First few Article Sentences
Medicare processes approximately 1.3 billion claims annually, and it is estimated that 4% of Medicare dollars are paid based on claims that are not in compliance with Medicare coverage, billing, coding, and payment regulations. The federal government estimates $10.8 billion in Medicare dollars are paid improperly. To help curb the tide of improper payments, Congress authorized the Recovery Audit Program. As an incentive to recover fraudulently paid claims, the auditors are paid a 20% contingency fee based on overpayments collected.