MedicaidAdministrativeMedium impact
Payment Error Rate Measurement (PERM) Audit
Illinois Medicaid - HFS·IL·Provider Notice
Effective date
Apr 10, 2023
We identified it
Jun 20, 2026
Summary
Illinois has issued a reminder about Payment Error Rate Measurement (PERM) audits for Medicaid and CHIP providers, highlighting common audit failures including inability to produce documentation, lack of response to inquiries, and inaccurate record-keeping. Providers must maintain proper documentation, keep current contact information, and ensure records are available for audit requests to avoid overpayment recovery and potential sanctions.
Action Required
Immediately: All providers must review and follow Chapter 100 Topic 110 record maintenance requirements, update contact information via IMPACT Provider Enrollment system, and ensure ability to produce documentation for audit requests. Billing team should verify current NPI, address, phone, email, and payee information is accurate in IMPACT system. Failure to maintain proper records and current enrollment data may result in payment interruptions, overpayment recovery, and potential sanctions.