The NHIC Corp., a subsidiary of global technology company EDS, has been awarded a $148 million contract to administer Part A and Part B Medicare claims payments to healthcare providers in four Northwestern states.
The one-year contract includes four one-year options and will serve approximately 54,000 physicians and practitioners and 233 Medicare hospitals in Alaska, Idaho, Oregon and Washington.
NHIC will provide a variety of Medicare administrative functions for hospitals, skilled nursing facilities and physicians in these regions and will be the providers' first point of contact for the processing and payment of Medicare fee-for-service claims.
"This is another step toward improving service to beneficiaries and healthcare providers as well as giving CMS greater oversight of the Medicare contractors that process and pay Medicare claims," said CMS Acting Administrator Kerry Weems.
NHIC is reportedly one of the largest Medicare Part B contractors in the country, serving more than 150,000 healthcare providers in California, Maine, Massachusetts, New Hampshire and Vermont.
NHIC will also provide a wide range of additional administrative services, including appeals, audit and reimbursement, provider enrollment, educational outreach, print and mail services, financial and accounting services, contact center, electronic data interchange, mailroom operations and medical and utilization review.
The contract will help CMS fulfill the contracting requirements of the 2003 Medicare Modernization Act, which requires the agency to transition Medicare fee-for-service claims from fiscal intermediaries and carriers to the Medicare Administrative Contractors.
"The breadth of skills and experience from EDS' subsidiary, NHIC, will help CMS achieve its goal of consolidating its benefits processing operations while saving money, promoting innovation and increasing operational excellence," said Dennis Stolkey, vice president and general manager of EDS' U.S. Government and Public Sector.