Medicare Physician Payments for Services Provided Together

The Government Accountability Office (GAO) has issued a report entitled “Medicare Physician Payments:  Fees Could Better Reflect Efficiencies Achieved When Services Are Provided Together.” The report reviews steps CMS has taken to ensure that physician fees recognize efficiencies that occur when certain services are commonly furnished together, such as the CMS multiple procedure payment reduction (MPPR) policy for certain imaging and surgical services furnished together.  According to the GAO, expanding the MPPR to reflect efficiencies when nonsurgical, nonimaging services are provided together could save approximately one-half billion dollars annually.  Moreover, expanding the MPPR policy to reflect efficiencies in the physician work component of certain imaging services could cut payments by an estimated additional $175 million annually, the GAO notes.

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