The problem with Medicare reimbursement.
40% of air ambulance patients are on Medicare, and the Centers for Medicare and Medicaid Services (CMS) hasn’t updated Medicare’s air ambulance reimbursement rate in more than 20 years.
The average Medicare reimbursement covers 59% of actual transport costs.
This is a threat to the health care system in rural America, because if providers aren’t reimbursed properly, air medical bases will close and patients will be left without options in an emergency.
How can we fix Medicare reimbursement rates to protect this part of the health care system?
Last Congress, U.S. Senators Michael Bennet (D-CO) and Marsha Blackburn (R-TN) and Representatives Ron Estes (KS-04) and Suzan DelBene (WA-01) introduced the Protecting Air Ambulance Services for Americans Act - a bipartisan, bicameral bill to modernize Medicare reimbursement rates for air ambulance service.
This legislation would give the Centers for Medicare and Medicaid Services (CMS) the authority to update Medicare reimbursement rates based on transport cost data already being collected by the U.S. Department of Health and Human Services (HHS) under the No Surprises Act. This legislation would also require the Government Accountability Office (GAO) to produce a report analyzing average costs per base and transport, the payor mix for air ambulance services, adequacy of Medicare reimbursement, geographic variations in costs of providing services, and other key factors that will help improve the air ambulance fee schedule.
Looking ahead
We encourage Congress to take up this important issue to ensure air medical providers are reimbursed appropriately. If passed, air medical bases will be able to continue providing lifesaving care and transport for the millions of rural Americans who are dependent on the service.
Visit the Take Action page to encourage Congress to stand up for seniors and rural communities.