MedPAC Raises Physicians’ Pay, Cuts Reimbursements to HHAs

Last week The
Medicare Payment Advisory Commission approved a recommendation
that would increase reimbursements to primary care physicians by
1.1 percent in 2010 and give hospitals a full market basket update
for both inpatient and outpatient care. The commission also
recommended reducing payments to home health agencies and
increasing payments to long-term care hospitals and dialysis
centers, according to CQ Healthbeat.

In July, under provisions in the Medicare Improvements for
Patients and Providers Act, Congress replaced a scheduled 10.6
percent cut for physicians with a payment freeze for the rest of
2008 and the 1.1 percent pay hike. Another bill canceling a
scheduled pay cut for physicians due in 2010 is expected to be
considered this year. MedPAC will include its recommendations in a
report to Congress in March.