Audit Shows Medicaid Payments for the Dead

I have written about how public payers should not cover medical treatment for those in a persistent vegetative state or for those with an infinitesimal prospect of benefit.  But surely, an even easier case can be made that public payers should not pay for medical treatment for individuals who are dead.  Unfortunately, a non-insignificant amount of money is spent for the treatment of such individuals.

The Maryland Department of Legislative Services' Office of Legislative Audits released an audit earlier this month showing that Maryland's Medicaid agency has not ended payment of Medicaid fees for all enrollees who die outside the state.  Auditors found that the state paid at least $426,403 in Medicaid fees between Jan. 1, 2008, and Aug. 31, 2011, relating to the coverage of 10 people who had died.  Most of the improper payments were monthly capitation fees paid to Medicaid managed care organizations.  (HT: Am Med News)