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Payment Error Rate Measurement (PERM)

The measure of the improper payments of Medicaid and CHIP, which results in an error rate for each program. These rates are based on multiple factors; fee-for-service (FFS), managed care and eligibility sections of Medicaid and CHIP in the fiscal year under review.

Residual Coverage

Insurance that continues to pay a portion of an individual's disability payments if they are able to return to work in a limited capacity.