What the FWAC?

May 20, 2019

What the FWAC is right! Did you see the recent report from the Department of Health and Human Services Office of the Inspector General that discovered California’s overpayment to the tune of 71 million dollars in Medicaid payments? That’s a lot of money that’s being paid for deceased beneficiaries.

And California isn’t the only state that’s making these severely miscalculated overpayments. In 2017, the same office discovered that Texas made $5 million worth of overpayments following the death of beneficiaries. Rhode Island paid nearly $11 million in overpayments for medical programs to deceased beneficiaries.

Incorrect Medicaid Payments in California
Image Source: Fox Business

That’s a total of 87 million dollars in overpayments to deceased beneficiaries! Can you even imagine that amount of money? And it’s been paid to dead people. How?

Why the Ongoing Overpayments to Dead People?

This is a question we keep asking ourselves as we continue to see these reports noting ludicrous overpayment numbers. Are these states not using a death audit solution to locate their participants? If they are, might we suggest a switch to an industry leader. Obviously, there’s an issue with whatever solution they’re using.

But what if they’re not using a death audit solution? The question then becomes: Why are these government agencies failing in their compliance with federal and state regulations? Well, we have a few thoughts on that, but we’d prefer to offer solutions rather than a never-ending critique.

Death Audits Prevent Zombie Payments

The simplest way to avoid making millions of dollars in overpayments is to perform a death audit. This may seem like a simple solution – and it is – it’s curious why governmental agencies aren’t performing these simple tasks that are federally required.

Again, we’re not going to ponder the reasons why. At LifeStatus360, we know that death audits are a valuable resource to ensure these funds aren’t making zombie payments. Uploading your population to our Death Audit Solution will help you locate any deceased participants so you can remove those people to reduce the amount of overpayments. It’s so easy, even a [_________] could do it!

We’re Here to Help

As stated previously, LifeStatus360 is here to help. We work with a variety of governmental and private funds to provide compliance with federal and state regulations to reduce exorbitant overpayments.

Sign up for our walk-through webinar to take a look at how simple our Death Audit Solution is to use. We provide the fastest results in our industry with daily reports. Our solutions could’ve prevented these massive overpayments: imagine what we could do for all governmental agencies?

We’re here to help save your company or agency money and prevent fraud. Contact us online or via telephone to learn more.

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