Medicare Reimbursement Cuts Blamed for Increase in Cancer Center Closings

The Community Oncology Alliance issued a press release, detailed the rising tide of cancer clinic closings across the country since January 2010.  The COA specifically blamed, “…financial pressures from severe cuts in Medicare reimbursement for care.”

Over the past three years 166 clinics have closed with 39 of them from 15 states shutting their doors since the beginning of this year.  The COA goes on to note, “In the past few years, more than 850 clinics nationwide have experienced severe negative impacts from annual cuts to cancer care by Medicare.  This number includes clinics that have closed their doors; continue struggling financially to pay bills to operate; are forced to send all their Medicare patients elsewhere for treatment, or have been acquired by hospitals or other entities.”

Making matters worse, 20% of today’s oncologists would discourage a medical student or resident from pursuing their field vs. only 3% who would do so less than 10 years ago.  As a consequence, “It is estimated that by 2020, one in four cancer patients will be short an oncologist.”

Medicare has dramatically cut reimbursement rates for chemotherapy as well as PET and CT scans since 2004, with more coming over the next three years.  COA encourages lawmakers to stop these cuts for the sake of effective cancer care across the country.  Ted Okon, Executive Director of COA warns that, “The government has to act now to stop Medicare cuts in order to preserve our nation’s cancer care delivery system before its too late.”