From Allegations to Actions: Examining the Impact of Fraud Reporting Mechanisms in Healthcare

Author:

Amponsah Isaac Asamoah1

Affiliation:

1. University of Illinois Springfield

Abstract

Abstract

Introduction: The U.S. healthcare sector is characterized by a diverse mix of public and private funding and provision, resulting in a lack of a singular governing philosophy. Both the public and private sectors are known for providing high-quality medical services. However, since 1980, healthcare spending in the U.S. has substantially increased. The immense size and financial resources of the healthcare sector make it a prominent target for fraudulent activities. Aim This study investigated the impact of collaborative efforts between managed care organizations (MCOs) and oversight agencies on the detection and reduction of healthcare fraud within the Illinois Medicaid program. Method This study examines how collaboration between MCOs and oversight agencies impacts healthcare fraud in Illinois Medicaid. A FOIA request for complaint data was sent to the Illinois Department of Healthcare and Family Services. The Illinois Medicaid Office of the Inspector General oversees program integrity and maintains e database to prevent the enrollment of excluded providers. Results As of September 20, 2023, 2,741 providers were sanctioned, including 857 physicians, 679 waiver service providers, 159 pharmacies, and 157 Medicare providers. Over the period from September 2022 to August 2023, 1,059 fraud referrals were recorded, with internal data mining contributing the most (448) and County Care being the top-referring MCO (260 cases). The collaborative efforts between MCOs and the Medicaid – Office of Inspector General led to the identification of $23,830,110 in questioned costs, resulting in a recovery of $13,441,726 in fiscal year 2021. Conclusion/Recommendation: The findings emphasize the significance of data sharing and transparency in the fight against fraud. The imposition of sanctions on errant healthcare providers has emerged as a key deterrent against fraudulent activities. To combat fraud and information gaps, a comprehensive strategy is needed. This includes empowering patients, improving communication, using advanced analytics, and enforcing regulations. User-friendly digital platforms provide reliable information, enabling informed decisions and reducing disparities. Strengthened collaboration and advanced analytics are crucial for early fraud detection, preserving healthcare integrity, and preventing financial losses.

Publisher

Research Square Platform LLC

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