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Healthcare Newsletter

Commission-Based Marketer?

May 14, 2013


Question:

Jennifer,

I was approached by a marketing team that is looking to refer and receive a commission based on how many patients they refer and the fee received by my practice for that patient.  Is this legal?

Thanks,
Dr. F

Answer:

No.  This scenario would not be legal in any state for patients utilizing federally funded plans under the Anti-kickback statute - which prohibits remuneration for referrals, and in NY specifically, this arrangement would constitute an illegal splitting of fees for any patient referred.  You are authorized to pay a marketer a flat fee, that is fair market value, set in advance, and in writing.  Be sure to work with your healthcare attorney to ensure your contract with your marketer is appropriate and that you have a proper business associate agreement in place if the marketer will have any exposure to patient information. 



 

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