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Medical ExpenseVerified · outline & fact-checked · Sep 2026Difficulty 2/5

If Medicare denies payment for a covered service, the beneficiary:

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Answer & full 3-part explanation (select an option above, or peek)

Why C is correct

Medicare beneficiaries have a right of appeal when Medicare denies payment or does not pay for a service they believe should be covered. The appeals process has multiple levels: redetermination by the claims contractor, reconsideration by a qualified independent contractor, an administrative law judge hearing, review by the Medicare Appeals Council, and finally judicial review in federal court. Beneficiaries must generally file the first-level appeal within a specified time after receiving the denial notice.

Why the other options are wrong

  • A) Beneficiaries are not required to accept a denial; the appeals process exists precisely to challenge it.
  • B) Medigap policies do not administer Medicare appeals; the appeal runs through the Medicare administrative process.
  • D) Filing an appeal does not result in disenrollment; Medicare coverage continues throughout the process.

Memory hook

Denied? Appeal. Medicare's ladder has five rungs, from redetermination all the way up to federal court.

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