Medicare Payments to HHAs Exceeded Costs by 17.8% in 2002

March 15, 2004 Medicare Payments to HHAs Exceeded Costs by 17.8% in 2002 The total amount that Medicare paid freestanding home health agencies (HHAs) as a group more than covered the overall costs of caring for their Medicare home health patients. In 2001, the aggregate Medicare margin for home health services provided by freestanding HHAs was 16.2%. By 2002, the aggregate margin rose to 17.8%. Medicare payments also more than covered costs for both HHAs that served exclusively rural patients and those that served exclusively urban patients. Moreover, more than four-fifths of individual HHAs had positive . . .