July 15, 2008 @ 6:09 pm
By Jacob Goldstein | The Wall Street Journal Health Blog

So we’ve got this patient here who was injured in this spaceship accident. You know, just a routine, uh, orbital mishap. But how do we account for that? Oh, right, it’s ICD-9 code E845 — “Accident involving spacecraft.”

Apropos of nothing in particular, this billing code popped up on a couple of medical blogs last week (KevinMD and Dr. Secretwave101). Intrigued, we did a little reporting.

This extended definition notes that the code includes “launching pad accident,” but excludes “effects of weightlessness in spacecraft,” which has its own code (E928.0).

ICD (International Classification of Diseases) codes are the basic international health codes that exist for just about everything (as this spaceship thing suggests). They’re used both for billing purposes and for tracking trends in public health.

A spokesman for the Centers for Medicare and Medicaid, one of the key agencies that deals with the codes in this country, told us that E845 was in the current version of U.S. ICD-9 code when it was first published in 1979. The code was created by the World Health Organization as part of ICD-9, the spokesman said. Other places in the world use ICD-10, we’ve stuck with ICD-9-CM.

A little creative Googling turned up a citation of the same code all the way back in 1966.

Just because a code exists, it doesn’t mean anybody’s ever used it. “Whether someone was injured [by a spacecraft] or not was immaterial because somebody thought, ‘What If?’ ” Sheri Poe Bernard, a VP at the American Academy of Professional Coders told us.

It didn’t take much to get Poe talking about all the strange things that have their own codes. Bite of a non-venomous arthropod. Dog bite. Rat bite. Scorpion sting. “A centipede has its own code — E905.4,” she said. “Accident caused by paintball gun, E922.5 Accident by fireworks, explosion, E923.0″

If you can think of a way to be killed or injured, there’s a code for it. “Terrorism has all kinds of codes associated, involving marine weapons, aircraft, explosions, conflagration,” she said. “Terrorism involving nuclear weapons, E979.5; biological weapons E979.6; chemical weapons E979.7.”

Uh, thanks Sheri. If you need us, we’ll be huddling under our desk, fearing for our lives. What’s the ICD code for that?

July 08, 2008 09:30 AM EDT | BUSINESS WIRE

HOUSTON — The slumping economy may be slowing deal flow in some sectors, but it is accelerating adoption of outsourcing in the healthcare industry as it struggles to streamline its back-office and ramp up to meet increased demand for services as the U.S. population ages, according to EquaTerra, a leading business advisory firm. In its newly released poll of leading outsourcing service providers on the state of the healthcare outsourcing market, EquaTerra expects these competing macro economic trends to drive large-scale outsourcing and offshoring deals over the next three to five years, especially in business process and information technology outsourcing (BPO and ITO).

Half of the respondents to EquaTerras 2Q08 Healthcare BPO/ITO Service Provider Pulse Survey* report demand is up quarter over quarter and 70 percent expect an increase next quarter. The scope of healthcare outsourcing is expanding too as healthcare organizations attempt to gain efficiencies through greater automation, self-service capabilities and improved IT infrastructure and functionality.

Typically, healthcare companies that are currently outsourcing have already reduced labor costs. Now, they want to achieve business process improvements via technology, business process reengineering and implementation of Six Sigma methodologies. As a result, they are prioritizing their outsourcing goals and focusing on functions and processes core to healthcare front and back-office operations. Seventy percent of healthcare services providers polled cited vertical healthcare business service areas, like claims administration and revenue cycle management (RCM) as the top areas of outsourcing demand in the market today.

Outsourcing buying patterns also appear to be changing. There is an emerging trend toward consolidating work sourced to several providers (e.g. claims imaging, data entry and claims processing) to a single, large vendor that can handle the entire claims function. In addition to standard BPO services, the clear expectation from this single-source solution is overall business transformation plus value-added knowledge services, including claims analytics, collections and reserve forecasting.

The survey also indicates more healthcare industry work is moving offshore to both India-based and multinational service providers. IT infrastructure monitoring and support along with RCM were identified as the two functions using the highest levels of offshore talent. Cost reduction continues to be a major impetus, but theres also a significant shift to more strategic activities, according to 65 percent of the survey participants. As a result, outsourcing buyers are migrating from a contract labor model to longer-term, project-based work and multi-year outsourcing efforts that require greater control over functions and processes. Service providers cited the top two drivers for the increased use of offshore resources as immediate access to expertise and talent (50 percent) and knowledge services (42 percent).

