San Francisco Marin Medical Society Blog

Medicare E-Prescribing Penalty Exemption Due November 1

Physicians who did not successfully e-prescribe 10 Medicare prescriptions (and report them to Medicare on a claim form with G-code G8553) by June 30, 2011, are subject to a 1-percent Medicare penalty on their Medicare Part B payments for covered professional services in 2012. The penalty will increase to 1.5% in 2013 for those who don’t e-prescribe for 25 Medicare patients during 2011. A detailed guideline with details on how to avoid this penalty will be included in the October SFMS eNewsletter due out next week. Please look for this resource in your email inbox. Physicians have until November 1, 2011, to request one of these exemptions (click on the chart to enlarge):Request a hardship exemption online through CMS e-Prescribing Incentive Program website at Please note that you are automatically exempt from the 2012 e-prescribing penalty if:
  1. You submitted fewer than 100 denominator eligible claims to Medicare, or
  2. Less than 10 percent of your allowed Medicare charges from the first six months of 2011 contain denominator-eligible codes.
If your practice has not yet transitioned to a EHR, you can still e-prescribe using a dedicated application for e-prescribing while you maintain your paper charts. The applications range from free to a few hundred dollars per provider per year.

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