This can cause denials and delay services, revenue as well as destroy the patient experience. Affects Patient Satisfaction: Incorrect medical coding and/or billing can negatively impact your patients’ experiences outside of the office, which can affect your reputation.
In today’s fragile economy, there is no room for mistakes, and that rings even truer when it comes to coding and billing. One of the biggest questions heard in the coding world is, Who is liable for coding mistakes—the coder or the provider? Most often, the financial and legal responsibility will fall on the provider.
Hinders Patient Safety: Medical coding as a system is dependent on consistency. Even a mistake as simple as swapping the place of two digits in a code during the authorization process can indicate a wildly different diagnosis. This can cause denials and delay services, revenue as well as destroy the patient experience.
Impact on the Clinic Affects Reimbursement: Improper coding leads to improper billing, which can directly impact a clinic’s bottom line. Incorrectly down-coding a major procedure as something less accurate will result in lower reimbursements. Adds to Administrative Time: When improper billing occurs, upper-level staff must handle damage control.
Inaccurate medical coding will cause your reimbursements to get delayed, denied, or only partially paid. Build up a cache of delayed reimbursements and you'll have mounds of paperwork, stress, and lost revenue for your emergency medicine practice to deal with.
1. Financial Protection of Your Business. Inaccurate billing and coding can have serious financial consequences for your business. Often, it will result in your practice not receiving the full amount it is entitled to from the patient and/or insurance company.
Coding Errors May Lead to Fraud and Abuse Fines The consequences could be a monetary penalty or a legal issue if the claim is named fraudulent. To prove fraud occurred rather than abuse, the upcoding or miscoding of an event must occur over time and across a large number of patients.
Most often, the financial and legal responsibility will fall on the provider. He or she has responsibility for what is billed under his or her unique provider number and signature because the provider has signified that everything on the claim is accurate and has been reviewed and authenticated.
The medical provider or the coder? Legally, when a physician, physician assistant (PA) or nurse practitioner (NP) enroll in a Medicare, Medicaid or commercial insurance, the practitioner signs an agreement attesting that accurate claims will be submitted.
Filing claims with incorrect codes can create explicit liability under the federal and state False Claims Acts. Such a situation means that service providers become liable for triple damages and civil claims for each such submission.
Contact the provider. It could be an error that your provider will correct, or he or she may explain why the coding is correct. If you have Medicare and need help, you can contact your local Senior Medicare Patrol (SMP).
Ensure Patient Information is Correct and Properly Aligned with Data. ... Avoid Upcoding. ... Utilize the Latest Medical Coding Manual. ... Avoid Duplicate Billing. ... Verify Insurance Benefits and Coverage in Advance. ... Hire A Professional Medical Biller. ... Improve Your Medical Billing and Coding Systems With Coronis Health.
If at any time you receive a bill you do not think you should be required to pay, contact your healthcare provider's office. It is possible they have used the wrong ICD-10 code. Your healthcare provider may be able to change the diagnosis code to one that gives you the coverage you need.
While medical billers and coders don't have to worry about medical malpractice claims, they can be sued for negligence if they make errors or mistakes. For instance, if a coders' error resulted in significant financial loss to a patient or practice, they might be sued to recover damages.
The office staff at any medical practice are responsible for correct patient registration, appointment-setting and insurance eligibility verification. These are vital parts of the medical billing process and can results in systemic mistakes in the coding and billing process if done wrong.
The rendering provider is the only individual authorized to select and responsible for selecting a CPT code. CPT codes are physician procedure codes, found in Current Procedural Terminology, published by the American Medical Association. The codes dictate the work done for payment purposes.
Failing to provide information to payers to support claims results in denials or delays. For instance, problems can occur if billing department employees don’t link a diagnosis code to the Current Procedural Terminology (CPT) or Healthcare Common Procedure Coding System (HCPCS) code or don’t add a fourth or fifth digit to the diagnosis code.
To prevent reimbursement issues, hospitals must avoid medical billing and coding errors. Ongoing continuing education programs, as well as lunch-and-learns and other informal training sessions can help ensure that your employees are aware of the latest coding requirements and best practices.
Upcoding errors can occur if the billing department employee makes a mistake when entering diagnosis and treatment codes or if the employee is confused by the information provided by the physician.
For example, the GT modifier applies to real-time telehealth services provided by audio or video systems, while the GQ modifier covers services provided through asynchronous telecommunications systems, such as an emailed X-ray.
