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Should a carrier calculate underpayment penalties to a provider by using the particular services on the claim that were underpaid?

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Should a carrier calculate underpayment penalties to a provider by using the particular services on the claim that were underpaid?

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Neither the statute nor the rules explicitly state that calculations of underpayment penalties should be performed on a line item basis. However, TDI has consistently maintained in the past that line item calculations are appropriate and that penalty calculations should not include services that were correctly and timely paid.

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