United States. Bills introduced to the U.S. House of Representatives and Senate propose a pilot smart card program for Medicare beneficiaries. H.R. 3220 was introduced by Rep. Peter Roskam (R-Ill.) and S. 1871 by Sen. Mark Kirk (R-Ill.). Both projects were sent to committee.
The legislation advocates for a Medicare Common Access Card, taking its name from the smart card that is issued to Defense Department employees. If Congress passes it and signs it into law, the bill calls for the Department of Health and Human Resources to initiate a pilot smart card program for Medicaid recipients.
The Medicare identity card has no actual security features and displays an individual's social security number. The Medicare Common Access Card Act would use the same type of smart card technology that the Department of Defense employs to make Medicare cards more secure. Chip technology would keep personal information secure and give Medicare beneficiaries assurances that their billing is accurate when they visit their doctor.
The objectives of the pilot programme would be:
Raise the quality of care provided to Medicare beneficiaries
Improve the accuracy and efficiency of billing for Medicare items and services
Decrease the potential for identity theft and other illegal uses of Medicare beneficiary identifying information
Reduce waste, fraud and abuse in the program
This is not the first time Kirk has proposed such legislation. These bills follow in the footsteps of a GAO report examining the possibility of using machine-readable technology for beneficiaries to reduce fraud.
It is estimated that $60 billion is lost each year due to waste, fraud and abuse on Medicare. Using a smart card would apply to the "pay and chase" system. Currently the government pays Medicare reimbursements without first verifying the validity of the charges and then, if the charges prove to be fraudulent, tries to track down those responsible.
Co-sponsors of the legislation include Sen. Marco Rubio (R-Fla.) and U.S. Rep. Earl Blumenauer (D-Ore.).
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