A new report brings telehealth fraud risk into focus

WASHINGTON — Washington’s attempts to permanently lock in telehealth coverage have been hobbled by a fear that virtual care could drive up Medicare fraud and spending. But a new watchdog report offers early evidence that only a small portion of providers are billing for virtual care in a potentially fraudulent way, suggesting that targeted interventions could crack down on abuse.

Some Medicare-certified providers — just about 1,714 out of 742,000 — billed for telehealth in a way indicating high risk of fraud, waste or abuse during the pandemic’s first year, according to the Department of Health and Human Services’ Office of the Inspector General’s analysis of fee-for-service Medicare claims. Those providers billed roughly half a million Medicare beneficiaries for almost $130 million. The analysis doesn’t account for the dollar amount of Medicare Advantage claims, but does include encounter data.

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