Medicare Payments Upon Transition to Novitas

Q. What will happen to any outstanding balances TrailBlazer owes physician — and vice versa — at the time of the cutover (Nov. 19, 2012) from TrailBlazer Health Enterprises to Novitas Solutions as the Medicare payment contractor for Texas?

A. Novitas will assume responsibility for these balances at the time of cutover and predicts no disruptions in payments.

  • Outstanding checks: You can cash or deposit checks you have or may receive from TrailBlazer, and Novitas will honor them. According to Novitas, the Centers for Medicare & Medicaid Services may close accounts at J.P. Morgan (the bank for TrailBlazer) after six months; you should cash checks before then. However, Novitas will have a way to handle checks still outstanding at that time.
  • Unprocessed claims. Novitas will pay balances on the payment floor (a required waiting period before a contractor can pay your claim) and any other claims you’ve submitted to TrailBlazer that are unprocessed as of the cutover date. Novitas will pay those claims from its U.S. Bank accounts.
  • Accounts receivable: If you owe money to Medicare under TrailBlazer, send your check to Novitas after the cutover date.

Remember, if you currently receive your Medicare payments from TrailBlazer via electronic funds transfer (EFT), you need to send paperwork — an EFT authorization agreement — to Novitas. If you haven’t sent Novitas your EFT form, you need to do this as quickly as possible so Novitas can process it by Nov. 19 and you can continue to get your EFT payments. You can find a link to the form and other information about the TrailBlazer-to-Novitas transition on the TMA Novitas Resource Center.   

Beginning Oct. 30, our can’t-miss Medicare seminar series begins touring the state. Register now for last-minute tips for the Novitas transition plus our usual array of news and suggestions to keep your practice out of trouble and keep your Medicare payments arriving on time.

Published Oct. 29, 2012 

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