Revenue Cycle

Take note: 10 RAC facts to consider

Patient Financial Services Weekly Advisor, January 30, 2009

Consider the following 10 RAC facts:

  • RAC must send only one review result per claim (e.g., coding and medical necessity review must be in same letter)  
  • RAC must report potential fraud immediately  
  • RAC must report potential quality issues  
  • RAC may receive “tips” from CMS, affiliated contractors, Office of Inspector General, law enforcement or other agencies  
  • Recoupment is through current or future Medicare payments  
  • Provider can repay through installment plans up to 12 months, or longer with approval  
  • Debtor (e.g., hospital or healthcare provider) can present RAC with settlement offer
  • RACs will receive smaller fee if providers voluntarily self-report after receiving a medical record request or demand letter  
  • RAC must provide a toll-free customer service number to all providers  
  • RAC shall provide the CMS project office with all correspondence containing complaints

Editor’s note: These facts were provided by Linda M. Fotheringill, Esq., of Washington & West, LLC, in Baltimore, MD, during the January 6 HCPro, Inc., audio conference, “RAC Readiness: Develop an Effective Audit Tracking System.” Learn more about the audio conference.

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