Hospital Group Backs Reforms To Medicare Fraud Recovery

Law360, New York (October 17, 2012, 3:22 PM EDT) -- A bill introduced in the U.S. House on Tuesday that would increase oversight of Medicare anti-fraud contractors has the backing of the American Hospital Association, which claims that hospitals are drowning in a “deluge of redundant audits, unmanageable medical record requests and inappropriate payment denials.”

The Medicare Audit Improvement Act of 2012, sponsored by Rep. Sam Graves, R-Mo., specifically targets recovery audit contractors, who seek Medicare overpayments in exchange for a proportion of their recoveries. The bill's provisions include imposing financial penalties on contractors who habitually...
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