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CMS Rolls Out Host of New Anti-Fraud Measures

Published Monday, October 13, 2008

BALTIMORE--On Oct. 6, CMS unveiled a host of “aggressive new steps” to prevent fraud and abuse, including the launch of a national recovery audit contractor (RAC) program. The agency has named four permanent RACs--to be paid on a contingency fee basis on both the overpayments and underpayments they find--that will be responsible for conducting post-payment reviews of Part A and Part B claims. According to a CMS release, a three-year RAC demonstration in six states (California, Florida, New York, Massachusetts, South Carolina and Arizona) collected over $900 million in overpayments and found $38 million in underpayments. The new ...

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