Preparing for a Medicare RAC Audit Essential Do’s and Don’ts for Labs to Reduce Compliance Risk and Avoid Penalties


The Dark Report
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Media Contact: Ron Martin

AUSTIN, Texas (July 8, 2011) — As part of a new Medicare program — Recovery Audit Contractors Program (RAC) —independent auditors are visiting provider facilities, including clinical labs and pathology groups, in an effort to recover an estimated $24 billion a year resulting from abuse, fraud, and reimbursement problems. The Centers for Medicare and Medicaid Services (CMS) have designated four independent companies to conduct RAC audits, and they’ll have surprising authority to view source documentation.

Most likely, the majority of labs are not prepared for these auditors to stop by, leaving them quite vulnerable. Although CMS admits that most overpayments are caused by errors and omissions rather than fraud or abuse, it’s critical that clinical labs and pathology groups tune into THE DARK REPORT‘S latest audio conference, titled “Prepare Your Lab for a Medicare RAC Audit: Essential Do’s and Don’ts to Reduce Compliance Risk and Avoid Penalties, ” on Wednesday, July 20, at 1:00 p.m., to learn how they can prepare for a RAC audit, their rights during an audit, and how they can effectively challenge and appeal audit results. LINK:

During the audio conference, two experts will help labs prepare for an RAC audit and minimize its impact. First, Jane Pine Wood, a health-law attorney who specializes in regulatory and compliance issues, will provide critical details of the RAC audit program, including what it is, how audits are performed, and what areas are at risk of being audited. She’ll walk listeners through the process, starting with the moment a lab is notified about an audit. Using case study examples, Ms. Wood will explain the procedures a lab should follow when responding to a RAC audit.

Co-presenter Tom Rehwald, CFO at InCyte Pathology LLC, will share what happened when a RAC audit was conducted at his lab. He’ll provide practical insights and lessons learned. Mr. Rehwald will also give insight on how to stay one step ahead of the auditors and how to avoid potential pitfalls when responding to audit results.

Registration to this audio conference is now open. Management teams who would like to get the most up-to-date information on preparing for a RAC audit and find out how to resolve non-compliance and overpayment issues before being hit with an audit should be sure to attend.

A valuable question-and-answer session will follow the 90-minute presentation. Members of the press who would like to learn about pre-emptive steps to avoid fines, overpayments, and even jail time that can result from an RAC audit should contact Ron Martin at 512-264-7103.

About The Dark Report

Established in 1995, The Dark Report is the leading source of exclusive business intelligence for laboratory CEOs, COOs, CFOs, Pathologists and Senior industry executives. It is widely-read by leaders in laboratory medicine and diagnostics. The Dark Report produces the famous Executive War College on Laboratory and Pathology Management every spring, which showcases innovations by the nation’s and globe’s leading laboratory organizations. Dark Daily is an Internet-based e-briefing intelligence service, read worldwide by thought leaders in laboratory and pathology management. Other well-known conferences conducted by The Dark Report are Lab Quality Confab (on the use of Lean and Six Sigma methods in labs and hospitals), Molecular Summit (on the integration of in vivo and in vitro diagnostics). The Dark Report co-produces Frontiers in Laboratory Medicine annually in the United Kingdom; Executive Edge bi-annually in Canada; and The Business of Pathology bi-annually in Australia.