The insurance lobby persuaded federal officials to allow insurers to charge physicians for being paid electronically, according to an Aug. 21 report from Medscape.
The Affordable Care Act requires health plans give providers the option of being paid electronically, and in 2017, CMS issued guidance prohibiting insurers from charging physicians fees. However, six months later, that guidance disappeared from the CMS website.
An investigation by ProPublica revealed the change was a result of insurance industry lobbying led by former CMS employee Matthew Albright, who now works for payment processing firm Zelis, according to an Aug. 14 report. Three days after Mr. Albright requested that CMS remove the 2017 guidance, the rule was changed.
These electronic payment fees can cost large medical practices more than $1 million a year, according to the report. A 2021 poll from the MGMA found that 57 percent of physicians were being charged electronic payment fees when they had not agreed to them.
In October 2021, more than 90 physician organizations signed a letter calling on the Biden administration to do away with payment fees. The situation is currently unchanged, but in 2022, CMS updated its online guidelines noting that payment fees from insurers are allowed.