To compete for this upscale work, outsourcing providers are developing more compelling offerings, according to Mark Voytek, healthcare industry practice lead for EquaTerra. Healthcare companies need tools that support effective fiscal management and IT applications that can automate clinical processes and assist in improving quality, especially reducing medical errors. The low upfront costs associated with outsourcing versus a total-cost-of-ownership model is especially attractive in the current economy.

Voyteks thoughts are echoed by an executive from a leading healthcare service provider who says escalating costs and cuts in Medicare and Medicaid payments coupled with the increased demand of an aging population threaten the solvency of many U.S. hospitals. Sixty percent of U.S. hospitals are already unprofitable and rely on charity and donations for supplemental funding. Cuts in claims payouts will further shrink revenues just as more Americans will utilize health services. The number of hospitals that are highly unprofitable will grow unless they adopt large-scale outsourcing and offshoring to reduce overall cost levels.

Top-line finds from the 2Q08 Healthcare Service Provider Pulse Survey:

  • Outsourcing service providers (82 percent) said the healthcare payer industry exhibits the greatest demand for BPO and ITO services. The healthcare provider market ranked second (73 percent.)
  • Costs savings are still paramount, but 75 percent of the service providers polled report buyers are putting greater emphasis on process improvement, innovation and transformation.
  • EquaTerra estimates approximately 75 IT and BPO deals were initiated from 2004 through 2007 with a total contract value (TCV) of $50 million. Of these, 75 percent were ITO deals and 25 percent were BPO. To date, healthcare represents less than five percent of total outsourcing deals in the market, highlighting the relative immaturity of the healthcare outsourcing market as compared to other industries like banking, financial services and manufacturing. But the healthcare outsourcing market is expected to grow at close to 10 percent over the next five to seven years, faster than overall market growth of seven to eight percent.

The use of offshore and global resources in healthcare outsourcing is accelerating, said Stan Lepeak, managing director of research for EquaTerra. In fact, deteriorating economic conditions will likely drive more outsourcing in the healthcare market over the next several quarters.

*About the 2Q08 Healthcare Industry Pulse Survey

EquaTerra recently polled top outsourcing service providers in the healthcare market. Based on these findings and its own direct market experience, the company mapped the level of buyer demand across several sets of emerging BPO and ITO functions and processes specific to the healthcare space. The demand-level ranking is based on a 1 to 10 scale, with 1 equating to low buyer demand, 5.5 to moderate demand and 10 to high levels of demand. Service providers were asked to comment on current demand and projected levels for the balance of 2008. For more details or to obtain a copy of this survey, please contact Stan Lepeak.

About EquaTerra

EquaTerra sourcing advisors help clients achieve sustainable value in their IT and business processes. Our advisors average more than 20 years of industry experience and have supported over 2000 transformation and outsourcing projects across more than 60 countries. Supporting clients throughout the Americas, Europe, Middle East, Africa and Asia Pacific, we have deep functional knowledge in Finance and Accounting, HR, IT, Procurement and other critical business processes. EquaTerra helps clients achieve significant cost savings and process improvement with internal transformation, shared services and outsourcing solutions. For more information, please contact Lee Ann Moore at +1 713.669.9292; leeann.moore@equaterra.com; www.equaterra.com.

By Abby Jacobson, MS, PA-C

Why does your practice employ you? Can you answer this question? Employing PAs has many benefits, but of course, patient access to care always should be the primary objective when a practice or a hospital decides to start utilizing PAs. Improved physician quality of life is another reason. Nevertheless, the financial benefits of employing PAs cannot be overlooked. Besides offering high-quality patient care, you are a financial asset to the practice.

But how much of an asset are you? The easiest way answer this is to know how much money you bring into the practice. Here are tips to remember when determining how much of a financial benefit you are to your employer.

Ask for Your Data

You need to know how much you bill each month and how much is collected from those charges each month. I strongly recommend your physician assistant employment contract state that you will receive monthly (or at least quarterly) reports of your billings and collections. Ask for this data now. Don’t wait until it’s time for contract negotiations.

