A new bill introduced by a bipartisan group in Congress seeks to ban fees on electronic healthcare payments from insurance companies, which cost hospitals millions and are a particular burden on hospitals in rural areas, according to a November 28 press release. The bill is called the No Fees for EFTs Act.
The Affordable Care Act requires health plans to offer medical practices the option to receive reimbursements electronically. Insurers impose charges between 2% and 5% on providers for these electronic fund transfers (EFTs).
Over 75% of the annual revenue of the Medical Group Management Association is via EFTs, costing up to $1,000,000 annually. Congressman Greg Murphy, MD, noted that these electronic payments are necessary for essential health services and compared these “predatory” fees to fees on the direct deposit of a paycheck, which is not legally allowed.
The American Medical Association supports the No Fees for EFTs Act as an important step to reduce burdens on doctors and healthcare systems and direct more dollars toward improving patient care.Read More >>