Addabbo Backs Bill To Cut Medicaid Fraud With Tech Methods
State Senator Joseph Addabbo Jr. (D–Howard Beach) has declared his support for a Medicaid reform bill which would utilize fraud prevention technology under which scanners would be used by hospitals, clinics and pharmacies to verify patient IDs to reduce fraud.
The plan would use biometric technology to measure and analyze biological data to measure and analyze human body characteristics such as DNA, fingerprints, eye retinas and irises, voice patterns, facial patterns and hand measurement for authentication purposes.
“The legislation will do away with the current and faulty practice of allowing each county to issue its own Medicaid card and strengthen identification requirements to access Medicaid services,” Addabbo said.
Medicaid payments will be stopped at the point of service rather than continuing with the current practice of pay and chase.”
Addabbo explained, “Billions of dollars in Medicaid fraud are being wasted annually in New York state, and with anticipated further major cuts in Medicaid funding on the horizon, I am hopeful that this legislation could result in saving the state needed funds and protect health care for many individuals.”
According to Addabbo, the state will spend over $54 billion in fiscal 2011-2012 on Medicaid. Experts predict that 10 percent, or over $5 billion, comprises fraudulent charges to the state’s health insurance program for the poor, disabled and elderly.
But the lawmaker believes we should cut out the fraud first, before the state cuts billions of dollars in vital services for our children and the elderly infirm.
Addabbo says the cost of introducing technology-driven reforms into the program is an estimated $20 million, and this can be raised by implementing a six-month penny per prescription charge for each of the $4 billion Medicaid-paid prescriptions written each year.
The legislation is now being reviewed by the senate’s Committee on Health.