Medicare Blog

what are the consequences of my medicare billing privileges being deactivated?

by Ms. Desiree Wolf Published 2 years ago Updated 1 year ago

There are numerous adverse actions that can be taken against a provider’s Medicare ordering and referring or billing privileges. In general, however, deactivation is not considered such an “adverse action” that will reflect on the providers PECOS; however, it does “stop” your ability to use your Medicare privileges.

§ 424.502. Importantly, “[t]he deactivation of Medicare billing privileges does not have any effect on a provider's or supplier's participation agreement or any conditions of participation,” but “[a] provider or supplier may not receive payment for services or items furnished while deactivated.” 42 C.F.R.May 4, 2022

Full Answer

What is deactivation of Medicare billing privileges?

Deactivation of Medicare billing privileges is considered an action to protect the provider or supplier from misuse of its billing number and to protect the Medicare Trust Funds from unnecessary overpayments.

What happens if my Medicare billing privileges are revoked?

If your Medicare billing privileges are revoked, in most cases the revocation is effective 30 days after CMS or the MAC mails notice of its determination. Once revoked, you are barred from billing or participating in the Medicare program until the end of the re-enrollment bar.

How to appeal the evocation of your Medicare billing privileges?

The first level of appeal for a provider to contest the evocation of its Medicare billing privileges is known as the “Reconsideration” level. A reconsideration request must be submitted within 60 days from receipt of the notice of initial determination. Take care, some appeals will be filed with the CMS-PEOG while others must be filed with MAC.

Why has my provider or supplier been deactivated from Medicare?

CMS may deactivate the Medicare billing privileges of a provider or supplier for any of the following reasons: (1) The provider or supplier does not submit any Medicare claims for 12 consecutive calendar months.

What is Medicare revocation?

Medicare billing privileges can be revoked for twenty-two enumerated reasons, including non-compliance with Medicare enrollment requirements, felony convictions, and failure to respond to requests for medical records.

How do I reactivate my Medicare provider?

If your Medicare billing privileges are deactivated, you'll need to re-submit a complete Medicare enrollment application to reactivate your billing privileges....It allows you to:Review information currently on file.Upload your supporting documents.Electronically sign and submit your revalidation online.

How long can CMS bar a revoked provider from re enrolling?

(3) CMS may impose a reenrollment bar of up to 20 years on a provider or supplier if the provider or supplier is being revoked from Medicare for the second time. In determining the length of the reenrollment bar under this paragraph (c)(3), CMS considers the following factors: (i) The reasons for the revocations.

How often does a provider have to revalidate with Medicare?

every 5 yearsAre there exemptions from revalidation? No. All providers and suppliers are required to revalidate their enrollment information every 5 years and every 3 years for DMEPOS suppliers. CMS also reserves the right to request off-cycle revalidations.

Why would my Medicare be inactive?

Depending on the type of Medicare plan you are enrolled in, you could potentially lose your benefits for a number of reasons, such as: You no longer have a qualifying disability. You fail to pay your plan premiums. You move outside your plan's coverage area.

What is Medicare revalidation?

The Patient Protection and Affordable Care Act established a requirement for all enrolled providers/suppliers to revalidate their Medicare enrollment information roughly every five years. Revalidation is the process of reviewing all information that is on file with Medicare is correct.

How do I appeal a Medicare revocation?

A provider must submit a written ALJ appeal request within 60 days from the date of the reconsideration decision. An ALJ hearing is an adversarial process with a CMS attorney assigned by the Regional Office of General Counsel to represent CMS during the ALJ hearing.

What forms are needed for Medicare revalidation?

How do I revalidate my Medicare file? You will need to submit a complete CMS-20134, CMS-855A, CMS-855B, or CMS-855I application, depending on your provider / supplier type. If you enrolled in more than one state in our jurisdiction, you are required to submit a separate application for each state.

What is the CMS preclusion list?

What is the Preclusion List? A list of providers and prescribers who are precluded from receiving payment for Medicare Advantage (MA) items and services or Part D drugs furnished or prescribed to Medicare beneficiaries.

What does revalidate mean?

to validate again or anewDefinition of revalidate transitive verb. : to validate again or anew: such as. a : to make (something) legal or valid again Her mother had revalidated her Cuban teaching credentials and begun teaching school.— Linda Marx also : to grant official sanction to (something) again had to get his visa revalidated.

What is the revalidation process?

Revalidation is an evaluation of your fitness to practise. This process: supports doctors in regularly reflecting on how they can develop or improve their practice. gives patients confidence doctors are up to date with their practice. promotes improved quality of care by driving improvements in clinical governance.

Does Medicare backdate providers enrollment?

When providers and suppliers enroll in Medicare, they are permitted to bill for services performed before the date of their enrollment approval—up to a point, Marting says. In other words, they're able to retroactively bill for their services if their 855 enrollment application is accepted.

I. Background

To participate in the Medicare program, a provider must typically complete either a CMS-855A, CMS-855B, CMS-855I or CMS-855S [3] enrollment application, each of which requires that the provider disclose their practice or office address.

II. Failure to Meet Provider Requirement to Maintain Active Enrollment Status

Over the past year, our firm has represented more physicians, home health agencies and other providers than ever before in challenging proposed Medicare revocation actions. As we indicated in an article on ZPIC audits last March, program integrity contractors are aggressively conducting site visits of enrolled providers.

