April 01, 2020
On March 28, 2020, the Centers for Medicare & Medicaid Services (CMS) announced an expansion of its accelerated payment program to help provide financial relief to Medicare providers and suppliers affected by COVID-19. This announcement was released less than 24 hours after the Coronavirus Aid, relief, and Economic Security (CARES) Act was signed into law.
The program is intended to provide cash flow by pre-paying traditional Medicare claims to hospitals and physicians during the public health emergency. CMS announced that it will begin accepting and processing requests for advance payment immediately and anticipates that payments will be issued within 7 days of the provider’s request.
Inpatient acute hospitals, children’s hospitals, and certain cancer hospitals may request up to 100% of the Medicare payment amount for six-months. Critical access hospitals (CAH) can request up to 125% of their payment amount for six-months. While recoupment will begin 120 days after the payment is issued, these entities will have up to a year from the date of the payment to repay the balance.
Physicians may request up to 100% of the Medicare Payment amount for three-months. Recoupment will begin 120 days after the payment is issued, and physicians will have 210 days from the date of the payment to repay the balance.
Applicants will be asked to request a specific amount on a form provided on each Medicare Administrative Contractor’s (MAC) website. The CMS Fact Sheet provides specific instructions on locating and contacting the MAC.
The program should provide another avenue for some financial relief for hospitals and physicians facing extreme revenue disruption due to the coronavirus.
For more information visit the McDermottPlus Payment Innovation Resource Center or contact Sheila Madhani at email@example.com or Mara McDermott at firstname.lastname@example.org.