CMS Offers Advance Payments to Physicians/Providers Affected by Cyberattack Disruption

Late February 2024, ChangeHealthcare faced a major cyber attack that disrupted its operations and raised concerns about the security of healthcare data. This incident highlighted the vulnerability of healthcare organizations to malicious threats and underscored the need for robust cybersecurity measures in the industry. In response to the attack, the Centers for Medicare & Medicaid Services (CMS) announced the implementation of advance payments to assist healthcare providers affected by the disruption in services. These advance payments aim to ensure continued access to care for patients and help healthcare providers navigate the challenges posed by cyber attacks. The CMS payment program aims to expedite payments to Medicare providers affected by the February cyberattack on Change Healthcare's claims-processing systems. This initiative, named Change Healthcare/Optum Payment Disruption (CHOPD), follows advocacy from the American Medical Association (AMA) due to the estimated $100 million daily financial impact on healthcare. AMA President Jesse M. Ehrenfeld highlighted concerns for small practices and those serving underserved populations. The program allows providers to apply for payments covering up to 30 days of claims, based on past averages. However, repayment is required over 90 days through automatic recoupment from Medicare claims. Physicians must certify eligibility and acknowledge payment terms, including immediate repayment. CMS encourages collaboration with local Medicare administrative contractors. The agency commits to monitoring the situation and supporting affected Medicaid providers. Overall, the program aims to mitigate financial disruptions caused by the cyberattack, demonstrating CMS's commitment to supporting the healthcare system.

https://www.ama-assn.org/practice-management/sustainability/cms-advance-pay-doctors-affected-disruptive-cyberattack