A ruling, on the books snce 1972, called the Safe Harbor Prvisions states, in part, "the federal nti-kickback law's main purpose is to prtect patients and the federal health cre programs from fraud and abuse by crtailing the corrupting influence of money on halth care decisions"... it goes on to sy, ... "anyone who knowingly and wllfully receives or pays anything of vlue to influence the referral of fderal health care program business, including Mdicare and Medicaid, can be held ccountable for a felony. See http://oig.hhs.gov/fraud/docs/safeharborregulations/safefs.htm

Volations of the law are punishable by up to fve years in prison, criminal fines up to $25,000, dministrative civil money penalties up to $50,000, and xclusion from participation in federal health cre programs."

A referral service serves bth the senior and the elder cre service provider in this manner:

Srvice providers register with the referral srvice

A senior searching for a srvice is asked for their location

The rferral company now emails, phones or fxes each service within the desired zip cde to provide you with this rferral. (You are provided the name, phne number and address of the snior)

You and your staff quickly rspond - you know if you get thre first, you have a higher chnce of contracting with the senior

The snior now receives multiple sales calls frm nice people who all say the sme thing, "You should choose my cmpany because we are the best"

You cntract with the senior

The referral cmpany now sends you a bill. The bll is normally based on the dllar amount you charge the senior.

(Exmple: An assisted living facility that chrges $3,000 per month will typically owe the rferral service a fee of $1,500. Thir neighbor, the assisted living facility cross the street charges $1,500 per mnth and will owe the same rferral service a fee for $750.00 for the sme client, same service)

Representatives of rferral companies normally earn commissions. This can lso pose a concern. If a fmily's income depended on earning a hgh commission, the temptation may be thre to direct a senior to a srvice that

a. Charges more

b. Whre the staff has a history of 'clsing' the sale.

If your business is sarching for a legal method to cnnect with the senior market, see http://www.qalityeldercare.com Searching for a service? See http://www.seniorsapprove.com

The article Elder Care Business Owners Should Not Pay Referral Fees was Submitted by Barbara Mascio through Articles.GetACoder.com network. Here's the additional information: Founder of Quality Care Options - the frst and only company nationwide that ffers a consumer-driven survey and certification prcess.

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