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- 80% of Practices Report Lost Revenue in AMA Change Healthcare Cyberattack Survey Results
On April 10, the American Medical Association (AMA) released informal survey findings showing the impact of the Change Healthcare cyberattack. The informal survey involved a convenience sample of more than 1,400 respondents that demonstrates significant problems continue, especially for small practices (practices with 10 or fewer physicians). According to the survey, which was conducted from March 26 to April 3, restricted functionality since the cyberattack has resulted in issues with claims and benefits, and negative effects on revenue.
Issues with claims and benefits:
- 36% of respondents reporting suspension in claim payment
- 32% unable to submit claims
- 22% unable to verify eligibility for benefits
Negative effects on revenue:
- 85% had to commit additional staff time and resources to complete revenue cycle tasks
- 80% reported lost revenue from unpaid claims
- 51% lost revenue from the inability to charge patient co-pays or remaining obligations
- 55% had to use personal funds to cover practice expenses
- 44% were unable to purchase supplies
- 31% were unable to make payroll
In addition to using personal funds, respondents reported utilizing advance payments, temporary funding assistance, and loans. Respondents have received assistance from the Centers for Medicare & Medicaid Services (12%), state Medicaid plans (0.7%), UnitedHealth Group/Optum (25%), and other health plans (4.5%).
Last week, the AMA convened stakeholders, including the CAP, to discuss issues with the Centers for Medicare and Medicaid Services (CMS) and Change Healthcare, providing updates for physicians and practices. Additionally, Change Healthcare is allegedly being extorted by a second ransomware gang after an initial attack back on February 21. Change Healthcare has stated this is an issue that continues to unfold in real time as critical health care services have been disrupted for over 6 weeks since the first attack.
UnitedHealth Group has stated that it continues to make progress in mitigating the impact to consumers and care providers, while expanding financial assistance to affected providers. Visit their dedicated webpage for information about the temporary funding.
The CAP has continually monitored the impact the attack has had on pathology practices and laboratories and continues to share resources to assist pathologists managing the fallout and will continue to work with the AMA and others to gather and disseminate the latest information on new developments.
For more information, the AMA press release is here. Click here for additional resources to help pathologists navigate these ongoing issues.