ABiz -> Acadiana Business TUE, APR 27 11:01AM by Leslie Turk

WSJ investigates home health Medicare reimbursements

In an investigative report published Monday, The Wall Street Journal looks into home health care companies that appear to be taking advantage of the Medicare reimbursement system. The results of the WSJ’s analysis -- which centered on the nation’s largest home health agency, Baton Rouge-based Amedisys Inc., but also included data on Lafayette-based LHC Group Inc. -- show that the number of in-home therapy visits tracks Medicare financial incentives.

Home health agencies, the fastest-growing sector of the health care industry, derive most of their revenue from Medicare. The WSJ’s analysis was based on publicly available Medicare records and supported by comments from a former Amedisys nurse.
“I was told ‘we have to have ten visits to get paid,’” says Tracy Trusler, a former Amedisys nurse for two years in Tennessee, who has since left the company. Her supervisors, she says, asked her to look through patients’ files to find those who were just shy of the 10-visit mark and call their assigned therapists to remind them to make the extra appointment.

“The tenth visit was not always medically necessary,” Ms. Trusler says.
The paper enlisted Henry Dove, a professor at Yale University’s School of Public Health and an expert in analyzing Medicare data, to assist in its analysis. Dove studied Medicare’s database to determine how often between 2005 and 2008 various home-health companies sent therapists to patients’ homes during a 60-day period of care, and whether the number of visits coincided with Medicare financial incentives. The WSJ reported:
Mr. Dove found the pattern of clustering visits at reimbursement trigger points was industry wide. The three other publicly traded home-health companies saw similar movements from 2007 to 2008. LHC Group Inc., for instance, saw the percentage of patients getting 10 visits in 2008 drop by 64% from 2007. For Gentiva Health Services Inc., the 10-visit percentage fell 27%, and at Almost Family Inc., the percentage fell 39%.

A spokesman for LHC said the company agreed with The Journal’s analysis but noted that the majority of its patients didn’t receive therapy—and therefore the company didn’t qualify for the bonus payments. He added that “the shift in therapy visits noted in your data resulted from a change in the types of patients we cared for,” such as more orthopedic patients, “and not a change in treatment patterns.”
Read The WSJ story here.


Comments (12)add
...
written by WillNotPay , April 27, 2010 - 04:54 pm
It does no good to have a hyperlink to the Wall Street Journal, if you then have to pay a subscription fee, in order to read the entire article.
...
written by Match U Peach U , April 27, 2010 - 05:25 pm
I can't wait for Obamacare. All the fraud and waste will magically go away. Increasing government control has always resulted in less fraud and waste. Just like at the SEC, well, on second thought maybe not the SEC.
...
written by Amazing , April 27, 2010 - 06:03 pm
So tell me how do you make such a shift in the types of patients you care for? I guess they must be marketing those docs for the ortho patients to get that extra add-on now... Amazing!!! Either way they are still working the system.
...
written by Jeff PA , April 27, 2010 - 10:15 pm
This article is an embarassment mainly because Medicare changed the reimbursement policy to prevent this fraud over a year ago. Where was the WSJ when this would have been an legitimate story? I work as a therapist in homecare in case anyone is wondering how I know this.
...
written by Self Ex-Communicated Catholic ! , April 28, 2010 - 02:48 am
DUH ! Why should i trust the Wall Street Journal when they could'nt see the forest for the trees with their own home-grown
Ponzi Scam Artists, Madoff and Stanford.......Beware those who come bearing gifts !
...
written by Great Article NOT , April 28, 2010 - 03:27 pm
Home health care is the fastest growing sector but also it saves tax payers billions each year. For example, an average night at the hospital will cost around $3500 where an average HH visit is around $200 for Medicare. Do the math. Even if they did one extra or two extra visits, it still save us billions.
...
written by Match U Peach U , April 28, 2010 - 07:32 pm
written by Self Ex-Communicated Catholic ! Why should i trust the Wall Street Journal when they could'nt see...
Ponzi Scam Artists, Madoff and Stanford.......
-------------

Maybe so, but WSJ is not in the business of regulation, the government is, and the trusted government was busy watching porn.



...
written by Match U Peach U , April 28, 2010 - 07:35 pm
written by Great Article NOT , April 28, 2010
Home health care is the fastest growing sector but also it saves tax payers billions each year. For example, an average night at the hospital will cost around $3500 where an average HH visit is around $200 for Medicare.
------------

True, but the liberals are back in power. BTW, Did you get your check yet? Better hurry, the money will run out soon. Just ask those living in the People's Republic of California.
...
written by Good Time Charlie ! , April 29, 2010 - 03:15 am
" Wall Street, Bang Street, 4-CORNERS ! What the hell is the difference, prostitutes and pimps the whole lot............
Repent, saith the church, " TITHE your way to the Pearly Gates !
...
written by Morrow , April 29, 2010 - 12:24 pm
I gave up on health care several years ago. I just couldn't stomach the tonsilectomy/soft palate surgery costing $20,000, of which doctor millionaire got $12,000 for a 2 hr surgery. AND that was ten years ago! I have no respect or patience for what health care has evolved into, including home health. It may have saved money once upon a time, but the ones we've dealt with, while the care givers have been good, the business sucks, and I mean they really try to suck every dime they can! And don't even get me started on "paid hospice care", which I think is a lazy doctor's business. I think its because Lafayette began hospice care as a voluntary "give back to society" endeavor instead of a get rich quick, collect lots of government dollars scheme.
...
written by Former Amedisys Nurse , May 01, 2010 - 11:18 am
Ahh Leslie, If you only knew that what you touched on was just the tip of the iceburg! Medicare really needs to have someone "minding the store" somewhat better!
...
written by frustrated physical therapist , May 16, 2010 - 05:23 am
I agree, the question of gaming the system of Medicare is fair. I work in home care and deal with the visit number stratification nearly every day. The push is for 12 to 20 visits, re-certification for another 60 window, and bringing in multiple rehab disciplines like occupational therapy, speech therapy, and a social worker.

Also, there is a system in place to ensure the billing codes maximize payment. It's as if all of this is endemic.

I'd even go one step further. Therapists fool themselves into thinking they can make a significant difference in an older adult's ability to balance and function. I say this as even after 20 in-home visits, an older adult is still a "fall risk" and likely would be considered functionally unchanged as evaluated by a blinded, third party therapist assessment. The nature of aging severely limits the body's ability to functionally change.

Now, for the Classical Liberal statement: should the federal government be forcing "free" citizens to pay for health care that is questionable? Even for care that even is effective? When a socialized system exists, fraud, both overt and subtle, will develop.
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