Study Finds For-Profit Nursing Homes Lead in Overcharging
White Plains, NY (Law Firm Newswire) February 25, 2013 - The nursing home industry has been over-billing Medicare.
According to federal inspectors, the nursing home industry is guilty of over-billing Medicare by $1.5 billion each year, charging for treatments and care that patients either do not need or never receive.
Research from the inspector general’s office of the U.S. Department of Health and Human Services found that more than 30 percent of claims from for-profit nursing home care centers were “padded,” either for care never given or not needed in the first place, a stark difference from the estimated nonprofit nursing homes pad rate of 12 percent.
For-profit medical care is a growing industry, taking up 78 percent of $105 billion in yearly nursing home revenue as of 2010, up from 72 percent in 2002. A 2012 Medicare Payment Advisory report found that for-profit providers “dominate most health care sectors”; health care researchers and Medicare overseers estimate that for-profit care billing fraud and waste is a major issue in the $2.8 trillion U.S. health care sector.
Since 2008, federal prosecutors have brought more than 120 civil and criminal cases against nursing homes and nursing-home related individuals, a doubling of the number of cases compared to the prior five years. For-profit care has expanded dramatically in most medical areas compared to the same care in the not-for-profit sector; for-profit hospice has grown at a rate 10 times faster than nonprofit hospice care from 2004 through 2009. For-profit outpatient surgery centers make up 96 percent of all such centers in the country, and 84 percent of all U.S. home-health care agencies are for-profit.
Nursing homes are responsible for employing more than 1.6 million care workers, second only to hospitals in the health care sector. Hospitals, meanwhile, are overwhelmingly still nonprofit: 88 percent of U.S. hospitals are nonprofit or government-run as of 2010, according to the U.S. Census Bureau.
Private investment and private ownership of medical facilities and medical care helps to push innovation and competition for quality care, according to advocates of private medical care, while critics contend that when medical care focuses on the bottom dollar, the quality of care can be at risk, especially for those without deep pockets.
About Littman Krooks
Littman Krooks LLP provides sophisticated legal advice and the high level of expertise ordinarily associated with large law firms along with the personal attention and responsiveness of smaller firms. These ingredients, which are the cornerstone of effective representation and necessary to a successful lawyer/client relationship, have become the foundation of the firm’s success.
Littman Krooks LLP offers legal services in several areas of law, including elder law, estate planning, special needs planning, special education advocacy, and corporate and securities. Their offices are located at 399 Knollwood Road, White Plains, New York; 655 Third Avenue, New York, New York; and 300 Westage Business Center Drive, Fishkill, New York. For more information about Littman Krooks LLP, visit the website at: www.littmankrooks.com.
New York Contact:
Maria M. Brill
Littman Krooks LLP
New York City Office
655 Third Avenue, 20th Floor
New York, New York 10017
(212) 490-2020 Phone
399 Knollwood Road
White Plains, New York 10603
(914) 684-2100 Phone
300 Westage Business Center Drive, Suite 400
Fishkill, NY 12524
(845) 896-1106 Phone
View Larger Map
- Seniors Affected By Housing Debt
Housing debt is affecting the retirement plans of a growing number of seniors. Paying off a home mortgage prior to retirement has traditionally been a key part of many people’s plan for their golden years, but today many seniors find themselves still in debt in their sixties and seventies. According to the Office for Older […]
- Planning for Diminished Capacity
Older investors are at risk for “diminished financial capacity,” or a decline in the ability to manage money and other assets in one’s own best interests. Such a decline is a problem in itself, and it also may make investors more vulnerable to fraudulent investments and other forms of financial abuse. In a recent bulletin, […]
- The Profile of the Family Caregiver in America is Changing
According to a new study from AARP and the National Alliance for Caregiving, family caregivers are a varied group. The report, Caregiving in the U.S. 2015, found that while the “typical” caregiver is a woman age 49 taking care of a relative, there are some surprising findings as well. Men, who are often stereotyped as […]
See other news sources publishing this article. BETA | Tags: new york elder law, new york elder law attorney, new york estate planning, new york estate planning lawyer, new york special needs, new york special needs attorney, new york special needs lawyer