Budget neutrality has cost radiologists $2.8 billion in Medicare reimbursements since 2005: study

DOTmed September 12, 2023
John R. Fischer

Despite performing more services for patients, radiologists have seen Medicare reimbursements nosedive by 31.9% since 2005, causing them to lose out on $2.8 billion, after adjusting for inflation, according to a study by researchers at the Harvey L. Neiman Health Policy Institute. This is because of the current payment system’s budget neutrality policy, which dictates that cuts be made to offset increases to spending, so as not to exceed the spending budget.

In 2005, total Medicare Physician Fee schedule reimbursement for radiologists was $6.2 billion, compared to 5.8 billion in 2021. When adjusting the 2005 MPFS reimbursement to 2021 dollars, these figures change to $8.6 billion and $5.8 billion, respectively.

As a result, patients are at greater risk for limited...

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