities include, but are not limited to, insurers or self-insurers, third party administrators, and all employers that sponsor or contribute to group health plans or large group health plans.” 42 C.F.R. § 411.21.
FAQ
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