Be careful to not appear greedy or selfish when asking for this information. If you say you want the data to see how much you are making for the practice, implying that you will use the data during your next contract negotiation, you are already creating an adversarial situation and setting the stage to be denied access to the data.

Instead, explain that you want this information to review for consistency, to ensure that the practice is getting paid fairly from insurance companies, to review for compliance with reimbursement rules, to evaluate worthwhile contracts with particular insurance companies and to see whether your productivity for the practice is comparable with your colleagues.

Have you asked for this data in the past and been denied? You have a few options. A number of formulas are available to help you try to track collections, or you can calculate some average per-patient charges. Or you could use information collected from other PA colleagues who practice in a setting similar to yours. It’s more difficult, but it can be done. But consider that if a practice is keeping this data from you, what else are they hiding? If your practice won’t share this information, I think you need to ask whether this is the right practice to stay in.

Ask for Colleagues’ Data

It’s very helpful to know what other providers in your office are billing and collecting. This includes the physicians, PAs or nurse practitioners in your practice. Some professional societies, such as the Society of Dermatology Physician Assistants and the Medical Group Management Association, track average billing and collections as part of their salary surveys. If you are under-producing compared with your colleagues, you need to fix the problem. Are you not seeing enough patients? Do you need more support staff? Are you undercoding or overcoding? Do you need to start offering more procedure-based services?

Code and Bill Properly

The most important step in being a financial benefit to your practice is proper coding. As boring and difficult as it seems, you have to know when and how to use the proper codes to bill for the services you provide. You need to know everything from the appropriate level of evaluation and management visits (what makes a 99213 different from a 99212?) to when and how to use a modifier. Unfortunately, this stuff changes regularly, and you need to make it a priority to review it at least yearly.

The second step is to communicate with your billing department staff. Make sure they know how to submit claims properly, that they do it in a timely manner and that current information is collected on your patients. Ask them how rejected or bundled services are handled, and what is done for outstanding patient balances.

For example, one of my PA clients just found out her practice has been writing off charges when a patient’s insurance has a deductible, regardless of whether the patient can pay or not. Her billing staff never even asks the patients for their portion! So the practice is losing hundred of thousands of dollars each year, and the PA is providing free care 25% of the time to a population that could pay at least a portion of their deductibles. You must be involved in the office coding, billing and collections from A to Z.

Know Your Billing-to-Collection Ratio

I recently was working with a client on her contract negotiations and we figured out that her accounts receivable (AR) rate was 48%, meaning that of everything she billed, less than half was ever collected! That’s far below the average benchmarks for a strong practice with a good billing department.

To calculate your practice’s AR rate, divide your collections by your billings and then multiply by 100 to get a percentage. So, for example, if you billed $300,000 and collected $215,000, your AR rate is 71.67%. Compare your rate to the other providers in your office and to other similar practices.

Are Charges and Collections Tracked?

With today’s computers and electronic medical billing, there’s no excuse for a practice not to keep track of your charges and collections. Even if services are billed out under your physician, you can put an internal code on them to track them. If your billing department or office manager doesn’t know how to do that, offer to call the computer software company yourself to find a solution.

It does become more complex if you never see patients directly or if you spend at least part of your time doing things that won’t result in a charge, such a pre-rounding, taking call or assisting during procedures. In this situation, you need to attempt to calculate whether these duties enable your supervising physician to bill more. For example, if you help the physician pre-round, does this save him an hour a day? And if he uses that hour to see patients, how much more has he collected? Or if he can perform two more surgeries a day because you speed the procedures, how much more money do those two surgeries a day bring in?

Start with a strong, ironclad contract, and pay attention to your gut-if you sense red flags, beware! Before accepting a position, find out about the practice’s reputation. Seek opinions from former employees (especially PAs) and from referring clinicians in the community. Research the salaries of other PAs in similar settings. If you’re being abused, look elsewhere. Change can be scary, but sometimes it’s necessary.

By becoming involved with the billing and coding in your office, you can help your physician navigate the confusing and complicated work of running a medical practice. Doing this will give you an advantage in contract negotiations, and you’ll also help your physician in yet another way that PAs can benefit their physician partners in medicine.

