READER QUESTIONS:
Don't Let Medicare Set Your Fees
Published on Tue Apr 21, 2009
Question: I have a procedure code that one insurance allows $185.00, yet Medicare allows $26.00. Do I have to charge everyone the same amount, so that in this case I cannot charge the one payer more even though they allow more? Kentucky Subscriber Answer: Medicares fee schedule should not be the guide to your practices fee schedule. Just because Medicare only pays $26, you do not have to charge every other payer what the government entitlement program is paying. You can charge $185 to the other insurance if your fee for that procedure is $185. In fact, if the fee your practice sets for that procedure is higher than $185, you should charge the higher fee. The payer will then reimburse you based on your contract if you are a participating provider and based on the insureds contract if you do not participate. The best way to set your fees [...]