Travel Fee Update

Part B travel allowance for 2005 is increased to $0.855 per mile (HCPCS code P9603) and $8.55 per flat rate trip basis (P9604), under a correction announced by Medicare and retroactive to January 01.

Medicare contractors aren’t required to adjust travel fees already paid, but must do so for claims that clinical laboratories bring to their attention.

The fee increase results from an increase in the federal standard mileage rate, which is one portion of the travel allowance formula. The previously announced rate for this year was $0.385 per mile; now, it’s $0.405. The personnel portion of the formula remains unchanged at $0.45 per mile.