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A replacement for SGR in the works?

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sustainable-growth rate
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If House lawmakers have their way, the oft-criticized sustainable growth-rate equation used to calculate Medicare payments for doctors will be a thing of the past by next year, reports Modern Healthcare. The current system--which is tied to the U.S. economy--would see doctors dealing with potential 21 percent payment reductions beginning in January of next year, should the overhaul not take place.

Preventative service dollars to doctors currently are scarce. The new system would see just the opposite; doctors being rewarded for focusing on primary and preventative care. The reformed plan also would see prescription drugs and lab services that go unpaid under the Medicaid fee schedule become excluded. The article also points out that accumulated deficits that have grown for long periods of time would essentially be wiped out.

To learn more:
- read this Modern Healthcare article

Related Articles:
AMA launching campaign to stave off cuts in reimbursement rates
MD groups seek new Medicare rate formula
Physicians expected to see 10 percent Medicare cut
Physician groups not thrilled with Medicare deal
Leavitt: Medicare formula isn't working

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