53-1-414. Automatic assignment of resident's resources from third party. (1) Upon the provision of care to a resident, the resident is considered to have assigned to the department all third-party payments, benefits, and resources applicable to the resident's care.

(2) The department is entitled to all third-party payments, benefits, and resources assigned under this section upon demand and the submission of supporting documentation from the department to the third party. The department is entitled to collect from the third party the full amount payable by the third party, up to the resident's full cost of care. Collection is not limited to the amount that the resident or financially responsible person has been determined able to pay under 53-1-405.

(3) The fact that a managed care organization contracting with the department to administer a mental health managed care program is or may be liable to pay or has paid an amount to an institution with respect to the resident does not reduce or otherwise affect the third party's obligation to pay for the cost of care as provided in this part.

(4) The department may assign its rights under this section to a managed care organization contracting with the department to administer a mental health managed care program.

(5) If a third party that has been notified of the department's or managed care organization's claim under this section pays benefits, resources, or other amounts to a resident, financially responsible person, or another person or entity without satisfying the department's or managed care organization's claim, the third party is liable to the department or to the managed care organization for the amount that the department or managed care organization was entitled to receive under this part.