Protect Your Clients from CMS Penalties

Protect Your Clients from CMS Penalties

A Smarter, Scalable Solution for MSP Compliance

As regulatory expectations shift, brokers are increasingly called upon to help clients manage growing compliance complexity. With new federal enforcement on the horizon, now is the time to ensure your clients are prepared with solutions that are both strategic and scalable.

New CMS Enforcement is Coming. Are Your Clients Prepared? 

Starting October 11, 2025, the Centers for Medicare & Medicaid Services (CMS) will begin issuing civil monetary penalties for noncompliance with Section 111 Mandatory Insurer Reporting. These penalties can exceed $500,000 per violation and will be assessed against Responsible Reporting Entities (RREs) which include workers’ compensation insurers, self-insureds, liability insurers and no-fault insurers.

Until now, financial penalties for reporting errors or delays were not enforced. That’s changing. Even small missteps like incorrect dates or mismatched beneficiary data can now carry significant financial and reputational consequences.

The risk is real. The timeline is fixed. Your clients can’t afford to get this wrong.

Position Your Clients for Compliance Success

While many reporting platforms are scrambling to adapt, KAboodle was built from the ground up for this new regulatory reality. Developed by Allan Koba Compliance Solutions, a Charles Taylor company with more than 20 years of experience as a leader in Medicare Secondary Payer (MSP) compliance, KAboodle combines AI-driven technology with proven auditing, legal, and compliance expertise. The result is the most intelligent and future-ready MSP compliance platform available today.

The complexities of Section 111 reporting are now streamlined into a secure, easy-to-use system designed to help your clients maintain consistent compliance.

Make Compliance Easier with KAboodle

• Give them confidence in their data
  Advanced LLMs extract and organize details from scanned documents, medical records, and claims files. This helps eliminate delays caused by missing or unstructured information.
• Free up time by reducing manual work
  Agentic AI automates key workflows like medical summarization, CMS file preparation, and responsibility validation. Clients can reduce processing time by 50–70%, with measurable gains in accuracy.
• Prevent costly reporting mistakes
  Real-time data validation flags issues such as incomplete ICD codes, invalid SSNs, and incorrect TPOC dates before claims are submitted.
• Strengthen audit readiness
  Built-in analytics simulate CMS audit scenarios, calculate potential penalty exposure, and generate documentation to support compliance defense.
• Stay compliant without constant oversight
  KAboodle tracks Section 111 rule changes and updates automatically. Your clients stay compliant without needing to monitor every CMS bulletin.

A Strategic Resource for Your Clients

As CMS tightens enforcement around Section 111 compliance, clients are increasingly looking to their brokers for guidance on managing regulatory risk. KAboodle gives you a meaningful advantage: a credible, purpose-built solution backed by decades of compliance expertise.

With real-time data intelligence, built-in audit safeguards, and scalable automation, KAboodle brings a proactive answer to a fast-evolving regulatory challenge. The platform can be managed directly by your clients or fully supported by our experienced team, offering the flexibility to meet different needs and internal capacities. Either way, it helps you strengthen client relationships while positioning them to stay ahead of federal enforcement.

Compliance Isn’t Optional Anymore

For years, Section 111 compliance operated without real enforcement. That’s no longer the case. CMS has finalized the Civil Monetary Penalty Rule (42 CFR Part 402), which outlines steep fines for reporting missteps. As of October 11, 2024, CMS began monitoring reporting timeliness. Although penalties will not be issued until October 2025, enforcement may be applied retroactively based on activity during the monitoring period. This gives reporting entities a limited window to audit their processes and correct issues before enforcement takes hold.

Whether your clients handle a handful of claims or manage a nationwide program, the cost of noncompliance with Section 111 isn’t something they can absorb. But with KAboodle, you can help them act now before penalties begin.

Schedule a Demo or Request a Compliance Audit

To learn more about how KAboodle can mitigate risk, streamline workflows, and ensure compliance with evolving CMS mandates, schedule a one-on-one session with our team.

Take advantage of our compliance audit to assess your clients’ current reporting practices. We’ll identify gaps, highlight potential risks, and provide clear next steps to help strengthen compliance, so your clients are ready before penalties begin in October 2025.

Visit www.allankoba.com/kaboodle | Email info@allankoba.com for a demo or request a Section 111 audit.