The Physician Self-Referral (STARK) Law primarily prohibits what?

Prepare for the NHCAA Accredited Health Care Fraud Investigator Exam. Study with flashcards and multiple choice questions, each question has hints and explanations. Boost your readiness for the exam!

The Physician Self-Referral (STARK) Law is designed to prevent conflicts of interest in healthcare by prohibiting physicians from referring patients for designated health services when they have a financial relationship with the entity providing those services. This regulation aims to ensure that patient care decisions are made based on the best interest of the patient rather than personal financial gain.

When a physician refers a patient to a facility or service in which they have a financial interest, there is a risk that the decision may be influenced by that financial motive rather than the medical necessity or appropriateness of the treatment. The STARK Law specifically targets these concerns and establishes clear boundaries to maintain the integrity of medical referrals and the healthcare system as a whole. Therefore, the essence of the law is to promote ethical practices and protect patients from potential exploitation.

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