Hospitals face loss of Medicare payments for defying price disclosure rule

Read the full Bloomberg Law post here..

Starting Jan. 1, healthcare facilities throughout the country need to disclose the rates they negotiate with Medicare Benefit strategies. Some healthcare facilities considered defying the rule, but a new charge has them reconsidering their choice, according to Bloomberg Law..

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However, CMS Inpatient Prospective Payment System last rule for 2021, launched in September, consisted of a much steeper charge than initially proposed. The rule said medical facilities that do not abide by the rate disclosure guideline might be denied Medicare payments, according to the report..

” There was certainly a sense among healthcare facilities that a person way to deal with the massive amount of time and resources” needed to abide by the guideline was to pay the fines, Mark Polston, a partner at King and Spaldings health care practice, informed Bloomberg Law. “Thats now changed” with healthcare facilities Medicare payments at danger..

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The initial price transparency guideline consisted of a fine of $300 a day for medical facilities that didnt adhere to the rule. Some hospitals considered defying the rule because the cost of revealing the rates would be more than the fine. The American Hospital Association predicts it will initially cost medical facilities $500,000 a year to comply with the guideline, according to Bloomberg Law..