tci Medicare Compliance & Reimbursement - 2005 Issue 15

PHYSICIANS: What Reimbursement Will Look Like In The Future

Johnson still pushing for SGR repeal.At a March 15 hearing, Rep. Nancy Johnson (R-CT) continued her push for fundamentally restructuring the way Medicare pays physicians.The current system is based on a "sustainable growth rate" formula, which attempts to keep Medicare's physician costs within certain limits by cutting fees when the complexity and volume of services go up. The system as currently constructed would cut physician reimbursements by about 5 percent in 2006 and subsequent years, something Congress is virtually certain not to allow.Many stakeholders want to tinker with the SGR to produce higher reimbursements; for example...

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