The Centers for Medicare & Medicaid Services recently announced a regulation change that will boost Medicare payment rates to physicians for 2003. Under the rule, payments for physician services will increase an average of 1.6% beginning March 1. This increase is included in a final rule that was published in the February 28th Federal Register.
The recently issued regulation recalculates the calendar year 2003 physician fee schedule rates based on a 1.6% increase to the fee schedule conversion factor - the dollar amount used to translate the resources used in providing a service into a payment rate. The new fees will apply to services provided from March 1 to December 31, allowing physicians to be paid at higher rates for services provided to beneficiaries on or after March 1.
Due to the change in payment rates under this rule, CMS is extending, until April 14th, the deadline for physicians to decide whether or not they want to participate in Medicare. Participating physicians are paid using a higher fee schedule than that used for nonparticipating physicians, but agree to accept assignment and to bill beneficiaries only for the 20% deductible. Nearly 90% of physicians enrolled to treat Medicare beneficiaries chose participating status in 2002, and nearly 95% of Medicare claims are submitted on an assignment bases.
To view more information concerning these changes go to: http://www.cms.gov/media/press/release.asp?Counter=714 http://www.cms.gov/media/press/release.asp?Counter=712