Abby Jacobson practice dermatology in Lancaster, Pa. She has held numerous leadership positions in the American Academy of Physician Assistants, the Pennsylvania Society of Physician Assistants and the Society of Dermatology Physician Assistants. She is owner of Strategic Medical Consulting LLC.

Copyright ©2008 Merion Publications

Posted in The Huffington Post on May 29, 2008
By
Dr Deane Waldman

Have you ever been a patient? If so, you know how incredibly complex, user-unfriendly and inefficient the whole billing/insurance system is. Do you know a doctor, nurse or hospital administrator? Ask them and they will say the same thing, louder and angrier: billing is exceedingly cumbersome, under-paying, always late, and inefficient. If the doctors don’t benefit from this mess and the patients certainly do not, then who does benefit? Good question, and is it really “inefficient?”

2008-05-29-CPTbook550.jpg

Pictured above is one of last year’s medical billing code books, containing 8805 five-digit or longer codes – more than the number of identified human diseases. Typically, it is “updated” (expanded) at least once a year. This book gives information required for just one of the 57 (!) different steps used to submit a medical bill.

Efficiency is usually defined as the least resources used for the most money gained. In health care billing, who gets the gain? The people who make profit are not the doctors or hospitals: the profit-makers are the insurance companies.

How do insurance companies make money? The formula is simple: collect lots of premiums and avoid spending the money. That means the more they delay payments; the more they reduce the amount paid; the more they deny payment altogether, the more profit they make. In other words, delaying, paying less or not paying at all for your medical care…generates profit.

And before you blame the big bad heartless insurance companies, remember that they are behaving just the way their stockholders – which probably includes YOU – want them to act. Your pension plan does not hold stock in HCA, United Health, or Blue Cross because they lose money. Your insurance company is not the culprit. The dastardly villain smirking while twirling his handlebar moustaches is the system.

PS. If – a big if – so-called universal health care saves money, it will do so by simplification. This means three things: 1) The middleman profit will go away; 2) Reducing the bureaucracy and red tape will put thousands out of work; and 3) The value of your insurance stocks will end up in the toilet.

18 May, 2008, 1410 hrs IST, PTI
Source: The Economic Times

NEW DELHI: After engineers and lawyers, now doctors are also gearing up to join the BPO brigade, with the outsourcing firms opening up alternative career options for medicos.

With more and more outsourcing firms moving into healthcare sector and medical transcription, the job opportunities for doctors and nurses in the country are getting widened, an industry expert said.

In a BPO firm, the job of a doctor can include medical billing, transcription and coding for the US hospitals.

Medical transcription, also known as MT, is an allied health profession, which deals in the process of transcription, or converting voice-recorded reports as dictated by physicians and/or other healthcare professionals into text format.

However, some companies like the Patni also provides high-end knowkledge process outsourcing where a doctor is required to study the reports of elderly patients and do risk assessment and prepare reports for health Insurance companies in the US.

At present, the IT services and business outsourcing company has 10 doctors in its team who does insurance claim processing, claim and long-term care management.

Nishikant Kadam, Head of HR of medical BPO CBay said: “We generally hire doctors for training our workforce. The doctors in our firm also works as quality analyst for our medical transcription work.”

CBay currently has 11 doctors on its roll. The doctors are also enjoying this corporate job which comes with fat pay-packet.

“It takes at least three to four years for a fresh medical graduate to establish a successful medical practice. In this period a person can work in a medical BPO and earn good cash,” a doctor working with a Noida-based BPO said.

“Salaries are lucrative compared to regular medical job. A senior doctor with three-five years experience could earn about Rs 8-20 lakh per annum in KPO,” Patni Senior Vice- President Sanjiv Kapur told PTI.

As more medico-related work comes to India, the opportunity for more doctors in the business is rising.

The concept of the “greying of America” is widely accepted today. By 2020, the US population over the age of 65 is projected to grow to 55 million and 42 per cent of them would enter a nursing home in their lifetime. This has opened alternative career options for Doctors in KPO,” Kapur added.

“By outsourcing these jobs, the hospitals and clinics in the US aim to reduce your administrative burden,” Kadam said.

