CMS Overpayment in Change Healthcare Hack Relief Funds Affects Hospitals
A University of Minnesota analysis has revealed that the Centers for Medicare & Medicaid Services (CMS) overpaid many hospitals while missing others in its relief program following the 2024 Change Healthcare cyberattack. The Change Healthcare/Optum Payment Disruption (CHOPD) program, which distributed $3.3 billion in accelerated payments, was intended to support providers whose revenue cycles were disrupted by the cyberattack. However, the study found that a third of the hospitals received more than $1 million in excess of their Medicare revenue losses, while another third did not receive enough to cover their losses. The analysis identified 312 hospitals that did not receive any funds despite experiencing significant revenue disruptions. The findings, published in Health Affairs, suggest that the CMS relief program did not adequately target the highest-need recipients.