By Fisher, JD, CHC, CCEP
OIG Finds Low Fraud Risk in IT Donation Supporting Telemedicine Consultations
Overview
In Advisory Opinion No. 18-03, the Office of Inspector General of the U.S. Department of Health and Human Services concluded that a proposed donation of information technology equipment and services to support telemedicine consultations presented a low risk of fraud and abuse. The arrangement could implicate the federal Anti-Kickback Statute and Civil Monetary Penalties Law, but the OIG stated that it would not impose sanctions because the donation was limited to telemedicine support, included meaningful safeguards, and expanded access to care for underserved patients.
Key Safeguards
- The donated equipment and services would be used solely to facilitate telemedicine encounters.
- The donation would not duplicate existing resources available to the County Clinic.
- The arrangement would not include marketing or promotion of the Provider’s other services to the County Clinic’s patients.
Practical Takeaway
The OIG recognized that the arrangement would advance access to care for underserved populations and improve efficiency in the delivery of health care services. Advisory Opinion No. 18-03 therefore provides useful guidance for health care providers considering similar telemedicine collaborations.
Providers should structure telemedicine support arrangements with clear safeguards, a documented patient-care purpose, and careful attention to federal fraud and abuse laws. They should also evaluate the facts and circumstances of each proposed arrangement and consider seeking an advisory opinion when uncertainty exists regarding the application of federal law.
For More Information
For additional information or guidance on structuring telemedicine collaborations in compliance with federal fraud and abuse laws, please contact our health care law team.
Background on the Proposed Arrangement
The Advisory Opinion addressed an arrangement under which a federally qualified health center look-alike would donate free information technology-related equipment and services to a county health clinic. The donated technology would support telemedicine encounters with the County Clinic’s patients.
The OIG concluded that, although the Proposed Arrangement could potentially generate prohibited remuneration under the federal Anti-Kickback Statute and Civil Monetary Penalties Law if undertaken with the requisite intent to induce or reward referrals of federal health care program business, it would exercise its discretion and not sanction the parties involved.
Significance for Telemedicine Collaborations
The OIG’s analysis offers insight into the government’s view of technology donations that support telemedicine, particularly as coverage and reimbursement of telemedicine services continue to expand under federal health care programs. The Advisory Opinion indicates support for collaborative telemedicine affiliations when appropriate safeguards reduce the risk that donated technology will be used to induce or reward referrals rather than to improve patient access and care delivery.
