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“Doc Fix” Made Permanent

April 15, 2015 Robert Sheen Affordable Care Act, Health Care Coverage
“Doc Fix” Made Permanent

The Senate and House approved a permanent repeal to a widely disliked formula used to pay doctors for services, and President Obama has indicated he will sign the bill. This will end more than a decade short-term measures that came to be known as the “doc fix.”

Doctors will now be encouraged to move their patients into risk-based models that base compensation on outcomes for patients rather than services .

The new system replaces a formula which required that any increase in payments to physicians be offset by savings in payments to hospitals and other .

The also extends the Children’s Health Insurance Program, or CHIP, by two years, and allocates $7.2 billion additional funding for community centers.

The the new approach is estimated at $200 billion, only about a third which will be offset by lower payments to other and increased fees to wealthier beneficiaries.

The House version the resulted from bipartisan negotiations led by House Speaker John Boehner and Minority Leader Nancy Pelosi. The Senate approved the measure by a vote 92-8, the final before a cut in payments to doctors more than 21% was about to become effective.

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Robert Sheen

Robert Sheen

Esq., is editor-in-chief of The ACA Times. He also is founder, president and CEO of Trusaic.

Robert Sheen is Founder and President of Trusaic. Robert is a graduate of the University of Southern California, in Business Administration with an emphasis in International Finance. He earned his Juris Doctor from Loyola Law School, Los Angeles, concentrating in Tax Law.

View more by Robert Sheen

Related tags to article

Affordable Care ActChildren’s Health Insurance ProgramDoc FixHealth Care CoverageJohn BoehnerNancy PelosiPresident ObamaSenate
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