Medicare Administrative Contractors to Issue RAC Demand Letters to Help Prevent Delays

To help prevent delays in issuing demand letters, a concern many have with the current recovery auditing process, the responsibility for sending demand letters to providers is being transferred from Recovery Audit Contractors (RACs) to Medicare Administrative Contractors (MACs) beginning Jan. 3, 2012.

RACs will submit claim adjustments to your MAC, who will perform the adjustments based on the recovery auditor’s review. RACs will then report any overpayments to your MAC, who will issue an automated demand letter.

Physicians with administrative questions about the demand, including timeframes and the process for appeals, will be able to contact Highmark Medicare Services.

Read more in MLN Matters on this issue.

If you receive a demand letter for repayment, you may have some questions. The Pennsylvania Medical Society has developed a list of answers to frequently asked questions on RAC audits.

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Last Updated: 8/18/2011
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