Recovery Audit Contractor (RAC)
A Recovery Audit Contractor (RAC) is a CMS-contracted organization responsible for identifying and correcting improper Medicare payments, including overpayments and underpayments.
Definition
A Recovery Audit Contractor (RAC) is a CMS-contracted organization responsible for identifying and correcting improper Medicare payments, including overpayments and underpayments.
Why it matters
Recovery Audit Contractor (RAC) is part of the Coding vocabulary used across home health operations, documentation, and revenue cycle. Understanding it helps clinicians, QA leads, and administrators stay aligned on care quality and compliance.
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