tci Part B Insider - 2005 Issue 9

Studies & Surveys: Chemo Reimbursement Not Covering $144 Million Cost

If your oncology practice is feeling short-changed, it could be for a reason. Chemotherapy administration payments were nearly 50 percent less than practice expenses in oncology practices, according to study data presented by the Washington-based Moran Company. Not only that, but on average the Resource-Based Relative Value System (RBRVS) only reimburses physicians for 70 percent of the cost of treating Medicare patients, the study found. This happens because Medicare "blends" practice expenses across specialties and thus factors out specialty-specific expenses, the Moran study explained. Moran is also conducting a second study on the changes in oncology practices in 2005...

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