Missing or Incorrect Information. Errors or omissions are a common cause of claim denials and can be easily prevented by double-checking all fields before submitting a claim. Incorrect or missing patient names, addresses, birth dates, insurance information, sex, dates of treatment and onset can all cause problems.
Unfortunately, even small errors can lead to claim denials and payment delays.
Although it may not happen that often, sometimes information is accidentally entered in the wrong patient’s record. If billing employees only enter the information as provided and don’t investigate mismatches in treatments and diagnoses, a claim denial will follow. Unfortunately, in busy billing departments, these problems can be easily overlooked.
Stay current and on top of code changes. ICD-10 and CPT code manuals are updated annually. Also, if you’re a member of American Academy of Professional Coders (AAPC) or American Health Information Management Association (AHIMA), you are required to complete education credits every two years to help you remain current.
Although these errors are fairly common, they can be expensive. According to Healthcare Business and Technology, doctors lose $125 billion each year because of poor medical billing systems and errors. Most errors can be avoided if the medical coder or biller takes a few simple steps:
Medical billers and coders are crucial to the healthcare industry. They keep doctors and nurses on track and organized by carefully documenting patient procedures and treatments. In addition, they submit bills to insurance companies, which then pay claims. When a medical biller or coder makes a mistake, it can delay the claims process, ...
The World Health Organization created the International Classification of Diseases, Tenth Revision (ICD-10), which universally classifies and codes all diagnoses, symptoms and medical procedures.
Follow through to make sure that information was submitted and that claims were paid correctly and in a timely fashion. If a claim is rejected or denied, make sure that the payer included an explanation of benefits (EOB).
Communicate any concerns or questions so that you can note correct information. Doctors sometimes take hasty notes that may be difficult to read. If you’re unsure about a procedure or treatment, ask.
According to the Bureau of Labor Statistics, the employment rate for medical records and health information technicians (billers and coders) is growing much faster than the average for other occupations because people in these jobs are the ones who handle insurance and patient claims.
When it comes to medical coding errors, they fall into the broad categories of “fraud” and “abuse.”
Unbundling refers to using multiple CPT codes for the individual parts of the procedure, either due to misunderstanding or in an effort to increase payment. Upcoding. Example: You are a physician in a specialty, such as oncology, that often has highly complex patients.
Failing to check National Correct Coding Initiative (NCCI) edits when reporting multiple codes. The Centers for Medicare & Medicaid Services developed the NCCI to help ensure correct coding methods were followed and avoid inappropriate payments for Medicare Part B claims. These are automated prepayment edits that are “reached by analyzing every pair of codes billed for the same patient on the same service date by the same provider to see if an edit exists in the NCCI,” the AMA’s text notes. “If there is an NCCI edit, one of the codes is denied.” NCCI edits will also typically provide a list of CPT modifiers available that may be used to override the denial. In certain cases, clear direction is stated that no modifier may be used to override the denial.
In such a case, appending the modifier 22 to the code used to report the removal can indicate the increased complexity of the service.
One psychiatrist was fined $400,000 and permanently excluded from taking part in Medicare and Medicaid in part due to upcoding. He billed for 30- or 60-minute face-to-face sessions with patients when, in reality, he was only meeting with patients for 15 minutes each to do medication checks.
Improper reporting of injection codes. Only report one code for the entire session during which the injections take place instead of multiple units of a code. Reporting unlisted codes without documentation. If you must use an unlisted code to properly bill for a service, you must properly document it.
Example: You bill for a lesion excision and skin repair on a single service date. But CPT coding guidelines say simple repairs are included in the excision codes, so separately coding the repair would be wrong and generate an NCCI edit. But if the repair was performed on a different site from where the lesion was removed, it is appropriate to bill for both and append a modifier to let the payer know the procedure was indeed separate from the excision.
Part of reducing medical billing errors comes down to coordinating effectively within the provider’s office. Make sure you communicate regularly and effectively with other personnel in the provider’s office, including the physician, and don’t be afraid to ask questions about possible errors on the claim.
Coding especially will change as new codes are introduced and older ones phased out. It’s important to check on new protocols in medical coding regularly. Study new codes and be aware of how they affect billing.
Duplicate billing can create a huge headache for billers and payers alike, because it may appear that a patient received two identical x-rays on one day, which would effectively double the amount sent to the payer.
A rejected claim is one that contains one or many errors found before the claim is processed. These errors prevent the insurance company from paying the bill as it is composed, and the rejected claim is returned to the biller in order to be corrected.
