tci Part B Insider - 2010 Issue 8

COMPLIANCE: RACs Succeed at Collecting Overpayments, But Could Use Improvement in Identifying Fraud

Take these steps to ensure that you won't face any surprises if and when a RAC calls on your practice. Make no mistake: Recovery audit contractors (RACs) are doing their jobs in collecting overpayments from medical practices. But the OIG wants the RACs to focus more carefully on identifying fraud. A new OIG report entitled "Recovery Audit Contractors' Fraud Referrals" reveals that between 2005 and 2008, RACs involved in the demonstration project recovered over $1.03 billion in Medicare improper payments, but referred only two cases of potential fraud to CMS. The OIG pointed out that although RACs received...

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