CMS Ends Cyberattack Relief Program: Key Takeaways for Healthcare Providers

CMS Ends Cyberattack Relief Program: Key Takeaways for Healthcare Providers

The Centers for Medicare & Medicaid Services (CMS) has announced the end of its Accelerated and Advance Payment (AAP) program, which provided financial relief to healthcare providers impacted by the Change Healthcare/UnitedHealth Group cyberattack last winter. Launched in March 2023, the program aimed to support hospitals and practices facing significant reimbursement delays due to the attack.

Program Impact

• Financial Aid: The AAP program advanced over $2.55 billion to more than 4,200 Part A providers, including hospitals, and over $717 million to Part B suppliers, such as physicians and equipment suppliers.

• Application Deadline: The program will stop accepting applications after July 12, 2024.

• Repayment: CMS reported that 96% of early payments have been recovered through automatic recoupment from Medicare claims.

CMS Response

CMS Administrator Chiquita Brooks-LaSure highlighted the agency’s swift action, stating, "In the face of one of the most widespread cyberattacks on the US healthcare industry, CMS promptly took action to get providers and suppliers access to the funds they needed to continue providing patients with vital care."

Ongoing Concerns

Despite the program's success, healthcare organizations remain concerned about the long-term impacts of the cyberattack. Ben Teicher from the American Hospital Association noted that "the aftereffects of this event will likely be felt throughout the remainder of the year," with issues around claim processing, denial appeals, and access to billing information still prevalent.

Charlene MacDonald from the Federation of American Hospitals emphasized the financial burden on providers, stating that some are "still feeling the effects of care denials and delays caused by insurer inaction." She called for holding plans accountable for delaying and denying needed patient care.

Cyberattack Impact

The ransom-based cyberattack targeted Change Healthcare, a subsidiary of UnitedHealth Group, disrupting cash flows at hospitals and medical practices. By late March 2023, UnitedHealth Group reported that nearly all medical and pharmacy claims were processing correctly.

Looking Ahead

As the healthcare industry recovers, the end of the AAP program is a significant milestone. Providers must stay vigilant and prepared for future challenges. The collective efforts of the healthcare community to support and advocate for necessary changes will be crucial in ensuring stability and resilience against potential cyber threats.

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Source: https://www.medscape.com/viewarticle/cms-announces-end-cyberattack-relief-program-2024a1000bqj