Collaborative Arrangements with Referral Sources
The lifeblood of the successful DME supplier is to develop relationships with physicians, hospitals, long term care facilities, home health agencies, pharmacies and other providers to ensure a steady stream of referrals. There are innovative arrangements that, if structured properly, are legally acceptable. Examples include a Medical Director Agreement with a physician, loan closet with a hospital, preferred provider agreement with a long-term care facility and/or a hospital, joint venture with a hospital, and sponsoring a physician to present education programs. In structuring such an arrangement, DME suppliers need to be careful to avoid the federal anti-kickback statute, the federal physician self-referral statute (“Stark”), and other federal and state anti-fraud laws. This webinar will (i) discuss the applicable legal guidance, (ii) give examples of legally acceptable arrangements with referral sources, and (iii) give examples of arrangements that need to be avoided.