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What makes a dispute ineligible for federal IDR?

Verdict Consulting Group Research · Updated

Answer

A dispute is ineligible if it does not involve a qualified IDR item or service, for example because a specified state law, an All-Payer Model Agreement, Medicare or Medicaid governs payment, or if open negotiation, timing, batching or cooling-off rules were not met. Certified IDR entities found 355,804 disputes ineligible from April 15, 2022 to December 31, 2024.

Detail

Common grounds for ineligibility

The Departments list these in the preamble to the Federal IDR Operations rule (91 FR 33902):

GroundExample
Not a qualified IDR item or servicePayment governed by Medicare, Medicaid or another program outside the surprise-billing protections
State process appliesA specified state law or All-Payer Model Agreement determines the payment amount
Improper batching or bundlingBatching claims paid by different plans or issuers
Open negotiation not completedInitiating before the 30-business-day period ends
Late initiationInitiating more than 4 business days after open negotiation ends
Cooling-off periodRe-filing against the same party within 90 calendar days of a determination

The numbers

MeasureFigurePeriodSource
Eligibility challenged by non-initiating party976,721 disputesApr 15, 2022 – Dec 31, 202491 FR 33902
Found ineligible355,804 disputesApr 15, 2022 – Dec 31, 202491 FR 33902
Share found ineligibleAbout 19%Jul 1 – Dec 31, 2025CMS
Eligibility challenged42% of initiated disputesJul 1 – Dec 31, 2025CMS

CMS reports that since the fourth quarter of 2024, the most frequent reasons for ineligibility have been an incomplete cooling-off period and disputes falling under a specified state law or All-Payer Model Agreement.

Read the analysis

Sources

  1. Federal Register — Federal Independent Dispute Resolution Operations, 91 FR 33900 ()
  2. Centers for Medicare & Medicaid Services — Supplemental Background on Federal IDR Public Use Files, July 1 – December 31, 2025 ()

General information only, not legal advice. Verdict Consulting Group is not a law firm.