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HHS requests 'stopgap' payments to hospitals, pause on prior authorizations amid Change outage
March 12, 2024
Beckers Hospital Review
Contributed by: Bill Russell
Summary
The cyberattack on Change Healthcare, a claims processing system, has led to significant financial strain on hospitals, necessitating the development of alternative methods for claims submission. The parent company, UnitedHealth Group, is working to restore systems by March 18. In response, the Biden-Harris administration, through letters from HHS Secretary Xavier Becerra and Acting Secretary of Labor Julie Su, has urged private insurance companies to make interim payments to alleviate financial pressures on hospitals and requested simplifications in electronic data interchange and a pause in prior authorizations. Additionally, the Centers for Medicare & Medicaid Services (CMS) has initiated accelerated payments to affected providers, while Moody's report highlights potential negative impacts on hospital credit ratings due to continued service disruptions.
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