American Hospital Association releases updated RAC statistics

The latest results from the American Hospital Association’s RACTrac report, an ongoing survey that monitors the activity of recovery audit contractors, were recently released for the first quarter of 2011, Becker's Hospital Review reports.

The results indicate that almost half of hospitals that responded to the voluntary survey reported a rise in their administrative costs as a result of RAC activity, and nearly three-quarters of all complex reviews that required medical record analysis did not lead to improper payment determination. However, the bill for much of the increased administrative costs is being footed by the $17.4 million in identified underpayments reported by hospitals that participated in the survey.

The results also revealed a lack of education related to avoiding payment errors, with 55 percent of respondents stating that they had yet to receive any guidance from either the Centers for Medicare & Medicaid Services or its contractors.

A recent CMS report found that RACs recouped $237.8 million in the six-month period that ended in March, according to The Hill.

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