What is the purpose of the Anti-Kickback Act?

The purpose of the Anti-Kickback Act is to prevent financial incentives for referrals, thus protecting the integrity of healthcare services. This federal law is designed to prohibit any payment or inducement to healthcare providers in exchange for the referral of patients or business, which could lead to unnecessary services, inflated healthcare costs, and compromised patient care. By maintaining a clear boundary on financial relationships, the Act helps ensure that referrals are made based on patient needs rather than monetary gain, ultimately aiming to safeguard the quality of care within healthcare systems.

This foundational principle underlies the law and reflects a commitment to ethical practices in healthcare, emphasizing that patient welfare must take precedence over financial motivations. The role of the Anti-Kickback Act is crucial in maintaining public trust in the healthcare system by promoting transparency and fairness in healthcare transactions.