U.S. Rep. Jodey Arrington (R-TX) and U.S. Sen. Marsha Blackburn (R-TN) on Sept. 18 unveiled bipartisan, bicameral legislation that would apply improved prompt payment requirements to Medicare Advantage (MA) organizations.
The Medicare Advantage Prompt Pay Act, H.R. 5454/S. 2879, aims to improve MA billing practices, offer certainty for healthcare providers who contract with MA plans, and ensure that senior citizens aren’t stuck with unfair, confusing, or delayed bills after receiving critical care, according to the lawmakers.
“Medicare Advantage plans are delaying payments to rural hospitals and providers, resulting in service cuts, staff shortages, forced closures, and patients with unexpected medical bills months or even years later,” Rep. Arrington said. “[The bill] fixes this problem by requiring plans to pay hospitals and doctors on time or face penalty.
“By holding plans accountable and making the process more transparent, this bill protects patients, supports the hospitals and doctors who care for them, and ensures Medicare Advantage works as intended,” the congressman added.
Rep. Arrington sponsored H.R. 5454 with lead original cosponsor U.S. Rep. Linda Sánchez (D-CA), while Sen. Blackburn cosponsored S. 2879 with bill sponsor U.S. Sen. Catherine Cortez Masto (D-NV).
“Tennessee seniors should not have to worry about whether their Medicare Advantage plan will pay for their care in a timely manner,” said Sen. Blackburn. “The Medicare Advantage Prompt Pay Act would improve Medicare billing practices by offering certainty to healthcare providers who contract with MA plans, ensuring that seniors are not burdened by unfair or overdue bills.”
The bill has garnered support from numerous organizations, including the Federation of American Hospitals, the American Hospital Association, the National Rural Health Association, the American Psychiatric Association, and the Bipartisan Policy Center Action, among others.
“This bipartisan legislation makes common-sense fixes to Medicare Advantage’s billing practices that will help healthcare providers and patients by bringing transparency and stability to the program,” said Sen. Cortez Masto.