FAIR Act

HR 3417, the FAIR Act, requires hospitals with off-campus outpatient departments (OCODs) to use separate unique health identifiers for those departments by January 1, 2025. It mandates that these departments bill Medicare and other insurers using specific formats (HIPAA X12 837P or CMS 1500) with their unique identifier, rather than billing under individual practitioners. This directly affects hospitals operating OCODs, changing how they submit claims for services provided at those locations. The bill takes effect for claims submitted on or after January 1, 2025, ensuring clearer billing accountability for these departments.