Home » News » News Releases

For release: 02 Jul 2008

EDS Subsidiary Awarded $148 Million CMS Contract for Medicare Administrative Services to Northwest

HERNDON, Va. – EDS today announced that the U.S. Centers for Medicare & Medicaid Services (CMS) has awarded its subsidiary, NHIC, Corp., a $148 million contract to administer Part A and Part B Medicare claims payments to health care providers in four northwestern states. The contract is for one year with four 1-year options and will serve approximately 54,000 physicians and practitioners and 233 Medicare hospitals within Alaska, Idaho, Oregon and Washington.

NHIC will provide a variety of important Medicare administrative functions for hospitals, skilled nursing facilities and physicians in the regions and will be the providers’ first point of contact for the processing and payment of Medicare fee-for-service claims.

Additionally, NHIC will provide a wide range of additional administrative services, including: appeals, audit and reimbursement, provider enrollment, educational outreach, print and mail services, financial and accounting services, contact center, electronic data interchange, mailroom operations and medical and utilization review.

The contract will help CMS fulfill the contracting requirements of the 2003 Medicare Modernization Act, which requires the agency to transition Medicare fee-for-service claims from fiscal intermediaries and carriers to the Medicare Administrative Contractors.

“This is another step toward improving service to beneficiaries and health care providers as well as giving CMS greater oversight of the Medicare contractors that process and pay Medicare claims,” said CMS Acting Administrator Kerry Weems.

“The breadth of skills and experience from EDS’ subsidiary, NHIC, will help CMS achieve its goal of consolidating its benefits processing operations while saving money, promoting innovation and increasing operational excellence,” said Dennis Stolkey, vice president and general manager, EDS U.S. Government and Public Sector. “EDS has been a CMS Medicare partner since 1965, and we are pleased with this opportunity to provide technical support in order to serve the Medicare and Medicaid programs.”

NHIC is one of the largest Medicare Part B contractors in the country, already serving more than 150,000 health care providers in California, Maine, Massachusetts, New Hampshire and Vermont.

With more than 7,000 health care experts supporting clients in 30 countries, EDS has provided support services to Medicare and Medicaid clients for more than 40 years, processing more than 270 million Medicare claims and about 1 billion Medicaid claims per year. EDS provides an array of technology services for CMS and Medicare contractors including data center services, maintenance of the Medicare Part B system, and non-base system support. Another EDS subsidiary, SafeGuard Services, provides Medicare and Medicaid benefit integrity services and fraud detection in 10 states including California, New York, New Jersey, and Pennsylvania.

About EDS

EDS is a leading global technology services company delivering business solutions to its clients. EDS founded the information technology outsourcing industry 45 years ago. Today, EDS delivers a broad portfolio of information technology and business process outsourcing services to clients in the manufacturing, financial services, healthcare, communications, energy, transportation, and consumer and retail industries and to governments around the world. Learn more at eds.com.

Note: EDS news releases are archived on this Web site for historical purposes. Information in the stories is accurate at the time of release. However, service offerings and availability, relationships, contacts and other specified information may change over time. Information as stated in the release may or may not be in effect after the date on the release. For assistance, contact us.

Subscribe to EDS RSS Feeds

I would like to receive the EDS Newsletter