The Health Insurance Portability and Accountability Act of 1996, commonly known as the Kassebaum-Kennedy law, added new provisions to federal healthcare anti-kickback law. Its provisions:
Prohibit remuneration to Medicare beneficiaries when the providers offering the compensation know or should know that the compensation could influence where beneficiaries seek their healthcare.
Include in its definition of remuneration waivers of Medicare coinsurance or deductibles.
Exempt waivers of coinsurance and deductibles from anti-kickback prosecution in certain cases, including those waived under Medicare Select plans.
Exempt providers when they do not advertise and routinely offer waivers of coinsurance or deductibles, do so on the basis of financial need or fail to collect after making reasonable collection efforts.