III. What Occurs if a Medicare Contractor Believes that a Provider is Not Operational?

What does it mean for a provider’s practice or office to be “operational” ? As set out under 42 C.F.R. § 424.502, the term operational:

IV. A Look at the Regulatory Bases for Revocation

As reflected under 42 CFR §424.535 (a) (1)- (14), there are fourteen regulatory bases for revocation that may be relied upon by the government. This article focuses on only one of these reasons for revocation – a provider’s failure to notify Medicare of a change in its practice location.

V. Impact of a Medicare Revocation Action

Simply put, if your Medicare billing privileges are revoked, you will be barred from participating in the Medicare program from the date of the revocation until the end of the re-enrollment bar that has been identified in the revocation letter. The re-enrollment bar lasts from 1 – 3 years.

VI. Appealing a Medicare Revocation Action

As reflected in Section IV above, the business impact of a revocation action on your practice can be devastating. If you are facing a revocation action, we strongly recommend that you engage experienced health law counsel to represent you in the process.

VII. Conclusion

The revocation of a provider’s Medicare billing number often comes as a shock. It is never expected and few providers are prepared to effectively respond to the challenges presented by the hyper-strict requirements of the revocation appeals process.

How long can a provider not submit a Medicare claim?

Per §424.540(a)(1), a provider or supplier does not submit any Medicare claims for 12 consecutive calendar months. The 12 month period begins on the 1st day of the 1st month without a claims submission through the last day of the 12th month without a submitted claim;

What is Medicare Administrative Contractor?

The Medicare Administrative Contractor is hereby advised that this constitutes technical direction as defined in your contract. CMS does not construe this as a change to the MAC Statement of Work. The contractor is not obligated to incur costs in excess of the amounts allotted in your contract unless and until specifically authorized by the Contracting Officer. If the contractor considers anything provided, as described above, to be outside the current scope of work, the contractor shall withhold performance on the part(s) in question and immediately notify the Contracting Officer, in writing or by e-mail, and request formal directions regarding continued performance requirements.

What happens if you don't revalidate Medicare?

Failing to revalidate on time could result in a hold on your Medicare reimbursement or deactivation of your Medicare billing privileges. If your Medicare billing privileges are deactivated, you’ll need to re-submit a complete Medicare enrollment application to reactivate your billing privileges.

Does Medicare reimburse you for deactivated services?

Medicare won’t reimburse you for any services during the period that you were deactivated. There are no exemptions from revalidation. Additionally, CMS doesn’t grant extensions; your notification email or letter will allow sufficient time to revalidate before your due date.

When will Medicare payments be halted?

Medicare payments will be halted until the corrective action plan or request for reconsideration process is complete. The provider is barred from participating in the Medicare program from the effective date of the revocation until the end of the re-enrollment bar.

How does Medicare affect revalidation?

Medicare sends its revalidation letters and other correspondence to the “special payment and correspondence address” on file with Medicare. If a correspondence is returned to Medicare marked “undeliverable,” or if a provider does not respond to Medicare’s request within the time specified in the notice, the provider’s billing privileges will be deactivated or revoked.

How long does it take to get a revocation letter?

After receiving a revocation letter, a provider has 30 days to submit a corrective action plan and 60 days to submit a request for reconsideration. Providers should submit both documents at the same time because the 60-day time frame for a request for reconsideration starts the day the revocation letter is dated.

What is CMS targeting for revalidation?

CMS is actively targeting for revalidation: Providers who are not registered in the Medicare Provider Enrollment, Chain, and Ownership System (PECOS) Providers who have not updated their enrollment within the last five years. Provider s located in historically high-risk areas for Medicare fraud.

What is CPC#N#Revalidation?

Parham, AS, CPC#N#Revalidation is the process by which the Centers for Medicare & Medicaid Services (CMS) requires a provider to certify her accuracy or her existing enrollment information with Medicare. Complying with revalidation requests within the specified time is necessary to avoid loss of billing privileges and disruption of Medicare reimbursements.

Can Medicare deactivate a provider?

Deactivation is minor. Medicare may deactivate a provider’s Medicare bil ling privileges if the provider does not report a change to the information supplied on the enrollment application within a specified time. Significant changes include, but are not limited to: Ownership or control (report within 30 days)

Why was Medicare deactivated?

Deactivation because the provider or supplier did not submit Medicare claims for twelve consecutive calendar months. Deactivation because the provider or supplier did not report a change of information within 90 calendar days of when the change occurred or within 30 days if it is an ownership change.

How long does it take to appeal Medicare enrollment?

Effective date determinations, change of information request denials and reassignment denials may also be appealed. The requests must be started within 35 to 65 days from the date ...

How long does it take to get a CAP reconsideration?

If you receive an unfavorable CAP decision and did not submit a reconsideration during the time of the CAP review, you may still submit a reconsideration for review, if within the allowable 65 day timeframe of the initial determination letter. See the appeal decision letter for addition details regarding a CAP.

What happens if a CAP is found favorable?

If the CAP is found favorable, please withdraw your reconsideration. If the CAP is found unfavorable, you will not have higher appeal rights as an unfavorable CAP decision may not be appealed. The reconsideration will then be reviewed and a determination made.

Can a provider file a rebuttal for Medicare deactivation?

A provider or supplier whose Medicare enrollment is deactivated may have the right to file a rebuttal and challenge their deactivation. Providers are given this opportunity to demonstrate that they meet all applicable enrollment requirements and that their Medicare billing privileges should not have been deactivated.

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