GAO: VA improper payments for private care drop 98% in five years

Published Jul 22, 08:24 PM UTC

The Department of Veterans Affairs has reduced improper payments to private companies providing medical care to veterans by 98% over five years, from $7.5 billion in 2020 to $608 million in 2025, according to a Government Accountability Office report released July 22, 2026. Despite Community Care Program spending rising from $9.5 billion to $25 billion, improper payments fell from 78% of total outlays to 2.4%. The GAO noted improper payments stem from outdated claims, incorrect reimbursement rates, and billing exceeding authorized care, with some cases involving fraud. Examples include a home health care company submitting $100,000 in fraudulent claims and a provider paying $3.7 million to settle fraud charges. The VA implemented corrective actions but has not conducted a comprehensive fraud-risk assessment. VA officials concurred with the GAO's recommendation to create a fraud-risk framework, with completion targeted by March 2028. The report also found CMS improper payments for Medicare Advantage rose from $16.3 billion in 2020 to $23.7 billion in 2025.