Congressman Brendan Boyle Introduces Medicare Smart Card Act

Washington, DC- Today, Congressman Brendan Boyle (D-PA-13) joined a bi-partisan coalition to introduce H.R.3220, the Medicare Common Access Card Act. The bill would require the Department of Health and Human Services to initiate a "smart card pilot program" and issue new, more secure Medicare cards to select participants. These new cards would better protect personal information by moving it from the front of the card to a secure, encrypted microchip inserted into the card. The chip technology would keep personal information more secure from fraud, hacking and identity threats, and give Medicare beneficiaries assurances their billing is accurate when they visit their doctor.

"This legislation represents an important modernization and security improvement for Medicare recipients and the doctors who treat them," said Congressman Boyle. "It will help cut down on the billions of dollars a year lose to waste, fraud and abuse in Medicare while protecting seniors from security threats and updating our outdated billing system."

The goals of the pilot include:

• Increasing the quality of care furnished to Medicare beneficiaries
• Improving the accuracy and efficiency in the billing for Medicare items and services
• Reducing the potential for identity theft and other unlawful use of Medicare beneficiary identifying information
• Reducing waste, fraud, and abuse in the Medicare program.

According to the nonpartisan Office of Management and Budget, an estimated $60 billion each year is lost to waste, fraud and abuse in Medicare. Using a smart card would update and correct the current "pay and chase" system. Today, the government pays Medicare reimbursements without first verifying the validity of the charges and then, if the charges prove to be fraudulent, attempts to track down those responsible. The bill was introduced by Reps. Boyle, Blumenauer, Costello and Dold.