CMS delivers providers payment lifelines in the wake of Change Healthcare outage

Federal regulators are opening pathways to shore up nursing homes’ finances in the wake of a cyberattack that has impacted Medicare and Medicaid billing nationwide. 

Specifically, the Centers for Medicare & Medicaid services will be considering applications for accelerated payments for Medicare Part A providers and advanced payments for Part B suppliers.  

Medicaid providers also have been struggling with cash flow problems in the wake of the cyberattack on Change Healthcare, the nation’s largest healthcare billing clearinghouse — a fact that CMS acknowledged in a statement. 

“CMS also recognizes that many Medicaid providers are deeply affected by the impact of the cyberattack,” the agency said. “We are continuing to work closely with States and are urging Medicaid managed care plans to make prospective payments to impacted providers, as well.” 

Providers can request accelerated or advanced payments up to an amount equal to the monthly average payment they received between August and October of 2023, according to a CMS fact sheet.  

The funds will be considered an advance, not a loan, and CMS is reserving the right to recoup payments and conduct audits as necessary in the future. 

Long-term care leaders have praised the relief actions as important steps to keeping the sector.