CMS Alert: Time Frame for Conditional Payment Debts

CMS issued an alert August 5, 2015, regarding a change in the time frame in which outstanding conditional payment debts are referred to the Department of Treasury (DOT) for collection.

Beginning October 1, 2015, delinquent debts for both Non-Group Health Plans (including self-insurance, liability, no-fault, and workers’ compensation) and Group Health Plans will be referred to the DOT for collection 120 days after payment is due.  Currently, debts are referred to the DOT when payment is 180 days past due.

This reduction in the time frame for referral of delinquent debts is an outcome of the Digital Accountability and Transparency Act (DATA Act), which was signed into law in May 2014.

Read the full alert here.