“The Centers for Medicare & Medicaid Services (CMS) has made changes to the
Medicare Overpayment Notification Process”

We wouldn’t want anyone to really understand how this process works, would we?

“If an outstanding balance has not been resolved, providers previously received three notification letters regarding Medicare Overpayments, an Initial Demand Letter (1st Letter), a Follow-up-Letter (2nd Letter), and an Intent to Refer Letter (3rd Letter). CMS would send the second demand letter to providers 30 days after the initial notification of an overpayment. Recent review has determined that the majority of providers respond to the initial demand letter and pay the debt”

“Currently recoupment action happens 41 days after the initial letter. The remittance advice which describes this action serves as another notice to providers of the overpayment. Therefore, effective Tuesday, November 1, 2011, the second demand letters are no longer being sent to providers. Provider appeal rights will remain unchanged. If an overpayment is not paid within 90 days of the initial letter,
providers will continue to receive a letter explaining CMS’ intention to refer the debt for collection.”

What this really means is it is another chance for someone in your office to excel.  Now you have fewer notices from the CMS about a RAC issue, which increases the possibility of your office messing up this process.  Help your practice by making it easier to track the RAC process from beginning to end by using the RAC Tracker.

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