Medicare Managed Care Manual (Pub. 100-16), Ch. 17a § 10.2.2
Services Furnished Directly or Through Arrangement
10.2.2 - Services Furnished Directly or Through Arrangement
(Rev. 4, 10-01-01)
The cost-based HMO/CMP contract with CMS must provide that, in paying for services
furnished to the HMO/CMP's enrollees, the HMO/CMP is responsible for:
•
Determining the eligibility of individuals to receive such items and services
through the HMO/CMP;
•
Making proper coverage decisions and appropriate payment for items and services
for which the HMO/CMP's Medicare enrollees are eligible; and
•
Carrying out any other procedures that CMS may require from time to time.
All health care services furnished by the HMO/CMP may be provided through facilities
directly (facilities that are owned or related through common control) or under
arrangement. An arrangement is defined as a written agreement executed between the
HMO/CMP and another entity in which the other entity agrees to furnish specified
services to the HMO/CMP's Medicare enrollees; however, the HMO/CMP retains
responsibility for those services.