The OIG has examined the extent to which physicians were overpaid in 2008 and 2009 because they incorrectly used non-facility place-of-service codes for services that actually were performed in hospital outpatient departments or ambulatory surgical centers. An OIG sample review of 2009 claims found that physicians incorrectly coded 83 out of 100 services by using non-facility place-of-service codes, which results in higher reimbursement to physicians to account for increased overhead expenses. Based on sample results, the OIG estimated that Medicare contractors nationwide overpaid physicians $9.5 million for such incorrectly coded services provided during calendar year 2009. A similar review of 2008 claims found that 89 out of 100 sampled claims had incorrect place-of-service codes, which the OIG extrapolates to an estimated $19.3 million in overpayments to physicians for incorrectly coded Part B services in 2008. In both reports, the OIG recommends that CMS instruct its Medicare contractors to: (1) recover identified overpayments; (2) reopen claims associated with nonsampled services and work with physicians to recover any overpayments; (3) strengthen their education process regarding correct coding of the place of service; and (4) continue to work with other Medicare contractors to develop a data match to identify physician services at high risk for place-of-service miscoding and recover any identified overpayments. CMS concurred with the OIG’s recommendations, and described its corrective actions.