MedPAC Finds Limitations In How CMS Sets Medicare Lab Pay Rates

Medicare Payment Advisory Commission staff estimate CMS’ policy of basing Medicare laboratory pay rates on commercial-payer rates will save 24% on average once it is fully implemented, but they say the savings will vary based on the test type and warn independent labs’ overrepresentation in the data collection might skew rates to the lower end and affect patient access. MedPAC Vice Chair Paul Ginsburg said he would like to see more innovation with the CMS program, such as competitive bidding....