CMS panel begins studying, approving RAC audit targets

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Note:  The following article synopsis was NOT provided by HCPro. It was created by Find-A-Code/innoviHealth.

Article Overview

This article explains how CMS is reviewing proposed Recovery Audit Contractor audit targets and highlights several broad areas under consideration for audits involving physician and hospital claims. It is relevant to coding, billing, compliance, and audit staff who need to track pending RAC focus areas, CMS approval timing, and the kinds of claim categories that may be scrutinized.

Why This Topic Matters

Understanding which RAC audit targets are being reviewed or approved helps providers and billing teams anticipate compliance risks and monitor areas that may trigger audits or record requests. The article is useful for organizations following CMS oversight activity and the evolving focus of Recovery Audit Contractors.

Article Sections

  1. CMS review process for RAC audit targets

    Explains how CMS receives, reviews, and approves proposed audit targets from Recovery Audit Contractors. It also notes the timing of public posting and approval status.

  2. Examples of audit areas under review

    Summarizes several broad claim categories being considered in the CMS review process, including physician claim issues and hospital billing scenarios. The section outlines the general types of payment concerns involved without giving coding instructions.

  3. RAC public posting and audit activity timing

    Describes when approved targets are posted and when RACs may begin sending demand letters and record requests. It also clarifies that not all targets must be approved before audit activity starts on already approved items.

What You Will Learn

  • How CMS reviews proposed RAC audit targets
  • What general claim areas are being considered for RAC review
  • When approved RAC targets become public
  • How RAC audit activity can begin for approved targets

Who Should Read This

  • Medical coders
  • Billing staff
  • Compliance officers
  • Revenue cycle managers
  • Physician practice administrators
  • Hospital outpatient billing staff

Modifiers Discussed


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