CBO revises estimate on self-referral costs

The Congressional Budget Office (CBO) has reported that Medicare could save approximately $3.4 billion over 10 years if a loophole in the self-referral law is closed.

The CBO's new savings estimate nearly doubles its previous estimate, and fuels the stance that the in-office ancillary services loophole results in unnecessary patient care and substantial costs to Medicare.

In the meantime, the American Society for Radiation Oncology (ASTRO) is urging Congress to close the loophole by passing the Promoting Integrity in Medicare Act of 2013 (HR 2914).

The organization also recommends that Centers for Medicare and Medicaid Services (CMS) consider requiring all physicians who self-refer radiation therapy services to provide CMS with all financial relationship information, whether direct or indirect, related to the physician's group practice.

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