Prompt Reporting and Oversight for Medicare Providing Transparency Act; PROMPT Act
Summary
The PROMPT Act aims to amend Title XVIII of the Social Security Act, mandating the Secretary of Health and Human Services to provide Medicare beneficiaries with an explanation of benefits (EOB) within 30 days after a service is rendered. This is intended to increase transparency and oversight in the Medicare program. The bill was introduced in the House of Representatives and referred to the Committees on Ways and Means and Energy and Commerce.
Expected Effects
If enacted, the PROMPT Act would require more timely communication of benefit information to Medicare recipients. This would give beneficiaries quicker access to information about the services they received and the associated costs. It could also lead to earlier detection of errors or fraud.
Potential Benefits
- Increased transparency in Medicare billing.
- Beneficiaries receive timely information about healthcare services and costs.
- Potential for earlier detection of billing errors or fraudulent activities.
- Empowers beneficiaries to better manage their healthcare expenses.
- May encourage more informed healthcare decisions.
Most Benefited Areas:
Potential Disadvantages
- Potential administrative burden on the Department of Health and Human Services.
- Possible increased costs associated with generating and distributing EOBs more frequently.
- May require additional resources for handling beneficiary inquiries related to the more frequent EOBs.
- Could lead to confusion if beneficiaries are overwhelmed by the increased frequency of communication.
- The bill does not address the complexity of the EOBs themselves, which can be difficult for some beneficiaries to understand.
Constitutional Alignment
The PROMPT Act appears to align with the general welfare clause of the Constitution, as it seeks to improve the Medicare program and provide better information to beneficiaries. Article I, Section 8 grants Congress the power to lay and collect taxes, duties, imposts and excises, to pay the debts and provide for the common defense and general welfare of the United States. This bill falls under the purview of providing for the general welfare through healthcare provisions.
Impact Assessment: Things You Care About ⓘ
This action has been evaluated across 19 key areas that matter to you. Scores range from 1 (highly disadvantageous) to 5 (highly beneficial).