Corporate Compliance

CMS releases cost-saving projections through the Affordable Care Act

Compliance Monitor, August 4, 2010

The Centers for Medicare and Medicaid Services (CMS) projects that the Affordable Care Act will save Medicare $8 billion within the next two years, and approximately $418 billion by 2019.

CMS expects to save $5 billion from efforts aimed at reducing waste, fraud, and abuse, which include:

  • Using enhanced screening tools to ensure that only legitimate providers are enrolled in Medicare
  • Targeting anti-fraud activities to geographic areas
  • Suspending payments based on credible allegations of fraud
  • Boosting anti-fraud activities with $350 million in new resources provided by the Affordable Care Act
  • Requiring all providers who refer a patient for home health or DME services to enroll in Medicare
  • Mandating that patients have a face-to-face encounter with their physician, or where applicable, an eligible professional in order to be certified to receive home health services or DME items

View the full CMS press release.

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