Like undercoding, this is a fraudulent process wherein the provider intentionally misrepresents the work they performed on a patient. In upcoding, a practice enters codes for services a patient did not receive, or codes for more intensive procedures then the provider actually performed. Upcoding is typically done in an attempt to receive more money from a payer. This, like undercoding, is a fraudulent practice, and should be noted and reported immediately.
The goal of the medical biller is to ensure that the provider is properly reimbursed for their services. In the pursuit of this goal, errors, both human and electronic, are unfortunately unavoidable. Since the process of medical billing involves two incredibly important elements (namely, health and money), it’s important to reduce as many ...
After you send a claim in to a payer, you can follow up with a representative working on that claim. They may be able to alert you to any errors they’ve already caught, in which case you can begin work on making a new, error-free claim. (Wait until they send it back to you, of course!)
A physician’s signature on a claim also attests that the medical services provided were necessary and reasonable to submit to a payor, therefore accumulating the accountability. It is for these reasons that the provider is usually the one that is fined for fraud and abuse.
He or she has responsibility for what is billed under his or her unique provider number and signature because the provider has signified that everything on the claim is accurate and has been reviewed and authenticated. A physician’s signature on a claim also attests that the medical services provided were necessary and reasonable to submit to a payor, therefore accumulating the accountability. It is for these reasons that the provider is usually the one that is fined for fraud and abuse. Do coders need to pay if it is their wrongdoing or mistake?
Additionally, self-audits of claims should be done at least two times a year to find trends or errors that need correction.
Providers and their staff should protect themselves from coding errors and fines and code all claims from the documentation . Coders should feel empowered to ask about anything that is questionable before billing to payors.
Right now, private payors only fine providers and not ancillary staff. However the law applies to everyone. Although there is no record of levy against coders, this doesn’t mean that it is impossible.
In today’s fragile economy, there is no room for mistakes, and that rings even truer when it comes to coding and billing. One of the biggest questions heard in the coding world is, Who is liable for coding mistakes—the coder or the provider?
The False Claims Act (FCA) imposes liability on any “persons” who knowingly submit false claims to the government for payment.
If you are using an outdated codebook or your coder or your biller enters the wrong code, your claim could be denied. The use of outdated coding books either CPT (Current Procedural Terminology), ICD-9 (International Classification of Diseases) or (Healthcare Common Procedure Coding System) HCPCS or super bills will result in loss of revenue . Insufficient documentation occurs when documentation is inadequate to support payment for the services billed or when a required document is missing. When coding and submitting claims, it is imperative that what is documented is billed. If it is not documented, carriers consider the service (s) as not performed. However, denials related to documentation and medical necessities are more complicated because providers must be involved in improving the process.
The follow ruling is important to understand how carriers look at errors in billing. Strive to be proactive to any concerns and make sure that practices do not violate 18 U.S.C. § 1347. Under that section, it is a felony to knowingly defraud any health benefit program or to fraudulently receive payment from any health benefit program. Under §1035, it is a felony to willfully make fraudulent representations in connection with the receipt of health care payments. Even unknowingly, not using correct billing, procedures, and protocols could put you at risk. The practice should take no comfort in claiming lack of knowledge or that they were mistaken about the law should audits occur. The statutes governing health care fraud do not provide leniency for a provider’s lack of knowledge. Therefore, protocols should be in place for your office to make sure that you have mitigated your risk and liability.
Therefore, protocols should be in place for your office to make sure that you have mitigated your risk and liability. To help keep errors to a minimum, consider using a medical coding and billing software that supports your needs. Learn more about PracticeSuite today. Last Updated on January 20, 2021.
The start date for a Medicare claim is the date the service was provided or the “From” date on the claim form. The claim must be received by the appropriate Medicare claims processing contractor prior to the end date (12 months after the start date). A claim sent prior to the end date but received after will be denied.
While the latter regards false representative as a mistake, it still has severe consequences. On the other hand, the former means a conscious action taken in order to generate more profit.
It is critical to understand required supporting documentation to receive reimbursement. You will not be reimbursed for the services denied timely if you do not understand how to handle them. Commercial and Medicare have different guidelines that are considered timely filings.
You can avoid a lot of medical coding errors just by double-checking your work. Read over every medical report twice (at least), and never let yourself get “too familiar” with a particular code set or set of procedure codes.
The organizations that maintain the three principal medical coding code sets (the WHO for ICD, the AMA for CPT, and the CMS for HCPCS) update these manuals yearly. It’s up to coders to learn any new or reorganized codes as they come out, and use them correctly. This is partly why professional organizations like the AAPC and AHIMA require every member to complete a certain amount of educational credits every two years. Keeping your skills sharp is imperative.
