"Where a person is liable to pay any cost referred to in subsection (1), any amount paid under subsection (4) to the person to whom that cost is payable is, to the extent of the payment, a discharge of the liability of the first-mentioned person."

There may be a circumstance that the next of kin becomes responsible for the medical debt incurred by a deceased employee.  This subsection ensures that, once payment has been made, that person is no longer responsible for the debt, or any subsequent further action in relation to the debt.