Medicare: Comparative Information on Medicare and VA Patients, Services, andPayment Rates for Home Oxygen

摘要

We recently reported to the Senate Committee on Finance that Medicare's feeschedule allowances for home oxygen are significantly higher than the rates paid by the Department of Veterans Affairs (VA). Our analysis showed tat even after adding a 30-percent adjustment to VA rates to account for differences between the Medicare and VA programs, Medicare would have saved over $500 million in fiscal year 1996 had it reimbursed oxygen suppliers at the adjusted VA rates. As agreed with your office, we are providing you with additional information on our analysis of the Medicare and VA payment rates. Specifically, this correspondence addresses questions and criticisms raised by the home oxygen industry about (1) the comparability of the Medicare and VA home oxygen patient populations used in our analysis, (2) differences in the frequency and quality of services Medicare and VA expect from their suppliers, (3) differences in use of portable oxygen equipment and supplies by Medicare and VA patients, and (4) the rates paid for home oxygen by other insurers.