Coders must be familiar with combination codes, multiple codes and manifestation coding guidelines.
Prepared by Ingenix Staff

A coder with any experience knows that coding involves more than merely looking up words and selecting corresponding codes on a one-to-one basis. Coding also requires that the coder review the clinical relationship between the multiple conditions that a patient may have and make code selections based upon that clinical relationship. Many medical conditions are inter-related, and the ICD-9-CM coding system allows the capture of these relationships through the use of several different types of diagnosis codes: combination codes, multiple codes (whether mandatory or discretionary) and the related manifestation codes. Each will be discussed.

A combination code is used to report two diagnoses or one diagnosis that is associated with a secondary condition. Combination codes are located in the ICD-9-CM alphabetic index as subterms that follow connecting words such as “due to,” “with,” “associated with” or “in.” The coder may also be able to locate combination codes by reading inclusion and exclusion notes in the tabular list. The new coder may ask, “How do I know when to assign a combination code?” The answer is through thorough coding and paying attention to all coding instructions. The coder then becomes familiar with the types of conditions that require combination codes. Some are more readily apparent than others: acute cholecystitis with cholelithiasis should be assigned to code 574.00 instead of reporting separate codes of 575.0 and 574.20. The combination code is present in the alphabetic index as follows:

Cholelithiasis

with

cholecystitis

acute 574.0

The fifth digit of 0 is added after ascertaining that no obstruction was present.

But some combination codes are not so straightforward and may involve conditions that are clinically and inherently related. For instance, when chronic renal failure and hypertension are both documented on a patient record, the coder may be tempted to assign the very common codes 585.X and 401.9. But the ICD-9-CM Official Guidelines for Coding and Reporting (section I.C.7.a.3) indicates:

“Assign codes from category 403, Hypertensive chronic kidney disease, when conditions classified to categories 585 – 587 are present. Unlike hypertension with heart disease, ICD-9-CM presumes a cause-and-effect relationship and classifies chronic kidney disease (CKD) with hypertension as hypertensive chronic kidney disease.”

Note that this guideline involves chronic renal failure only, and if acute renal failure and hypertension are present without documentation of co-existing chronic kidney disease, the conditions are reported separately with codes from the 401 and 584 categories.

Another example of the appropriate assignment of a combination code in lieu of separate, more commonly reported codes involves chronic obstructive pulmonary disease (COPD) and asthma. Coding Clinic, 2nd Quarter, 1990, page 20 includes the following:

“The new code 493.2x, Chronic obstructive asthma, was developed because of the need to distinguish between non-obstructive and obstructive asthma (that in chronic obstructive lung disease), within the classification. When a patient has COPD with asthma, there is continuous obstruction to airflow on expiration, unlike a patient with non-obstructive asthma, where the patient wheezes during an asthma attack, but then returns to normal breathing once the attack subsides. When a diagnosis of asthma is documented with COPD, 493.2x is assigned whether or not the physician states ‘chronic obstructive’ asthma.”

Multiple coding involves the use of more than one code to fully describe the components of a particular disease process or complex diagnostic statement. When combination codes are not available, but the documentation includes terms such as “due to,” “with, “secondary to” or “incidental to,” multiple codes should be assigned to most fully describe the conditions.

Multiple coding can be considered mandatory or discretionary. Mandatory multiple coding is designated in the alphabetic index by the use of the second code in brackets, which designates the manifestation code. The first code reflects the main underlying condition, and the second code identifies the manifestation of that main condition. Both of these codes must be assigned, and they must be sequenced in the order specified. In the tabular list, the coder will know that another code is required because the terminology “use additional code” appears with the main code and “code first underlying condition” appears with the manifestation code. Regardless of the circumstances of the admission, a manifestation code can never be sequenced as a principal or first-listed diagnosis. If submitted to a Medicare fiscal intermediary, or to another payer that follows national coding guidelines, the case will not be reimbursed until another code is sequenced as the principal or first-listed diagnosis.

For example, a patient with bleeding esophageal varices is admitted to a hospital for treatment of the varices. The documentation indicates that the varices are due to cirrhosis of the liver. The alphabetic indexed entry appears below:

Varix

esophagus

bleeding

in

cirrhosis of liver 571.5 [456.20]

This indicates that the code for the cirrhosis (571.5) must be sequenced first and the manifestation (the varices, code 456.20) must be sequenced as a secondary condition. This is considered mandatory multiple coding.

