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CMS Paid Medicare Drug Costs for Deceased Patients, Audit Reveals
Health Leaders Media

The federal government paid $3.61 million to reimburse private drug plans the cost of prescriptions for Medicare patients who had died a month or more earlier, according to an audit by the U.S. Office of Inspector General.

Improper payments were made for 1,500 of 2.7 million deceased enrollees over a 25-month period spanning 2005 to 2007, less than 1% of those who died, but the problem was that the Centers for Medicare & Medicaid Services categorized these deceased enrollees as alive or having different dates of death than those listed in the Social Security Administration’s master files.