LA HB786

Defines "extrapolation" as a mathematical process used by managed care organizations to estimate audit results for a larger batch of claims not actually reviewed

Strictly prohibits managed care organizations from using extrapolation when auditing healthcare providers; all payments, refunds, or recoupments must be based on actual overpayments or underpayments

Provisions cannot be waived by contract, and any contractual clause conflicting with these requirements is void

Violations by a managed care organization, its contracted vendor, or agent will result in penalties imposed by the department without requiring prior notice of corrective action