Discretionary multiple coding involves assigning multiple codes only if the additional condition is documented as actually being present. The coding instruction in the tabular list is “use additional code,” which then instructs the coder to look for the presence of the condition in the medical record documentation before assigning an additional code.

A common example is a urinary tract infection due to E.coli infection. Under code 599.0 in the tabular list, the following appears: “Use additional code to identify organism, such as Escherichia coli [E.coli] (041.4).” This specific type of organism will not be present on all cases, but the coder is alerted to look for documentation of an underlying organism that is causing the infection and assign a separate code accordingly.

Another common coding scenario involves guidelines for cases in which terminology for both “acute” and “chronic” are documented. Whether or not both are coded depend upon the alphabetic indexed entries for that term. For example, a coder may commonly see “acute and chronic bronchitis” documented. The indexed entry appears below:

Bronchitis

acute or subacute 466.0

chronic 491.9

If separate subterms for acute or subacute and chronic are listed at the same indentation level in the index, both conditions are coded, with the code for the acute condition sequenced first. In this particular example, both the acute and the chronic conditions appear at the same indentation level so both would be assigned, with code 466.0 sequenced first. Conversely, if a patient has acute and chronic poliomyelitis, the indexed entry appears as below:

Poliomyelitis (acute) (anterior) (epidemic) 045.9

chronic 335.21

When only one term is included in the index as a subterm, and the other is in parentheses as a nonessential modifier (after the main term), only the code listed for the subterm is assigned. In this case, only code 335.21 would be assigned.

Multiple coding is also required for cases involving patients with late effects, which are residual conditions that remain after the end of the acute phase of an injury or illness. There is no time limit for when a late effect code can be assigned, but coders should review documentation carefully to ensure that the physician makes the connection between the current condition and the fact that it is due to the previous, but now healed, original condition. The nature of the late effect is sequenced first, with the code for the late effect sequenced second.

Many conditions related to previous trauma are inherently late effects, such as fracture nonunion or malunion. Others may not be as readily apparent, such as neural deafness from childhood measles. The vast majority of late effects require two codes for appropriate coding, unless the alphabetic index or tabular list directs otherwise. Also, when the late effect code has been expanded to the fourth- or fifth-digit level that includes the specific late effects for the residual conditions, only the cause of the late effect code is assigned. A good example of this is the late effect of cerebrovascular disease (438.0 – 438.9) category.

It should be noted that although reporting multiple codes to fully describe an episode of care is necessary, indiscriminate multiple coding is not appropriate. An example involves assigning secondary codes for signs and symptoms that are an inherent part of a definitive diagnosis that has already been coded. If a patient is admitted for treatment of congestive heart failure (CHF) and has an associated pleural effusion that is not addressed during the admission, it would not be appropriate to assign a secondary diagnosis for pleural effusion on the same case. Likewise, assigning codes solely on the basis of lab or other tests that have not been substantiated by a physician is not allowed. This is especially crucial when assigning codes under the new MS-DRG system, whereby finding CC or MCC conditions may be more difficult than it was under the previous CMS DRGs.

Coders should not assign codes for conditions that are considered incidental findings and have no significance for the current episode of care. For example, atelectasis on a chest X-ray or right bundle branch block on an EKG is not unusual, and unless the physician documents the significance of the finding and how it relates to the current episode of care, it should not be coded.

To brush up on the ICD-9-CM Official Guidelines for Coding and Reporting that are referenced above, please review the following:

A. Conventions for the ICD-9-CM

6. Etiology/manifestation convention (“code first,” “use additional code” and “in diseases classified elsewhere” notes)

B. General Coding Guidelines

9. Multiple coding for a single condition

10. Acute and Chronic Conditions

11. Combination Code

12. Late Effects

* * * * * * *

After you’ve completed your review, check yourself with the quiz below.

