The Centers for Medicare & Medicaid Services (CMS) will end the Accelerated and Advance Payment (AAP) Program on July 12, 2024. This program was launched in response to the Change Healthcare/Optum Payment Disruption (CHOPD) caused by a cyberattack on Change Healthcare in February. Its goal was to assist Medicare providers and suppliers facing financial challenges.
The cyberattack on Change Healthcare, a crucial player in healthcare electronic data interchange, caused widespread disruption across the U.S. healthcare industry. In response, CMS quickly rolled out the CHOPD payments in early March to alleviate the financial strain on Medicare providers and ensure they could continue delivering vital care to patients without interruption.
CHOPD payments and the path forward for Medicare providers
The CHOPD payments provided essential cash flow support to numerous Medicare providers and suppliers. Over 4,200 Part A providers, including hospitals, received more than $2.55 billion in accelerated payments. Additionally, CMS issued advance payments totaling over $717.18 million to 4,722 Part B suppliers, such as physicians, non-physician practitioners, and durable medical equipment suppliers.
CMS Administrator Chiquita Brooks-LaSure underscored the agency’s rapid response to mitigate the impact of the cyberattack, emphasizing the necessity of being prepared for future incidents. As CMS has already recovered over 96% of CHOPD payments, they have decided to stop accepting new applications for the program. Providers encountering billing or payment issues can reach out to Change Healthcare or their Medicare Administrative Contractor (MAC) for support.
Final applications, ongoing monitoring, and cybersecurity enhancements
Providers must submit any remaining CHOPD applications before the July 12 deadline. Meanwhile, CMS continues to monitor the situation for any residual impacts from the cyberattack. The institution also remains committed to collaborating with industry partners to address ongoing challenges. Considering this, CMS urgently encourages all healthcare stakeholders to enhance their cybersecurity measures.
Providers can visit the HPH Cyber Performance Goals website for detailed information on cybersecurity best practices. Also, read the CMS press release to learn more about this news and how it can impact your medical practice.
At Health Prime, we can help!
As the healthcare industry adapts to new challenges and transitions, like the CHOPD changes, efficient medical billing becomes increasingly critical. Outsourcing your medical billing to Health Prime ensures expertise and accuracy. Our specialized team reduces errors and accelerates claim processing, leading to higher reimbursement rates.
Additionally, partnering with a reliable cybersecurity company is paramount. At Health Prime, safeguarding your sensitive data is our top priority. We achieve this by implementing robust security measures and staying abreast of regulatory updates. This proactive approach ensures that your practice remains protected from potential cyber threats.
To learn more about outsourcing your medical billing, including your Revenue Cycle Management (RCM), contact us at [email protected]. Our team will set up a meeting to discuss how we can maximize your revenue by cutting costs, saving time, and collecting more!
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