The American Association for Homecare's Regulatory Council recently met to discuss recovery audit activity within the home medical equipment industry, and has identified a plethora of inconsistencies in documentation requested by various audit contractors, according to Home Care Magazine.
Kim Brummett, vice president of contracting and reimbursement for Advanced Home Care in High Point, North Carolina, and Regulatory Council chair, told the news source that the association is currently developing recommendations for documentation requested by auditors for product categories such as oxygen, diabetic supplies, nebulizers and power mobility devices. Additionally, education efforts are being continued with members of Congress and the Office of the Inspector General regarding problems that result from overly complex regulatory requirements.
"If an error rate is over a certain percentage, the carriers are going to do 100 percent pre-pay audit," said Brummett, as quoted by the news source. "When providers get into 100 percent pre-pay audits, they can’t survive … In the next six months we will start to see people who are just closing their doors."
Recent figures from the Center for Medicare and Medicaid Services indicate that recovery audit contractors have collected nearly $218 million in overpayments since they began using automated reviews in 2009, according to Becker's Hospital Review.