1. A patient is seen in the physician’s office with a diagnosis of chondrocalcinosis of the shoulder due to calcium pyrophosphate. Which of the following would be the appropriate diagnosis code(s) selection?

a. 275.49, 712.21

b. 712.11, 275.49

c. 712.21, 275.49

d. 275.49, 712.81

2. A patient is admitted to the hospital with an admitting diagnosis of GI bleeding. Underlying chronic conditions include hypertension, S/P MI, COPD, atrial fibrillation and asthma, all of which are currently treated. After GI endoscopy, diverticulitis of the colon is diagnosed as the cause of the bleeding. Which of the following would be the appropriate diagnosis code(s) selection?

a. 578.9, 562.11, 401.9, 412, 496, 427.31, 493.90

b. 562.13, 401.9, 412, 496, 427.31, 493.90

c. 562.13, 401.9, 412, 493.20, 427.31

d. 578.9, 562.11, 401.9, 412, 493.20, 427.31

3. The patient is seen in the ambulatory surgery center for treatment of a scar contracture of the left hand secondary to a burn that was suffered during the previous year. Which of the following would be the appropriate diagnosis code(s) selection?

a. 944.00, 709.2

b. 709.9, 944.00, 709.2

c. 709.2, 906.6

d. 906.6, 709.2

4. An elderly patient is admitted to the inpatient unit of the hospital with shortness of breath and fever. She is found to have influenza and pneumonia and is treated accordingly. She also has flaccid hemiplegia due to an old CVA. Which of the following would be the appropriate diagnosis code(s) selection?

a. 487.1, 486, 438.20

b. 486, 487.1, 438.20

c. 487.0, 438.20

d. 487.0, V12.59

5. A patient was admitted with a diagnosis of subacute and chronic pyelonephritis. He has underlying conditions that include diabetic retinopathy, COPD and a traumatic arthritis of the ankle, S/P ankle fracture two years ago. Which of the following would be the appropriate diagnosis code(s) selection?

a. 590.00, 590.80, 250.50, 362.01, 496, 716.17, 905.4

b. 590.10, 590.00, 250.50, 362.01, 496, 716.17, 905.4

c. 590.80, 250.51, 362.01, 496, 716.17, 824.8

d. 590.10, 590.00, 250.51, 362.02, 496, 716.17, 905.4

This month’s column has been prepared by Cheryl D’Amato, RHIT, CCS, director of HIM, and Melinda Stegman, MBA, CCS, clinical technical editor, Ingenix (www.ingenix.com), which specializes in the development and use of software and e-commerce solutions for managing coding, reimbursement, compliance and denial management in the health care marketplace.

Coding Clinic is published quarterly by the AHA.
CPT is a registered trademark of the AMA.

Answers:
1. a: The underlying condition (the calcium pyrophosphate problem) is sequenced first, and then the chondrocalcinosis is sequenced second. The instruction note in the tabular list under cde 712.2X indicates, “Code first underlying disease (275.4).”

2. c: Combination codes are assigned for the colon diverticulitis with bleeding (562.13) and for the COPD and asthma (493.20).

3. c: Following the late effect guidelines, the code for the residual condition (the scar) is sequenced first, and the code for the late effect itself is sequenced second. The burn happened during the previous year and is no longer considered acute; it should not be coded separately.

4. c: Combination codes are assigned for the influenza with pneumonia (487.0) and the hemiplegia late effect of a CVA (438.20).

5. b: Both subacute and chronic pyelonephritis codes are listed at the same indentation level in the index and so both are coded, with the acute code sequenced first. The diabetes is not specified as Type I, nor is the retinopathy specified as proliferative, so codes 250.50 and 362.01 should be assigned. The ankle fracture is no longer acute, so code 824. 8 should not be assigned at this time. Assign codes 716.17 for the traumatic arthropathy and 905.4 to represent a late effect of an ankle fracture.

Copyright ©2008 Merion Publications

21 May, 2008, 0029 hrs IST,Khomba Singh & Sanjeev Choudhary, TNN
News Article from The Economic Times.


NEW DELHI: Mauritius-based firm Healthcare Investment (HIL) is picking up around 8.5% stake in Apollo Health Street (AHS), the healthcare BPO arm of India’s largest healthcare company, Apollo Group, for around Rs 61 crore. This values the company at just over Rs 700 crore. HIL is learnt to the healthcare investment arm of a leading financial firm. However, ET could not identify the name of the financial firm.

