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Medicare News

Power Wheelchair Industry, Advocates Winning Battle over Payment Cuts by CMS

November 10, 2006 – The power wheelchair industry, and many advocate groups that joined them, seem to be headed for a significant victory over the rule by the Centers for Medicare & Medicaid Services that was to make a substantial cut in the payments for these devices on November 15. Tara Raeber, advocacy communications specialist at the National Multiple Sclerosis Society's Public Policy Office, said the new policy reported yesterday for Group 3 devices is "a victory for the disability community."

Click here to the Daily Health Policy Report - KaiserNetwork.orgCMS Will Lessen Proposed Reimbursement Rate Reductions for Medicare Beneficiaries' Power Wheelchairs

CMS officials on Thursday announced that the agency will reduce proposed cuts to Medicare reimbursement rates for some power wheelchairs and scooters, the AP/Houston Chronicle reports (AP/Houston Chronicle, 11/9).

 

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November 3, 2006 – The power wheelchair industry has lined up a bi-partisan group of 44 House members have asked Health and Human Services (HHS) Secretary Michael Leavitt to delay Medicare cuts to power wheelchairs, which the group says will make it difficult for senior citizens and other beneficiaries to receive mobility equipment. This battle will join the effort by the American Medical Association to stop a five percent pay cut by Medicare on the Congressional agenda after the election recess. Read more...

Mobility Industry Predicts Dire Circumstances if Medicare Proceeds with Pay Cuts for Power Wheelchairs

On Nov.15 Medicare will reduce reimbursements for power wheelchairs by about an average of 35%

October 11, 2006 - The Scooter Store announced today that the Centers for Medicare and Medicaid Services' decision to cut reimbursements by up to 41 percent for most power wheelchairs "will be devastating" for senior citizens and people living with physical impairments. Read more...


Read more on Medicare or Medicare Drug Program

 

CMS in October announced that beginning Nov. 15, it would reduce Medicare reimbursements for power wheelchairs by about 35% to help offset a significant increase in program expenditures for the devices in recent years.

Under the proposed policy, Medicare reimbursements for standard power wheelchairs would have decreased from the current rate of as much as $6,130 to about $3,800 (Kaiser Daily Health Policy Report, 10/11).

Manufacturers, suppliers and advocacy groups objected to the original proposal, which they said would force wheelchair makers and suppliers out of business and hamper access for disabled beneficiaries. CMS had said the reductions were necessary to stop fraud and abuse and improve the accuracy of reimbursement rates for power mobility equipment (Carey, CQ HealthBeat, 11/9).

A 2004 CMS study found that Medicare expenditures for the devices increased from $43 million to $1.2 billion in the eight years prior to the study (AP/Houston Chronicle, 11/9). However, CMS officials on Thursday said that they decided to revise the proposed reductions based on newer data "that reflects the full and complete manufacturer applications, test results and attestation."

New Rates
Under the new proposal, Medicare reimbursements for "Group 3" power mobility devices for the severely disabled will be between $1,000 and $1,700 higher than the rates listed in the original proposal.

Reimbursement rates for "Group 2" devices, which include the most commonly provided standard geriatric mobility wheelchairs, will increase to about $301 more than the rate proposed in October, according to CQ HealthBeat (CQ HealthBeat, 11/9).

Sharon Hildebrandt, executive director of the National Coalition for Assistive and Rehab Technology, said suppliers still will face significant reductions. For example, she said, Medicare currently pays $7,137 for one type of wheelchair, but the amount will decrease to $5,173 under the new policy.

"There will still be an access issue," Hildebrandt said. CMS spokesperson Jeff Nelligan said the changes would reduce fraud while ensuring beneficiaries have access to appropriate power mobility devices (AP/Houston Chronicle, 11/9).

Tara Raeber, advocacy communications specialist at the National Multiple Sclerosis Society's Public Policy Office, said the new policy for Group 3 devices is "a victory for the disability community" (CQ HealthBeat, 11/9).

 

"Reprinted with permission from kaisernetwork.org You can view the entire Kaiser Daily Health Policy Report, search the archives, and sign up for email delivery at www.kaisernetwork.org/dailyreports/healthpolicy. The Kaiser Daily Health Policy Report is published for kaisernetwork.org, a free service of The Henry J. Kaiser Family Foundation. © 2006 Advisory Board Company and Kaiser Family Foundation. All rights reserved.”

 

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