Fair Market Value / Stark Exception_Fair Market Value

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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 a Stark Law exception relevant to physician self-referral arrangements and summarizes the main requirements for agreements involving compensation between physicians, family members, and entities. It is useful for compliance, physician contracting, legal, and coding/billing teams that need a high-level understanding of how fair market value arrangements fit within Stark regulatory exceptions. The discussion covers the structure of the exception, agreement terms, compensation requirements, commercial reasonableness, and related legal guardrails.

Why This Topic Matters

Understanding this exception helps organizations review physician arrangements for Stark compliance and avoid structuring compensation relationships in ways that create regulatory risk.

What You Will Learn

  • What the Stark fair market value exception addresses
  • What general agreement features are discussed for compliant arrangements
  • How compensation and business-purpose considerations are framed at a high level
  • How the article relates the exception to physician leasing and other arrangements

Who Should Read This

  • Physician practice administrators
  • Compliance professionals
  • Healthcare attorneys
  • Revenue cycle and billing staff
  • Physician contracting teams

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