Medicare To Bundle Hospital Payments, Expand Doc Fees

Law360, New York (July 8, 2013, 7:53 PM EDT) -- Medicare on Monday outlined significant changes to the way hospitals and doctors are paid, proposing to target perceived overbilling by bundling payments to the former while offering to compensate the latter for disease management work that doesn’t involve direct interaction with patients.

In its annual rule related to outpatient billing by hospitals, the Centers for Medicare and Medicaid Services said it intends to “package” more supporting items and services together with payments for primary services, forcing hospitals in some instances to accept a fixed payment instead...
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