Tough new restrictions are being proposed by the Centers for Medicare & Medicaid Services to basically ban payments for "self-referred services". When doctors refer a patient to their own diagnostic clinic for tests it's referred to as "self-referral" since the money goes into their pocket ... and it's a lot of money today.
A recent McKinsey & Co. study estimated doctors' profits from this practice at $8 billion per year.
The new rules are scheduled to go into effect as early as January.
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