Tuesday, October 13, 2015

According to a survey regarding reviews of Medicare payments

... to health care providers by Centers for Medicare & Medicaid Services (CMS) Recovery Audit Contractors (RACs) in the second quarter of 2015:

  • Hospitals report appealing 49% of all RAC denials
  • 58% of reviewed claims in the 2nd quarter of 2015 were found to not have an overpayment
  • The average dollar value of an automated denial was $918
  • The average dollar value of a complex denial was $5,543
  • 60% of the dollar impact of automated denials was due to outpatient coding errors
  • 50% of all hospitals reported spending more than $10,000 managing the RAC process during the 2nd quarter of 2015
Source: Exploring the Impact of the RAC Program on Hospitals Nationwide: Results of AHA RACTRAC Survey, 2nd Quarter 2015, September 10, 2015, http://www.aha.org/content/15/15q2ractracresults.pdf

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