New Thresholds for 2nd Demand Letter for Physicians/Suppliers
CMS currently utilizes a threshold of $50 when issuing
a 2nd demand letter to physicians/suppliers. However, CMS must send an intent to refer
letter for referral to the Department of Treasury for all debts greater than or equal to $25.
This created an inconsistency in the policies and the number of demand letters providers
received. To address the inconsistency, this change request changes the threshold for
issuing a 2nd demand letter to $10. Overpayments greater than or equal to $10 will now
receive a 2nd demand letter. If the debt is eligible for referral to the Department of
Treasury and if the overpayment is greater than $25 it shall receive an intent to refer letter
following existing policies.
Issued by: Centers for Medicare & Medicaid Services (CMS)
Issue Date: August 12, 2005
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