OIG Says Medicare Auditors Spotted $1.3B In Payment Errors

Law360, New York (September 4, 2013, 6:06 PM EDT) -- Medicare’s controversial recovery audit contractors uncovered $1.3 billion in improper payments in their first two years of full operation, and their findings were rarely challenged by hospitals and doctors despite widespread complaints about heavy-handed tactics, according to an Office of Inspector General’s report on Wednesday.

The contractors, known as RACs, spotted 1.1 million claims with alleged overpayments in 2010 and 2011, and providers launched just 65,000 appeals, of which fewer than half were successful, according to the Office of Inspector General at the U.S. Department of...
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