What does the Stark Law prevent?
The Physician Self-Referral Law, also known as the “Stark Law,” generally prohibits a physician from making referrals to an entity for certain healthcare services, if the physician has a financial relationship with the entity.
Why was the Stark Law created?
According to Congressman Stark, the initial purpose of the law was to stop those healthcare providers with bad intentions, not muddy the waters for all healthcare providers. He stated, “Those complications were added by high-priced lawyers who tried to build loopholes for their clients.
What is the main intent of Stark laws?
What is the main intent of the Stark laws? Prohibit self-referral by physicians to facilities in which they have an ownership interest.
Can a doctor refer themselves to another doctor?
Physician self-referral is a term describing the practice of a physician ordering tests on a patient that are performed by either the referring physician himself or a fellow faculty member from whom he receives financial compensation in return for the referral.
When was Stark Law created?
The Stark law gets its short-form name from the law’s chief sponsor, U.S. Rep. Fortney (Pete) Stark, Jr., D-Calif and was enacted in 1989.
Why is the Stark Law important?
The Stark Law was enacted in 1989 with an objective to protect Medicare, Medicaid, and their beneficiaries from unnecessary costs and other harms that may occur when a physician has a financial relationship with a healthcare entity that he/she refers patients to.
What is self-referral disclosure protocol?
The CMS Voluntary Self-Referral Disclosure Protocol (SRDP) enables providers of services and suppliers to self-disclose actual or potential violations of the physician self-referral statute. The following table displays settlements to date and will be updated on a yearly basis.
What do the terms kickback and self-referral describe in the healthcare setting?
Self-Referral vs. An illegal kickback involves remuneration paid in exchange for any referral for patient services, equipment, or supplies for which payment is made under a federal healthcare benefit program. Additionally, under the Stark Law, only improper referrals and claim submissions can trigger liability.
What is a medical kickback?
It’s simple to define what kickbacks in health care are. If a physician or medical provider uses any payment or compensation to encourage a patient to come to their office, or to encourage another medical provider to refer patients to their office or facility, that is a kickback.
Can a Doctor refer a patient to a hospital outside practice?
Such arrangements can undermine a robust commitment to professionalism in medicine as well as trust in the profession. In general, physicians should not refer patients to a health care facility that is outside their office practice and at which they do not directly provide care or services when they have a financial interest in that facility.
Does the Agreement prohibit physician-owners/investors from participating in or referring patients?
Does not prohibit physician-owners/investors from participating in or referring patients to competing facilities or services. Adheres to fair business practices vis-à-vis the medical professional community—for example, by ensuring that the arrangement does not prohibit investment by nonreferring physicians.
Are self-referral arrangements with patients ethically challenging?
However, these arrangements can also be ethically challenging when they create opportunities for self-referral in which patients’ medical interests can be in tension with physicians’ financial interests. Such arrangements can undermine a robust commitment to professionalism in medicine as well as trust in the profession.
What are the requirements of self-referral?
When physicians enter into arrangements that provide opportunities for self-referral they must: Ensure that referrals are based on objective, medically relevant criteria. Is structured to enhance access to appropriate, high quality health care services or products. Is within the constraints of applicable law.