Fraud legislation may block individuals from Medicare, Medicaid — 5 things to know

The Fighting for Medicare Fraud Act of 2016 may impede individuals from participating in federal healthcare programs such as Medicare and Medicaid, according to McKnight’s.

Here are five things to know:

1. Reps. Lois Frankel (D-Fla.) and William Keating (D-Mass.) introduced the legislation to the House on May 17.

2. The bill would give the Department of Health and Human Services more ability to exclude those individuals linked to companies penalized for fraud from participating in federal healthcare programs.

3.  The legislation aims to get rid of a loophole that previously allowed employers to resign before a company received a penalty, thereby avoiding a Medicare fraud scheme.

4. For individuals who had ownership, controlling interest or management positions in a fraudulent company, the Office of Inspector General can exclude individuals if they knew  or "should have known" about the fraudulent conduct.

5. The bill would allow those who steal Medicare, Medicaid or Children's Health Insurance Plans to possibly face a prison sentence of 15 years or more.

"We need to ensure taxpayer dollars are committed to providing vital services for our seniors, not lining the pocket of fraudulent businesses and CEOs," said Rep. Keating in a statement. "This common-sense legislation stops the cycle of deceit amongst the worst actors - toughening the consequences felt by those who illegally exploit our elderly population while strengthening the Medicare system in the process."

More articles on coding & billing:
6 major healthcare fraud cases costing millions in 2016 + 9 key statistics
Medicare loses $3.2B from DMEPOS improper medical billing — 8 key points
CMS reimbursement cuts have no negative impact on beneficiary access — 5 things to know

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