ED Coding & Reimbursement Alert - 2016 Issue 25
Compliance: Confused About On-Call Coverage Arrangements?
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Article Overview
This article explains the compliance issues that arise when hospitals and physicians negotiate on-call coverage arrangements. It summarizes the broader legal and valuation concepts that shape these agreements, including federal fraud and abuse concerns, fair market value, commercial reasonableness, and practical contract factors such as scheduling, frequency, and specialty. The piece is aimed at physicians, hospital administrators, and compliance or legal professionals who review or structure on-call payment arrangements.
Why This Topic Matters
On-call coverage agreements can create fraud and abuse exposure if compensation is not structured carefully. Understanding the general compliance themes helps readers evaluate whether an arrangement should be reviewed more closely before it is finalized.
Article Sections
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Background
Introduces the regulatory and compliance context for on-call coverage arrangements and the major legal frameworks that commonly affect them.
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Quick reference
Summarizes the central valuation concepts and compliance considerations that are commonly discussed in relation to on-call coverage agreements.
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Watch Out for These Problem Areas
Reviews common contract features and compensation structures that are identified as potential compliance concerns.
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What is FMV?
Discusses general factors that can influence valuation and the review of on-call compensation arrangements.
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Negotiations Inventory
Outlines broad categories of contract factors to consider during negotiation, including availability, frequency, and specialty-related issues.
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Take a second look
Closes with a reminder to have agreements reviewed for overall compliance and fairness before signing.
What You Will Learn
- The main compliance frameworks that can affect on-call coverage agreements
- Why valuation and commercial reasonableness are important in contract review
- Common risk areas that may arise in on-call compensation structures
- General factors that influence negotiation of on-call payment terms
- Why legal or compliance review is often recommended before finalizing an arrangement
Who Should Read This
- Physicians
- Hospital administrators
- Compliance professionals
- Healthcare attorneys
- Practice managers
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