GOVERNMENTNews in brief - Nov. 6, 2006Medicare error rate drops - Former FDA chief pleads guilty - Family physicians to rate insurance companies Medicare error rate dropsThe government reduced its percentage of improper Medicare payments from 5.2% in 2005 to 4.4% in 2006, an improvement that saved the program an estimated $1.3 billion this year. The Centers for Medicare & Medicaid Services randomly selected roughly 160,000 fee-for-service claims from physicians and other program participants to determine what percentage of the claims resulted in improper payments, either because the care wasn't medically necessary or wasn't properly documented. Medicare was able to reduce this rate by working with contractors to improve claims processing and educating participants about how to file proper claims, said outgoing CMS Administrator Mark McClellan, MD, PhD. Senate Finance Committee Chair Charles Grassley (R, Iowa) praised the development but said more improvement was needed. "Medicare is still paying for medically unnecessary services and undocumented or poorly documented services, and I support the continued efforts of Medicare officials to further reduce the error rate." Former FDA chief pleads guiltyLester M. Crawford, DVM, PhD, former Food and Drug Administration commissioner, pleaded guilty in U.S. District Court to charges that he falsely reported his ownership of stocks in firms that were regulated by his agency. Dr. Crawford, who abruptly left the agency's top post in September 2005 after having been confirmed by the Senate less than three months earlier, faces a maximum penalty of one year in prison and a $100,000 fine for each of the two misdemeanor charges when he is sentenced in January. The charges stem from his failure to disclose a conflict of interest by owning shares in FDA-regulated companies such as Kimberly-Clark, PepsiCo and Sysco, as well as false statements he made regarding this ownership. Senior officials at the agency are not allowed to invest in firms that fall under the FDA's jurisdiction. A former veterinarian, Dr. Crawford currently works for the lobbying firm Policy Directions in Washington, D.C. Family physicians to rate insurance companiesThe American Academy of Family Physicians is giving its members the chance to rate individual health plans on their payment rates, claims processing, formularies and other factors. Doctors interested in filling out the survey should visit the Academy's Web site (www.aafp.org). The results of the nationwide survey are expected to be released in the April 2007 issue of Family Practice Management. Copyright 2006 American Medical Association. All rights reserved. |