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Etheredge Chiropractic Received Unallowable Medicare Payments for Chiropractic Services

Issued on  | Posted on  | Report number: A-04-16-07064

Some chiropractic services that Etheredge billed were not allowable in accordance with Medicare requirements. Of the 100 chiropractic services in our sample, 67 were allowable in accordance with Medicare requirements. However, the remaining 33 were not allowable: 31 services were medically unnecessary and 2 were not documented. As a result, Etheredge received $1,042 in unallowable payments. On the basis of our sample results, we estimated that Etheredge received unallowable Medicare payments of at least $169,737 for 2014 and 2015. As of the publication of this report, this unallowable amount includes claims outside of the 4-year claims reopening period.

Etheredge disagreed that 31 claims were medically unnecessary. It stated that it would go through the Medicare Part B appeals process. We maintain that our audit results are valid because we, with the assistance of an independent medical reviewer, determined whether each service was allowable in accordance with Medicare requirements.

18-A-04-158.01 to CMS - Closed Implemented
Closed on 03/18/2019
We recommend that Etheredge refund to the Federal Government the portion of the estimated $169,737 overpayment for claims for chiropractic services that did not comply with Medicare requirements and are within the 4-year claims reopening period.

18-A-04-158.02 to CMS - Closed Implemented
Closed on 03/18/2019
We recommend that Etheredge exercise reasonable diligence to identify and return the overpayments in accordance with the 60-day rule, for the remaining portion of the estimated $169,737 overpayment for claims that are outside of the reopening period, and identify any returned overpayments as having been made in accordance with this recommendation.

18-A-04-158.03 to CMS - Closed Implemented
Closed on 03/18/2019
We recommend that Etherege exercise reasonable diligence to identify and return any additional similar overpayments outside of our audit period, in accordance with the 60-day rule, and identify any returned overpayments as having been made in accordance with this recommendation.

18-A-04-158.04 to CMS - Closed Implemented
Closed on 03/18/2019
We recommend that Etherege establish adequate policies and procedures to ensure that chiropractic services billed to Medicare are medically necessary and adequately documented in the medical records.

View in Recommendation Tracker