Hearing Aid Company Settles Claims Allegations for $34 Million

Eargo Inc., a California for-profit public corporation, agreed to pay nearly $34.4 million to resolve allegations that it submitted or caused the submission of claims for hearing aid devices for reimbursement to the Federal Employees Health Benefits Program containing unsupported hearing loss diagnosis codes, the Department of Justice said Friday.

The U.S. alleged that Eargo included unsupported hearing loss-related diagnosis codes on claims for the FEHBP and on superbills to obtain reimbursement, the DOJ said.

The U.S. also alleged that Eargo continued to include these unsupported diagnosis codes even after completing an internal review of its billing and coding practices ...