House Oversight chair asks CMS how CPT coding complexity fuels improper billing

Summary: Congress is taking a hard look at the American Medical Association (AMA) and its massive system of medical billing codes, known as CPT codes. Every time you visit a doctor or hospital, these codes are used to figure out how much you and your insurance should pay. Right now, there are over 11,000 different codes.

Lawmakers, led by Senator Bill Cassidy and Representative James Comer, argue that this system is way too confusing. They say this extreme complexity makes it easy for billing errors and overcharging to happen, which costs patients a lot of money. Cassidy, who is a doctor himself, is also calling out the AMA for running what he calls a "government-backed monopoly." The AMA makes hundreds of millions of dollars by charging doctors, hospitals, and software companies fees to use their code system.

The lawmakers are demanding answers from the AMA about why the fees are so high and how the money is being spent. Cassidy is especially concerned that the AMA is using the money made from these billing codes to fund political agendas, like diversity programs and gender-affirming care, instead of focusing on patients. The AMA has defended its process, saying it takes a lot of work to keep the codes updated for modern medicine, but they have promised to respond to Congress's questions.

For more details, see rssapp-fiercehealthcare-com at fiercehealthcare.com/regulatory/american-medical-associations-handling-cpt-codes-enters-congress-crosshairs (opens in new tab)

Tags

Cost Control
American Medical Association
Pensions