In a recent letter to physicians Secretary of Health and Human Services, Tommy Thompson, reminded them that the Medicare Prescription Drug, Improvement, and Modernization Act not only provides an expansion of preventive and prescription benefits but also includes many important reforms for doctors and hospitals.
The new law provides for an average 1.5 percent increase in Medicare reimbursements to physicians over the 2003 payment rates. Additionally, for 2005, the change in reimbursement can be no less than 1.5 percent.
Because of this change in Medicare payment policy Thompson has extended the deadline to decide about participating in the program has been changed to February 17, 2004.
The increase of 1.5 is an average. Changes to the relative value units and geographic practice cost indices could lead to increase that are slight more, or less than 1.5 percent. There will also be an increase in the amount paid when covered drugs are administered in a physician’s office. 2004 fee schedules will be posted on your carrier’s website. For additional information regarding fee schedules, go to www.cms.hhs.gov/physicians/pfs.
Also the official instruction issued to your carrier on the new fees and enrollment dates can be found on http://www.cms.hhs.gov/manuals/pm_trans/R38OTN.pdf
Thompson asked physicians to help educate seniors about the new Medicare-Approved Prescription Drug Discount Card Program including the fact that they are voluntary. Seniors can keep the same benefits they have today if they choose. If you or your patients have any questions about these new programs, Thompson asked that you refer them to 1-800-MEDICARE (TTY users should cal 1-800-486-2048), or visit www.medicare.gov and select “Prescription Drug and Other Assistance.”