AAOS: Medicare Reimbursements Steadily Decline

The American Association of Orthopaedic Surgeons conducted an analysis of trends in Medicare reimbursements for orthopedic surgeons, and found a steady drop in rates since the early 1990s, according to an AAOS Now report.

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Reimbursements for common orthopedic CPT codes lag behind inflation, so the negative gap between what surgeons pay in operational costs and what they receive in Medicare payments has progressively widened over the past 18 years.

Also, when the Sustainable Growth Rate formula was enacted in 1997, it tracked healthcare costs and the overall economy. But by 2001, healthcare costs outpaced economic growth, and the SGR called for cuts in Medicare payments.

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