NCART: Medicaid Reimbursement Raises Needed for Complex Rehab Technology
Government Relations and Regulatory Assistance
on July 11, 2023
This article was originally featured in HME Business
NCART is urging state Medicaid programs to raise their reimbursement rates for Complex Rehab Technology (CRT).
In a June 26 announcement, NCART cited the rising costs of doing business in saying it “has contacted state Medicaid agencies to request increases to reimbursement rates for CRT. The Centers for Medicare & Medicaid Services (CMS) announced a Medicare inflation increase for all CRT providers which went into effect in January 2023; NCART is emphasizing the need for states to follow the lead of CMS and urging them to make similar reimbursement adjustments to ensure continued access to vital equipment.”
NCART said inflation and other rising costs have hurt CRT providers and manufacturers: “Increased shipping costs, which have risen up to 40 percent due to various charges and surcharges, coupled with soaring raw material prices, have forced major manufacturers to implement price increases. Additionally, increased delivery costs like gasoline prices have further burdened the industry.”
The organization added that unlike other industries, CRT suppliers cannot simply pass these higher costs on to their customers.
“CRT providers are bound by fixed Medicare, Medicaid, and third-party payer fee schedules, leaving them unable to raise prices to cover rising costs,” NCART said. “Without fee schedule adjustments that align with market realities, it becomes increasingly unsustainable for manufacturers and providers to maintain critical access for people with disabilities.”
Wayne Grau, NCART’s Executive Director, said in the announcement, “Complex Rehab Technology plays an irreplaceable role in maximizing independence, quality of life, and community access for individuals with significant disabilities. We are calling on payers to acknowledge the considerable cost increases associated with providing CRT equipment and make corresponding reimbursement adjustments. This is crucial to ensure that people in need can continue to receive the equipment they rely on.”