Life Sciences

Bill would update Medicare payments for diagnostic tests

Device Regulation Alert: Safety, Compliance and Reimbursement News, March 12, 2007

A new House bill aims to improve payments under the Medicare clinical laboratory fee schedule. The bill was introduced last week by Reps. Bobby Rush (D-LI), Michael Ferguson (R-NJ), Mike Thompson (D-CA), and Phil English (R-PA).

According to AdvaMed, the bill will improve patient access to diagnostic tests by reforming "Medicare policies that discourage the development and adoption of new clinical diagnostic laboratory tests."

Key provisions of the Medicare Advanced Laboratory Diagnostics Act include:

  • establishing a demonstration project to evaluate a new Medicare payment system for molecular diagnostic tests

  • allowing stakeholders to appeal and correct historic payment errors that often lead to inadequate reimbursement for clinical diagnostic lab tests as well as discourage development of new lab tests

  • establishing a uniform process by which Medicare carriers will determine reimbursement rates for new clinical diagnostic lab tests and provide enhanced transparency at CMS with respect to Medicare reimbursement decisions

  • Most Popular

    Related Articles