Follow The Money –
March 28, 2018 – A California lawmaker is seeking to rein in addiction treatment centers and dialysis providers accused of profiteering off vulnerable patients by collecting millions of dollars in inflated medical claims … Representatives of the addiction treatment industry acknowledge cases of fraud and abuse exist in patient referrals, billing and payment of premiums. But they don’t think that this state proposal would be as effective as stronger enforcement of federal anti-kickback laws that target patient-steering and conflicts of interest. Stampp Corbin, president of the Addiction Treatment Advocacy Coalition, a nonprofit group in Los Angeles that represents California’s for-profit treatment centers, said the bigger problem is that insurers improperly withhold payments for drug treatment or vastly underpay for services. He said that makes rehab centers less likely to accept new patients at a time when demand is skyrocketing. “This bill is just a Band-Aid,” Corbin said. “It’s not addressing any of the issues created by health plan underpayments or lack of payment.”
