Hospitals Weren’t Paid Twice By Medicare, Feds Say, But Payment Issue Remains

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July 3rd, 2018

The Centers for Medicare and Medicaid Services indicated last week that hospitals were essentially paid twice for the same patient services. A CMS spokeswoman said Monday that the double-payment assertion was not correct, but that the payments were improper because they were made by the wrong entity.

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The federal agency that runs Medicare has acknowledged making an error in its statement on hospital reimbursement when it disclosed its plan to recoup $55 million in improper payments to medical providers in Georgia and other states.

The Centers for Medicare and Medicaid Services indicated last week that hospitals were essentially paid twice for the same patient services. A CMS spokeswoman said Monday that the double-payment assertion was not correct, but that the payments were improper because they were made by the wrong entity.

The overall problem in payments is complicated. It begins with reimbursements paid in error to hospitals, rural health clinics and other providers by Cahaba GBA, a former Medicare Administrative Contractor. CMS cited 268,000 claims paid in error through the traditional Medicare program over at least four years.

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