The fallout from a February cyberattack against Change Healthcare, the largest billing and payment system in the U.S., has left thousands of doctor practices financially hurting, with 80% of physicians reporting “lost revenue from unpaid claims,” according to a survey by the American Medical Association.
The AMA, which is the nation’s largest doctor group, said the attack has threatened the viability of physician practices across the country with more than half of survey respondents having “had to use personal funds to cover practice expenses.”
The aftermath of the February cyberattack has triggered chaos for physicians and medical care providers across the country, paralyzing Change Healthcare’s massive billing and payment system. The attack triggered a shutdown of parts of Change Healthcare’s electronic system, leaving doctors and other providers of medical care without the ability to get insurance approval of patient services.
“The disruption caused by this cyber-attack is causing tremendous financial strain,” said AMA President Dr. Jesse M. Ehrenfeld. “These survey data show, in stark terms, that practices will close because of this incident, and patients will lose access to their physicians. The one-two punch of compounding Medicare cuts and inability to process claims as a result of this attack is devastating to physician practices that are already struggling to keep their doors open.”
Physicians across the country have reported the inability to pay rent or their staffs while some have had to close their practices resulting in thousands of patients experiencing cancelled appointment and delays in their treatments or procedures or prescriptions. Meanwhile, the F.B.I. and the Department of Health and Human Services are investigating the Change cyberattack.
Among respondents of the AMA survey, which was conducted March 26 to April 3, 36% reported claim payments had been suspended, 32% were unable to submit claims and 22% couldn’t verify eligibility for benefits.
UnitedHealth Group, parent of Change Healthcare, said as of April 3 it had “advanced nearly $4.7 billion to providers in need” and will continue to offer financial support to providers until the system is fully recovered.
“Significant enhancements are available to providers who receive payments from payers processed by Change Healthcare; UnitedHealthcare medical, dental and vision providers; and providers who have exhausted all available connection options — or are in the process of implementing workaround solutions — and work with other payers who have opted not to advance funds while the Change systems are down,” UnitedHealth Group said on its website, which includes other information and tutorials to help medical care providers impacted by the attack.