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Morning Briefing

Summaries of health policy coverage from major news organizations

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Monday, Jul 8 2024

Full Issue

Insurers Bilked $50B From Medicare For Dubious Diagnoses, Review Finds

In its analysis of the Medicare Advantage program, The Wall Street Journal looked at details of "doctor visits, hospital stays, prescriptions and other care." Separately, a Stat review has found that more than two dozen Medicare Advantage insurers now qualify for big taxpayer-funded bonuses.

Private insurers involved in the government鈥檚 Medicare Advantage program made hundreds of thousands of questionable diagnoses that triggered extra taxpayer-funded payments from 2018 to 2021, including outright wrong ones, a Wall Street Journal analysis of billions of Medicare records found.聽The questionable diagnoses included some for potentially deadly illnesses, such as AIDS, for which patients received no subsequent care, and for conditions people couldn鈥檛 possibly have, the analysis showed. Often, neither the patients nor their doctors had any idea. (Weaver, McGinty, Mathews and Maremont, 7/8)

The Wall Street Journal set out to examine the system under which Medicare Advantage insurers can collect extra federal money for patients with certain conditions.聽The Journal reviewed Medicare data under a research agreement with the federal government. The data doesn鈥檛 include patients鈥 names, but covers details of doctor visits, hospital stays, prescriptions and other care.聽(Weaver and McGinty, 7/7)

In related news about Social Security fraud investigations 鈥

The Social Security Administration鈥檚 recently departed inspector general abused her authority and undermined the integrity of her office while under investigation for misconduct, a report from a committee of federal watchdogs found. Gail Ennis, who left her post last week, repeatedly refused to steer clear of an inquiry into her leadership of an anti-fraud program that issued extraordinary fines on disabled and elderly people accused of disability benefit fraud, investigators found. The report said she obstructed the probe by refusing to be interviewed, ordering subordinates and witnesses to limit access to information, and at times seeking to mislead investigators. (Rein, 7/5)

More Medicare developments 鈥

More than two dozen Medicare Advantage insurers received higher quality marks for 2024, based on a STAT review of new data released July 2 by the federal government. Ten health insurance companies, including UnitedHealth Group鈥檚 UnitedHealthcare and CVS Health鈥檚 Aetna, received critical upgrades in some of their offerings that will allow them to earn hundreds of millions of dollars in extra taxpayer-funded bonuses. (Herman, 7/3)

The White House on Wednesday explained what President Biden meant when he misspoke and said 鈥淲e finally beat Medicare鈥 in last week鈥檚 presidential debate. 鈥淗e meant to say he beat big pharma,鈥 White House press secretary Karine Jean-Pierre said in a briefing when asked about the president鈥檚 words. 鈥淚 mean, that鈥檚 what he meant to say.鈥 (Suter, 7/3)

Vermont is partnering with the federal government and a few other states in a new effort to contain Medicare costs and improve care. The Centers for Medicare & Medicaid Services earlier this week announced it has accepted Vermont鈥檚 application to participate in the States Advancing All-Payer Health Equity Approaches and Development (AHEAD) program. State officials say the aim is to help bring in more federal Medicare dollars to invest in primary care and preventative medicine to keep people healthy instead of resorting to expensive emergency procedures. (Cutler, 7/5)

This is part of the Morning Briefing, a summary of health policy coverage from major news organizations. Sign up for an email subscription.
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