Hospitals Overpaid After Change Healthcare Breach, Says Health Affairs Report
Healthcare Finance News
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Contributed by: Kate Gamble
Summary
A recent Health Affairs report has identified significant overpayments made by the federal government to healthcare providers following a cyberattack on Change Healthcare in February 2024. The Centers for Medicare and Medicaid Services allocated $3.3 billion in relief funds, but the uniform distribution led to excessive payments for many hospitals, while others affected by the attack were excluded from the program. The report calls for more precise design in future relief payments, suggesting adjustments to funding amounts and the introduction of outlier payments for those facing considerable disruptions. This underscores the need for better-tailored financial support mechanisms in healthcare, particularly in response to crises impacting claims processing.
