Doctors and Hospitals Rake In Billions in Electronic Records Incentives

Incentive payments to health-care providers who implement electronic health record systems continue to rise rapidly, with more than 225,000 practices and hospitals registered to receive payments under Medicare, Medicaid, or both, according to the most recent monthly report from the Centers for Medicare and Medicaid Services.

In all, 6,830 doctors registered with CMS for Medicare incentives in March, for a total of 148,476 to date. In addition, 7,143 doctors, nurse-midwives, dentists, nurse practitioners and physician assistants registered for Medicaid incentives in March, for a total of 73,806. Hospital registrations totaled 128 in March, and 3,483 to date.

Doctors and hospitals have received $2.4 billion in Medicare incentives to date: $792 million for doctors and $1.6 billion for hospitals. March payments alone totaled $156 million for doctors and $184 million for hospitals achieving "meaningful use" of their EHRs. Payments have increased steadily every month since May 2011, when 283 medical professionals received $5.1 million and 37 hospitals received $71 million.

Medicaid payments have totaled $2.1 billion to date, including $1.5 billion to hospitals and $628 million to doctors and other medical professionals, according to the report. Eligible professionals received $109 million in March, while hospitals received $145 million that month.

Medicaid payments have grown steadily from one month to the next since January 2011, when 36 medical practices and 10 hospitals received $765,000 and $21 million, respectively. Last month, 5,211 professionals and 184 hospitals were receiving Medicaid incentives for achieving meaningful use of their EHRs.

Medicaid incentives are available so far in 43 states, according to the monthly report. CMS officials have said the rest are expected to join the program in the coming months.