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<classification authority="sudocs">GA 1.13:HEHS-97-108</classification>
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 <subject>Health care programs</subject>
 <subject>Program abuses</subject>
 <subject>Home health care services</subject>
 <subject>Monitoring</subject>
 <subject>Claims processing</subject>
 <subject>Fraud</subject>
 <subject>Erroneous payments</subject>
 <subject>Internal controls</subject>
 <subject>Medical expense claims</subject>
 <identifier>Medicare Program</identifier>
 <identifier>HHS Operation Restore Trust</identifier>
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<titleInfo>
 <title>Medicare: Need to Hold Home Health Agencies More Accountable for Inappropriate Billings</title>
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<abstract>Pursuant to a congressional request, GAO reviewed Medicare&apos;s ability to
detect and prevent inappropriate payments to home health agencies,
focusing on: (1) the weaknesses of existing Medicare controls over the
home health benefit; (2) lessons learned from examining private
insurers&apos; controls over home health payments and recent federal
anitifraud initiatives; and (3) a management approach that could improve
Medicare&apos;s ability to avoid substantial payments attributable to abusive
billing practices.&lt;p/&gt;GAO noted that: (1) GAO and others have reported on several occasions
about problems with Medicare&apos;s review of home health benefits; (2) yet,
in spite of the need for increased scrutiny indicated by these reports
and by the growth in home health expenditures, Medicare&apos;s review of home
health claims decreased in the 1990s; (3) in GAO&apos;s test of just 80
high-dollar claims that had been processed without review, the Medicare
claims-processing contractor, after examining each claim and supporting
documentation, denied more than $135,000 in charges, about 43 percent of
total charges, for 46 of the claims; (4) these findings are consistent
with prior federal investigations, one of which estimated that in the
month of February 1993 alone, Medicare paid $16.6 million for home
health claims in Florida that should have been disallowed; (5) the five
private insurers GAO contacted use controls that, although not readily
adaptable to Medicare&apos;s coverage terms or billing rules, are
nevertheless instructive regarding the monitoring of claims; (6) the
insurers employ professional staff, such as nurses, to determine in
advance the legitimacy of the request for home health services; (7) in
contrast, the Health Care Financing Administration (HCFA) relies on home
health agencies&apos; compliance with administrative procedures, such as
obtaining a physicians&apos;s signature for ordered services, to safeguard
against the submission of improper claims; (8) while Medicare does not
have sufficient administrative funds to undertake the intensity of
claims monitoring done by the private insurers GAO reviewed, the
vigilance of private insurers suggests the value of applying more
scrutiny in this area; (9) reduced funding for payment safeguards in
recent years helps explain the marked absence of adequate claims reviews
by Medicare contractors; (10) new and more stable funding provided
through the Health Insurance Portability and Accountability Act should
help improve Medicare&apos;s performance in monitoring home health payments,
but HCFA also needs an enforcement tool that will make providers
accountable for the propriety of their claims; (11) therefore, GAO is
suggesting that the Congress consider directing HCFA to test an approach
that would systematically identify and penalize providers that
habitually bill Medicare inappropriately; and (12) under this approach,
billing offenders would be identified and, if found to have excessively*</abstract>
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<subject>
 <topic>Health care programs</topic>
 <topic>Program abuses</topic>
 <topic>Home health care services</topic>
 <topic>Monitoring</topic>
 <topic>Claims processing</topic>
 <topic>Fraud</topic>
 <topic>Erroneous payments</topic>
 <topic>Internal controls</topic>
 <topic>Medical expense claims</topic>
 <topic>Medicare Program</topic>
 <topic>HHS Operation Restore Trust</topic>
 <topic>Florida</topic>
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  <title>United States Public Law 191 (104th Congress)</title>
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