MA Organizations Can Expect Biden Administration to Revisit RADV Rule

Notably missing from the Trump administration’s late-term rulemaking blitz was a longstanding proposal regarding Risk Adjustment Data Validation (RADV) audits, but industry observers say it will likely be revisited by the Biden administration.

CMS has for the last decade been conducting contract-level RADV audits to verify the accuracy of payments made to MA organizations and recover improper payments, and in 2012 said it planned to adopt a “fee-for-service adjuster” to account for any impact from inaccurate diagnosis codes in FFS data that are used to calibrate the MA risk adjustment model. But the agency in a November 2018 proposed rule (83 Fed. Reg. 54982, Nov. 1, 2018) said its plans to recoup improper payments starting with payment year 2020 would not involve an FFS adjuster and that it may apply this extrapolation methodology when finalizing audits dating back to payment year 2011 (RMA 11/1/18, p. 1).

© 2021 MMIT

Lauren Flynn Kelly Managing Editor, Radar on Medicare Advantage

Lauren has been covering health business issues, including drug benefits and specialty pharmacy, for more than a decade. She served as editor of Drug Benefit News (the predecessor to Radar on Drug Benefits) from 2004 to 2005 and again from 2011 to 2016, and now manages Radar on Medicare Advantage. Lauren graduated from Vassar College with a B.A. in English.

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