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HEALTH TERM - BENEFICIARY LIABILITY

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Beneficiary Liability

Definition: The amount beneficiaries must pay providers for Medicare-covered services.

Liabilities include copayments, deductibles, and balance billing amounts.

The
Centers for Medicare and Medicaid Services (CMS) has very strict rules about health providers billing patients for their liabilities.

Cost based facilities are not allowed to charge non-payment by beneficiaries to bad debt unless a clear history of collection activity is recorded.


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