If you are not aware of this law, you better get acquainted with it. It may put every lab sales rep and possibly 90% of the labs in the country out of business. This law is a game changer that outlaws phlebotomy & collectors in an office or clinic (even if OIG rules are followed), bans all commission, volume (by test, CPT code or patient) based pay to all sales people including W2 employees for both federal and private payers. While this only applies to Drug treatment (anyone that treats a patient that is is addicted), California & NY are already looking to take the contents of EKRA and make it across the board for all work labs perform.
If you do not wake up and fight this, everyone will be out of business. All work will go to the labs that have the insurance contracts- Labcorp & Quest, and everyone else will be out of business.
If you are not aware of this law, you better get acquainted with it. It may put every lab sales rep and possibly 90% of the labs in the country out of business. This law is a game changer that outlaws phlebotomy & collectors in an office or clinic (even if OIG rules are followed), bans all commission, volume (by test, CPT code or patient) based pay to all sales people including W2 employees for both federal and private payers. While this only applies to Drug treatment (anyone that treats a patient that is is addicted), California & NY are already looking to take the contents of EKRA and make it across the board for all work labs perform.
If you do not wake up and fight this, everyone will be out of business. All work will go to the labs that have the insurance contracts- Labcorp & Quest, and everyone else will be out of business.
I hate to disagree but I do NOT think that this law applies ONLY to drug treatment or rather the lab testing for drug treatment facilities, it applies to ALL laboratory testing.
"EKRA adds an all payor (public and private) anti-kickback rule to the health care fraud laws concerning improper remuneration for patient referrals to, or in exchange for an individual using the services of, a recovery home, clinical treatment facility or clinical laboratory."
As you can see above it does NOT limit this law to lab testing on patients at a recovery home or Clinical treatment facility because it says "or" treatment facility.
Technically the way this law is written it would not matter whether or not anyone worked at LabCorp or Quest because their compensation program would be illegal too. Basically this law says that NO compensation can be based on volume or profit in any way. That means you cannot be paid a salary and then get ANY bonus that is based on volume or profits. Keep in mind that both of the two largest labs (LabCorp & Quest) pay that way so basically EVERYONE could ONLY pay a rep a salary and if any bonus is paid it would have to be based on something unrelated to sales so no company is going to do that.
It appears the way this is written you can ONLY get paid a salary with ZERO bonus based on your business growth in any way and it be legal!!!
Therefore, how the hell do they expect any lab to reward a rep for doing a good job as you cannot change their salary every month and you can't pay a bonus based on the standard ways everyone has in the past. Clearly the politicians didn't think this through and must have been drafted by some socialist.
