Numerous clinical labs are tied up in bankruptcy court as Medicare seeks repayment for various tests, according to a Kaiser Health News analysis.
Here are five things to know.
1. At least six clinical labs accused of overcharging Medicare remain involved in bankruptcy court. These include Houston-based CompanionDX Reference Lab, Charleston, S.C.-based Iverson Genetic Diagnostics, Louisville, Ky.-based PGXL Laboratories, Renton, Wash.-based Natural Molecular Testing Corp., and Richmond, Va.-based Health Diagnostic Laboratory.
2. The labs reportedly performed urine, genetic or heart disease tests that Medicare deems were overcharges because they weren't considered "medically necessary."
3. Medicare faces challenges in receiving repayment, as some physician-owned labs have tried to avoid paying, and several indebted testing firms "appear to have few assets to repay overcharges dating back years," according to KHN, which cites court records.
4. Labs, however, have contested Medicare's findings, according to the report.
5. Neither CMS nor the U.S. Department of Justice commented to KHN, the report states.
For more on this story, including information about the individual lab cases, read KHN's full report here.