AHS is planning to offload 20% stake of its post-issue paid up capital to raise around Rs 160-170 crore from the capital market through its initial public offer (IPO). According to sources, AHS is now allotting 23 lakh shares to Healthcare Investment at Rs 260 per share through issue of equity shares or compulsorily convertible preference shares as part of the pre-IPO placement.

At present, the Reddy family, the promoters of the Apollo Group, holds around 60% stake in AHS, which is expected to come down to around 48% after the IPO. AHS officials declined to respond to a query from ET citing company’s silent period.

The company would use the funds issue to repay the $120 million debt to Bank of India and Barclays Bank. Last year, the healthcare BPO firm raised debt to fund the acquisition of the US-based BPO Zavata for $170 million. AHS plans to repay about Rs 96 crore to these banks while the rest of the fund would be used for the expansion of its upcoming facility in Chennai.

The Collar by Luke Mullins

April 03, 2008 02:59 PM ET | Luke Mullins

Rita Campos Ramirez, a 60-year-old Miami resident, received a 10-year prison sentence for her role in a multimillion-dollar Medicare fraud scheme. The $170 million scheme is the program’s largest individual case of fraud ever. The sentence was announced Wednesday.

As part of her punishment, Ramirez will also have to hand over her three homes and a car. Plus, she was ordered to pay $105 million in restitution to the federal government.

“The sentence in this case dispels the myth that white-collar-crime defendants get off lightly,” FBI Special Agent in Charge Jonathan Solomon said in a press release. “It reinforces the message that healthcare fraud—stealing from U.S. taxpayers—is a serious crime.”

Details of the crime:

Campos pleaded guilty on Aug. 28, 2007, to one count of conspiracy to commit health care fraud and one count of submitting false claims to Medicare. As part of her plea, Campos admitted that between October 2002 and April 2006 she owned and operated R&I Medical Billing Inc., a medical billing company that specialized in submitting bills to the Medicare program on behalf of HIV infusion clinics. Campos admitted that she knowingly submitted approximately $170 million in fraudulent medical bills to Medicare on behalf of 75 HIV infusion clinics in Miami-Dade County that were part of the scheme. Infusion clinics serve HIV patients by providing prescribed medications intravenously.

The Medicare program paid approximately $105 million of the $170 million in fraudulent bills submitted by Campos, with Campos personally receiving $5 million for her role in the fraud.

Full press release is here.

– An Article in The Hindu byD.Murali

Chennai: Coding, as commonly understood, refers to programming and writing a lot of lines of software. However, in the healthcare BPO (business process outsourcing) industry, ‘coding’ refers to the conversion of paperwork, such as patient-charts created by doctors and hospitals, for reimbursement purposes.

“What is currently emerging as a BPO vertical is inpatient hospital coding,” says Mr Gopi Natarajan, CEO of Omega Healthcare India Pvt Ltd. “As an offshored industry, India has been mainly doing outpatient coding for US hospitals and medical professionals. Now, the dearth of qualified resources in the US makes the offshoring of inpatient hospital coding a necessity.”

In terms of jobs that can be offshored, only about 6 per cent of the US healthcare BPO industry has been offshored, informs Mr Natarajan, speaking to Business Line. “With 1,400 employees, Omega has about 16 per cent of the market in terms of offshored healthcare BPO jobs.” The Bangalore-based company provides medical coding, billing, accounts receivable management, claims processing, and healthcare revenue management.

What does inpatient hospital coding involve? And how is it different from the outpatient work? Explains Mr Natarajan, “Inpatient hospital coding is more about the procedures that are done within the hospital, such as the use of beds, surgical equipment, and specialty care. These services are of much higher value in terms of dollars, compared to the outpatient category.”

Omega is working with its clients in the US to make a foray into inpatient hospital coding in the forthcoming fiscal. “We see this new vertical as a shift up the value chain,” says Mr Natarajan.

Hi Guys,

This is Karna from Chennai, India. I’ve been in the US Medical Billing Industry for some time now and thought of having an open channel of communication with people in the same industry. With this idea in mind, have created this blog titled Healthcare BPO to enable people from different parts of the world who are involved in a similar industry to share any news, views, articles, information, ideas, thoughts and knowledge related to the industry…

Hope to have all your support…

Thanks,
Karna (கர்ணா)