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FP Report
January 2003 • Volume 9 • Number 1

Academy asks patients to fight Medicare fee cuts

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"We don't want to turn anyone away, but we have to pay our bills," says AAFP President James Martin, M.D., left, during a Nov. 19 AMA-sponsored news conference urging Congress to fix the Medicare fee schedule.

In a landmark decision, the AAFP Board of Directors has asked family physicians to engage patients in the fight for fair payment for Medicare services. A 4.4 percent cut in Medicare payments looms for 2003, probably effective in February, on top of the 5.4 percent cut in 2002. If the formula used to set Medicare fees is not corrected, payment will have plummeted 20 percent from 2001 to 2005.

Family physicians have already let Congress know what they think about the arcane formula for setting Medicare fees. FPs have sent Congress more than 12,000 e-mails since September 2001, when word first spread about the 5.4 percent cut for 2002. AAFP leaders testified to Congress on the issue -- for patients' sake -- and many medical organizations, including the Academy, lobbied Congress repeatedly.

The House of Representatives got the message.

Last June, the House passed an AAFP-endorsed bill that would have increased physician payment rates under Medicare for 2003 ­ 2005 and would have given Congress time to fix the formula.

News conference

AAFP President James Martin, M.D., of San Antonio asked the Senate to do its part when he participated in an AMA-sponsored news conference Nov. 19 in Washington. "More and more physicians simply cannot afford to provide health care while Medicare payments continue to decline," said Martin. "We don't want to turn anyone away, but the payment shortfall makes it difficult to keep our offices open, pay our bills and meet our payrolls."

The Senate, however, failed to follow the House's lead. No vote; no bill for President Bush to sign; no change.

President's Letter

Now there's a narrow window of opportunity early this month for Congress to take action. So the Academy has tried to galvanize citizens' support for fair reimbursement for Medicare services.

"Medicare patients will undoubtedly suffer from these payment cuts," said Martin in a letter to AAFP active members last month. "As we find it difficult and perhaps impossible to accept new Medicare patients, they will have dwindling health care options, longer waits for fewer available physicians, more out-of-pocket expenses and perhaps longer trips to more distant health care facilities."

"My own experience with patients indicates they are able and willing to take action on health care issues if given some support."
-- James Martin, M.D.

Martin asked family physicians to meet with lawmakers face to face. "Tell them to fix the Medicare payment problem," he said.

Then he offered AAFP members talking points to use to broach the topic of the Medicare fee schedule with patients. He also attached a sample letter patients could send their lawmakers.

"My own experience with patients indicates they are able and willing to take action on health care issues if given some support, such as the sample letter," said Martin.

Martin's letter to AAFP members, along with the talking points and the sample letter for patients to send legislators, is at http://www.aafp.org/presidentsletter.xml.

Medicare participation

Since Medicare payments are dropping, you may wish to review your options concerning Medicare participation. Check AAFP's Web site at http://www.aafp.org/mcareoptions.xml for information prepared by the AMA on the three participation options.

Briefly, you may choose to be a participating physician, be a nonparticipating physician (charging patients up to about 9.25 percent more than the Medicare allowed amount for participating physicians), or use private contracting with each Medicare patient (opting out of any Medicare payments for two years and having no limits on charges).

The Academy advises members to contact their state medical boards to determine whether their states require being a participating physician in Medicare as a condition of licensure.


FP Report is published by the AAFP News Department.
Copyright © 2003 by American Academy of Family Physicians.


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