Detecting fraud and improper payments.
The Centers for Medicare and Medicaid Services (CMS) uses statistical analysis to identify fraudulent and improper payments made to healthcare providers. In 2018, 8.12 percent of all MedicareMedicare is the federal health insurance program for: people who are 65 or older, certain younger people with disabilities, people with End-Stage Renal Disease (permanent kidney fa... More payments were improper, according to CMS. In order to address this problem, CMS employs a testing methodology called Comprehensive Error Rate Testing (CERT). They also use AI to engage in predictive analysis of fraudulent and improper healthcare payments. This process has saved the government approximately $42 billion, according to CMS.