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AMA: 20% of Medical Claims Processed Incorrectly by Health Insurers

Despite all the scrutiny upon providers in terms of submitting accurate claims, a recent study by the American Medical Association (AMA) shows health insurance companies should also be held responsible for improper processing of claims. In the study, the AMA found that one in five medical claims is processed incorrectly…

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New HIPAA Rules Will Require Covered Entities To Issue New Notice of Privacy Practices

In addition to the many aspects of the new HIPAA rules modifying the existing HIPAA Privacy and Security Rules, if the proposed rules are finalized, covered entities will be required to make “material modifications” to their Notice of Privacy Practices (“Notice”) therefore triggering obligations to revise and distribute the “new”…

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OIG Enters Into $7.3 Million Civil Monetary Penalty Settlement With Physician-Owned Enterprise

The OIG for the Department of Health and Human Services entered into a Civil Monetary Penalty (CMP) settlement agreement for $7.3 million with United Shockwave Services, United Prostate Centers, and United Urology Centers (collectively, United), all of which are based in the Chicago, Illinois area. This agreement settles charges by…

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Health Information Privacy and Security Strengthened through New Proposed Rule

The Department of Health and Human Services (“HHS”) today announced a notice of proposed rulemaking regarding HIPAA Privacy and Security. The proposed rule is issued in connection with the amendments and expansion to HIPAA made as part of the Health Information Technology and Economic Clinical Health Act (the “HITECH Act”),…

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Michigan Health Care Reform Opt-Out Falls Short

In a news conference today, organizers of the Michigan Health care reform opt-out announced their petition drive fell short of collecting enough signatures to put the issue before the voters. Wendy Day, one of the organizers for Michigan Citizens for Healthcare Freedom estimated the group’s signature collectors gathered between 145,000-170,000…

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FTC delays enforcement of Red Flag Rules against Physicians

The Federal Trade Commission recently issued a press release delaying the compliance deadline of the red flag rules until December 31, 2010. Then, on June 25, 2010, the FTC and several medical groups stipulated that the FTC will not enforce its red flag rules against physicians who are members of…

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Proposed Medicare Physician Fee Schedule Contemplates A 6.1% Cut In Physician Reimbursement Rates

Under the proposed Medicare physician fee schedule rule (the “Proposed MPFS”) released by the Centers for Medicare and Medicaid Services (CMS) on June 25th, physician reimbursement rates would decrease by 6.1% as of January 1, 2011. On the day that CMS issued the Proposed MPFS, the 21% cut in physician…

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California Physicians Challenge Opt-Out of Physician Supervision Requirement

Last year, Governor Arnold Schwarzenegger requested exemption from the federal supervision requirement of nurse anesthetists. After unsuccessfully seeking a rescission of the opt-out, on June 3, 2010, the California Society of Anesthesiologists (CSA) and California Medical Association (CMA) filed a lawsuit against the governor. Medicare required a physician to supervise…

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OIG Identifies Inpatient Rehabilitation Facility (IRF) Overpayments

The Office of Inspector General (“OIG”) today published a report regarding overpayments identified made to inpatient rehabilitation facilities (“IRFs”) from 2004 through 2007. According to the report, of the claims reviewed by the OIG, the vast majority (i.e., 213 out of 220) of transfers from an IRF to another facility…

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A Renewed Focus on Compliance: Health Care Reform Measures, Increase Audit Scrutiny and More Reasons Why Compliance Matters!

It looks like the days of “voluntary” compliance programs for the health care industry are coming to an end. Specifically, Section 6401(a)(7) of the Patient Protection and Affordable Care Act (“PPACA” or the “health care reform bill”) included provisions mandating compliance programs as part of the Medicare enrollment process. According…