Economy

Demeter

(85,373 posts)

23. Competition cuts down Medicare fraud

Fri Apr 20, 2012, 10:35 PM

Apr 2012

http://hosted.ap.org/dynamic/stories/U/US_MEDICARE_FRAUD_COMPETITIVE_BIDDING?SITE=CAANG&SECTION=HOME&TEMPLATE=DEFAULT

A yearlong experiment with competitive bidding for power wheelchairs, diabetic supplies and other personal medical equipment produced $200 million in savings for Medicare, and government officials said Wednesday they are expanding the pilot program in search of even greater dividends.

The nine-city crackdown targeting waste and fraud has drawn a strong protest from the medical supply industry, which is warning of shortages for people receiving Medicare benefits and economic hardship for small suppliers. But the shift to competitive bidding has led to few complaints from those in Medicare, according to a new government report.

The report found only 151 complaints from a total population of 2.3 million Medicare recipients in the nine metropolitan areas, including Miami, Cincinnati and Riverside, Calif.

As a result, the program is expanding to a total of 100 cities next year, along with a national mail order program for diabetes supplies such as blood sugar testing kits. Eventually the whole country will participate....

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