Congress Passes Legislation to Avert Medicare Physician Cuts and Extend Programs

Congress has passed legislation that prevents a 25 percent reduction in payments to Medicare physicians from taking effect on January 1. The bill, known as the Medicare and Medicaid Extenders Act of 2010, also prevents further cuts to physician payments effectuated under the Sustainable Growth Rate formula enacted by Congress in 1997, and maintains current Medicare physician payment rates through December 31, 2011.

The Medicare and Medicaid Extenders Act also extends a number of other programs that were set to expire on December 31, including the Qualified Individual (QI) Program and the Medicare therapy caps exception process. The legislation extends QI, a Medicare Savings Program (MSP) that helps pay Part B premiums for individuals with incomes between 120 and 135 percent of the federal poverty level, until December 31, 2011. The legislation also extends for an additional year the Medicare therapy caps exception process, which allows consumers to apply for exceptions to the $1,860 coverage limit for combined speech and physical therapy services and the $1,860 coverage limit for occupational therapy services if such services are medically necessary.

-From Congress Passes Legislation to Avert Medicare Physician Cuts and Extend Programs”, Medicare Watch, December 9, 2010, Volume 1, Issue 37, Medicare Rights Center.

 

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