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US · guidance

CMS Pub. 100-04, ch. 30, § 50.15.1

Physicians’ Services RR

activein force · 2026-08-25 – presentas-observed

The physicians’ services RR provision, found in §1842(l) of the Act as amended by the

Omnibus Budget Reconciliation Act (OBRA) of 1986, requires timely refunds for certain

services. When a reduction in payment, not a full denial, occurs, the physician must

refund to the beneficiary amounts collected which exceed the Medicare payment for the

less extensive item or service. These RR apply to both participating and non-participating physicians.

When the beneficiary signs an ABN agreeing to accept responsibility for payment before

services are delivered, the collected funds can be retained. A refund is not required if the

physician did not know and could not reasonably have been expected to know that

Medicare would not pay for the services because they were not reasonable and necessary.

The Medicare contractor must notify the beneficiary in any case in which the physician

requests review of the denial or reduction in payment or asserts that a refund is not

required.

History

(Rev. 10862; Issued: 07-14-21; Effective: 10-14-21; Implementation: 10-14-21)

Provenance

Source
cms.gov
Retrieved
2026-08-25
Edition
iom-2026-08-25
Content hash
b8d787be2cb3dedf82725ff40bd280163acf9b6f2536d25cba504e142037c5fa
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CMS Pub. 100-04, ch. 30, § 50.15.1 — Physicians’ Serv… · binding.law