The recovery audit contractor (RAC) program is intended to detect and correct
improper payments in the Medicare program. After a successful three year
demonstration project, implementation and national rollout of the RAC program is
proceeding. Providers need to be prepared to file appeals quickly and without
delay if they object to the RAC’s claim for overpayment. The timeframe
providers have to object are short and if a provider has not thought through the
appeals process beforehand, it may miss the opportunity to retain payments. This article provides a brief background of the RAC program, a short
overview of the demonstration project results related to appeals, and a primer
on the appeals process.
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