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With Genetic Test Codes Developed, CMS Undecided On How To Pay For Them

This article was originally published in The Gray Sheet

Executive Summary

Specific reimbursement codes have been developed for the first time for more than 100 genetic tests, but they will not be adopted by Medicare until at least 2013 as CMS figures out how to incorporate them into the payment system.

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Molecular Dx Labs Fret Over Medicare Payment Setting, Or, In Some Cases, Lack Thereof

The industry’s angst is growing several months after CMS announced a plan to task contractors with independently setting regional payments for more than 100 new molecular diagnostic codes. A breakdown in the process so far, stakeholders say, could have a lasting impact on small, venture-backed labs.

CMS Signals Clinical Lab Fee Approach For Molecular Test Codes

The agency did not make any final decisions in a recent proposal tied to its annual clinical lab fee setting process, but CMS gave a sense that at least some of the 101 newly created genetic test codes would be paid for under the lab fee schedule, rather than the physician fee schedule, using the “gap-fill” process.

CMS Signals Clinical Lab Fee Approach For Molecular Test Codes

The agency did not make any final decisions in a recent proposal tied to its annual clinical lab fee setting process, but CMS gave a sense that at least some of the 101 newly created genetic test codes would be paid for under the lab fee schedule, rather than the physician fee schedule, using the “gap-fill” process.

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