CHAMPUS Has Improved Its Methods for Procuring and Monitoring Fiscal Intermediary Services To Process Medical Claims

Pursuant to a congressional request, GAO reviewed: (1) The Department of Defense's Office of Civilian Health and Medical Program of the Uniformed Services' use of contracting procedures to obtain fiscal intermediary services for processing health insurance claims to determine whether they were suited to ensuring high-quality performance at the lowest possible cost to the government; and (2) the performance of Blue Cross of California, a fiscal intermediary that was awarded a contract to process claims for the southeast region of the United States.