Which legislation was passed in 1997 that addresses health care fraud and abuse issues?

Prepare for your Health Insurance Billing Exam. Utilize flashcards and multiple choice questions, each with explanations. Boost your readiness!

The legislation passed in 1997 that specifically addresses health care fraud and abuse issues is the Balanced Budget Act (BBA). The BBA was significant as it introduced various provisions aimed at curbing fraud and abuse in healthcare programs, particularly Medicare and Medicaid. These measures included stricter penalties for fraudulent activities, enhanced audits, and increased oversight of healthcare providers and insurers.

This legislative approach was necessary due to rising concerns about the misuse of healthcare funds and the importance of maintaining the integrity of public healthcare programs. By instituting more rigorous standards and reducing opportunities for fraud, the BBA aimed to protect government healthcare funds while ensuring that beneficiaries received the necessary care.

In contrast, the other options pertain to different areas of legislation either not related to healthcare fraud specifically or enacted in different contexts. The American Recovery and Reinvestment Act (ARRA) focused on economic stimulus, the Employee Retirement Income Security Act (ERISA) deals primarily with employee benefits, and the Omnibus Budget Reconciliation Act (OBRA) contains various provisions for healthcare but is not exclusively defined by addressing health care fraud and abuse like the BBA.

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