Wyoming Statutes

Wyo. Stat. § 42-4-201 (2026)

Action against third party; notice; subrogation.

✓ current as of May 2026
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(a) If a person who is or becomes an applicant or
recipient for medical assistance under this chapter receives an
injury under circumstances creating a legal liability in some
third party, the applicant or recipient shall not be deprived of
any medical assistance for which he is entitled under this
chapter. He may also pursue his remedy at law against the third
party. If the applicant or recipient recovers from the third
party in any manner, including judgment, compromise, settlement
or release, the state is entitled to be reimbursed for all
payments made, or to be made, on behalf of the applicant or
recipient under this chapter.

     (b) The department shall be served by certified mail,
return receipt requested, with a copy of the complaint within
seven (7) days of its filing in any suit initiated pursuant to
subsection (a) of this section. Any attorney who knowingly fails
to serve the complaint on the department shall be reported to
the state board of professional responsibility for the Wyoming
state bar. The department shall be notified in writing by
certified mail return receipt requested of any judgment,
compromise, settlement or release entered into by any person who
has been an applicant for or recipient of medical assistance
under this chapter after the date of injury. If there is a
settlement, compromise or release entered into by the parties
the attorney general representing the director shall be made a
party in all negotiations for settlement, compromise or release.
The department, for purposes of facilitating compromise and
settlement, may in a proper case authorize acceptance by the
state of less than the state's claim for reimbursement under
this section for all current and future assistance under this
chapter. Any reimbursement right created pursuant to this
article shall remain in effect until the state is paid the
amount authorized under this section. In addition the person
paying the settlement remains liable to the state's
reimbursement right unless the state through the attorney
general signs the release prior to payment of an agreed
settlement.

     (c) If the injury causes death of the recipient, the
rights and remedies in this section inure to, and the
obligations are binding upon the personal representative of the
deceased recipient for the benefit of his dependents.

    (d)   Repealed By Laws 2002, Ch. 39, § 2.

     (e) If, after notice is provided in accordance with this
section, the department states in writing that it will neither
file an independent action nor intervene in an existing action
as allowed by W.S. 42-4-114, the department's reimbursement
right shall be reduced by not more than thirty-three percent
(33%) for attorney's fees together with the amount of its
proportionate share of costs. If the department does not provide
this written statement, its right to reimbursement shall not be
reduced by any share of the recipient's attorney's fees or
costs.
Notes of Decisions
Cited in 8 cases, 1998–2015 · leading case: Cargill v. State, Dep't of Health, 967 P.2d 999 (Wyo. 1998).
Cargill v. State, Dep't of Health, 967 P.2d 999 (Wyo. 1998). · cites it 7× “Does the Department of Health, Division of Health Care Financing have the right to recover against proceeds of a settlement for medical claims it paid on behalf of a Medicaid recipient under Wyo. Stat. §§ 42-4-201 et seq.? II. Did the district court correctly order settlement…”
Adebowale Oluseyi Adekale A/K/A Ted Adekale, 2015 WY 30 (Wyo. 2015). · cites it 2× “§ 42-4-104 (c)@i) (LexisNex-is 2013) (medical assistance computed on the per diem basis rate); Wyo. Stat. Ann. § 42-4-201 (a) (LexisNexis 2013) (the recipient shall not be deprived of any medical assistance for which he is entitled under this chapter).”
State ex rel. Dep't of Health, Div. of Health Care Fin. v. Dairyland Ins. Co., 11 P.3d 348 (Wyo. 2000). · cites it 7× “Wyo. Stat. Ann. § 42-4-201 (a) (Michie 1994).”
In Re Zyprexa Prods. Liab. Litig., 451 F. Supp. 2d 458 (E.D.N.Y 2006). “2332; Wyo. Stat. Ann. § 42-4-201 . Kansas and Wyoming are paying fees and costs of 33.”
Roberts v. Total Health Care, Inc., 709 A.2d 142 (Md. 1998). “); Wyo. Stat. §§ 42-4-201 through 42-4-208 (1997).”
State v. Peters, 946 A.2d 1231 (Conn. 2008). “89 (3) (c) (5) (West 2008); Wyo. Stat. Ann. § 42-4-201 (e) (2007). Of the states that have not provided for attorney’s fees explicitly by statute, their courts have determined either that the state’s medicaid statutes incorporated equitable principles by reference that require a…”
Kirby v. NMC/Continue Care, 993 P.2d 951 (Wyo. 1999). · cites it 2× “Wyo. Stat. Ann. § 42-4-201 (a) (Michie 1997) states, in part: If the recipient recovers from the third party in any manner, including judgment, compromise, settlement or release, the state is entitled to be reimbursed for all payments made, or to be made, on behalf of the…”
Adebowale Oluseyi Adekale A/K/A Ted Adekale, 2015 WY 30 (Wyo. 2015). · cites it 2× “§ 42-4-104 (c)(ii) (LexisNexis 2013) (medical assistance computed on the per diem basis rate); Wyo. Stat. Ann. § 42-4-201 (a) (LexisNexis 2013) (the recipient shall not be deprived of any medical assistance for which he is entitled under this chapter).”
— Wyo. Stat. § 42-4-201(a) — 1 case
State ex rel. Dep't of Health, Div. of Health Care Fin. v. Dairyland Ins. Co., 11 P.3d 348 (Wyo. 2000). “Wyo. Stat. Ann. § 42-4-201 (a) (Michie 1994).”
— Wyo. Stat. § 42-4-201(b) — 1 case
Cargill v. State, Dep't of Health, 967 P.2d 999 (Wyo. 1998). “Does the Department of Health, Division of Health Care Financing have the right to recover against proceeds of a settlement for medical claims it paid on behalf of a Medicaid recipient under Wyo. Stat. §§ 42-4-201 et seq.? II. Did the district court correctly order settlement…”
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