Unbundling is closely related to upcoding, in that it involves false reporting designed to earn the provider a higher payout from a payer. Unbundling means separately coding procedures that would normally be included in one umbrella code.
Undercoding is the purposeful reportage of less expensive medical services than were performed, while overcoding is the reportage of more expensive procedures than were performed. Both of these are fraudulent, and can lead to audits and investigations.
This means abstracting the most information out of the medical reports from the provider and taking accurate notes. It also means knowing the medical terminology for both procedures and diagnoses. Coding to a general level, or undercoding (which we’ll discuss in a moment) can lead to a rejected or denied claim.
Bad Documentation/Missing Documentation. Of course, not coding to the highest level isn’t always the coder’s fault. In certain cases, the provider won’t give the coder enough information about the procedure they’ve performed. Providers may leave important details of the procedure out of the report, or they may provide illegible medical reports.
Every year, you’ll have to update your coding manuals with their latest versions. In many cases, brand new manuals will be provided by your employer as part of a work expense. If not, it’s worth it to buy new ones every year yourself. These manuals include new codes and new, revised guidelines, and having the latest edition is imperative if you want to stay up-to-date.
CPT codes describe complete procedures. The incision/exposure/approach to the level of the pathology is included in all surgical procedure codes and should not be separate ly coded. The American Academy of Orthopaedic Surgeons’ Code-X and the American Association of Neurological Surgeon’s Guide to Coding are examples of how physician specialty societies have specifically defined that the access or approach to the procedure is included in the CPT code.
Kim is a nationally recognized coding expert. Her energetic and engaging teaching style makes her a sought-after educator, trainer and speaker. Her nursing background provides her with the ability to understand both the clinical and coding attributes of a procedure.
The approach, or access, to the spine is included in all open spine surgical CPT codes. For example, the retroperitoneal approach is included in 22558 (anterior lumbar interbody fusion) because the procedure could not be accomplished without it. Therefore, when the vascular or general surgeon performs the approach – which is included in 22558 – the code is appended with modifier 62 and reported by both the approach and spine surgeons. It is not accurate for the approach surgeon to report a code such as an exploratory laparotomy (49000).
For example, the endoscopic intranasal approach to a pituitary tumor is included in 62165 (endoscopic transnasal excision of a pituitary tumor). When the otolaryngologist performs the endoscopic intranasal approach for the neurosurgeon to excise the pituitary tumor, then each surgeon reports the same CPT code with modifier 62 (Two Surgeons). The exposure/approach is included in 62165 , a stand-alone CPT code, and should not be separately reported with component codes as shown in the table below.
“Upcoding” oftentimes occurs when reporting Evaluation and Management (E/M) codes for office and hospital non-surgical services. If the documentation supports 99203 (new patient visit, level 3), it is considered “upcoding” if the provider codes the service as a higher level such as 99204 (new patient visit, level 4).
Current Procedural Terminology ® (CPT) is a coding system that physicians and other providers use to bill for their services. While typically not taught in medical school, residency or other formal education arenas, providers are still expected to know how to properly code for services provided. Here are six basic coding rules ...
Some codes may have language that closure is not included. In those instances, closure is typically not performed because the operative wound size is small such as in 41110 (excision of lesion of tongue without closure).
One of the Centers for Medicare & Medicaid Services’ (CMS) key goals is to pay claims properly the first time. This means paying the right amount to legitimate providers for covered, reasonable, and necessary services furnished to eligible beneficiaries.
Federal regulations touch almost every aspect of healthcare documentation, coding, and reporting. Recently, the U.S. government has been undertaking regulatory activities to drive down healthcare costs and improve patient outcomes. It’s imperative for your organization to keep a close eye on published regulations, ...
The healthcare industry is moving from a volume-based payment system to a value-based payment (VBP) system that uses documented and coded patient outcomes to decide whether a patient was provided quality care. The VBP is a CMS initiative that rewards acute care hospitals with incentive payments for the quality of care provided to Medicare beneficiaries. The incentive payments are based on a hospital’s performance on a predetermined set of quality measures and patient survey scores collected during a baseline period, compared to a performance period.
Patient Safety. Patient safety is not only a clinical concern. Specific documentation supports coding and reporting of Patient Safety Indicators (PSIs) developed by the Agency for Healthcare Research and Quality (AHRQ). These conditions include healthcare-associated infections, surgical complications, falls, and other adverse effects of treatment.