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    Is it time to renegotiate your managed care contracts?

    One of the most frequently asked questions I receive from anesthesiologists is whether or not Medi-Bill handles managed care contract negotiations. Medi-Bill no longer handles direct managed care negotiations for our clients because this exceedingly difficult task has a much higher rate of success when handled by a competent health care attorney. Because of our volume however and long-standing relationships with various healthcare attorneys, we are able to provide your practice with skilled health care attorneys who specializes in managed-care renegotiations at highly discounted rates.

    It is crucial that your practice periodically renegotiate managed-care contracts or reimbursement will suffer dramatically. Medi-Bill can help streamline and simplify this important task. We also provide Medicare provider enrollment and general physician credentialing as a free part of our service.

    If you are preparing to start a new practice Medi-Bill can help. Call 1-800-811-1882 ext. 2201.

    CMS Eliminates Consult Codes

    In the July 13, Federal Register, CMS announced its plan to eliminate payment for consultation codes effective January 1, 2010. The proposal includes non-cash payment for all inpatient (99251 - 99255, inpatient consultation for a new or established patient) and outpatient (99241 - 99245, office consultation for new or established patient) and consultation codes.

    Even though CMS stopped payment for the -- office consultation codes (99241 -- 99245, office consultation for a new or established patient) and inpatient consultation codes (99251 -- 99255, inpatient consultation for a new established patient) in 2010, the American Medical Association chose not to delete the listed codes from the 2010 CPT Manual.

    Please understand: just because the consult codes appear in 2010 CPT is not an indication of whether or not payer will actually cover the services this year. Medicare published a final rule and opted to discontinue payment on the listed consultation codes. Private insurance may or may not follow suit.

    This Catch-22 is only a CMS issue and not a private payer elimination. The American Medical Association has Consultations in the CPT manual and WE, will have to manage which entities pay and which do not. Generally, over time, institutions typically follow Medicare guidelines. Further confusing the issue is the fact that many Medicare recipients who opt out into HMO plans will also follow Medicare guidelines.

    Instead of reporting consult codes, you will need to report inital hospital or new/established patient office visit (E/M) for these services.

    Historically, only the admitting physician reported initial hospital codes (99221 -- 99223, Initial hospital care.) And specialists who subsequently treated the patient billed inpatient consultation codes.

    Because of the CMS policy regarding consultation codes you should bill initial hospital care for the initial inpatient visit. If you perform a consultation in the hospital, you should use the initial hospital visit code (99221 -- 99223) or the subsequent hospital visit code (99231 -- 99233), according to Medicare's new fee guidelines in 2010.

    Dr. Peter A. Holliman who is the American Medical Association CPT editorial Vice President recently advised physicians at the RBRVS 2010 symposium in Chicago to" stop thinking about 99221 -- 99223 as admit codes." 99221 -- 99223 are for the initial hospital care that a physician provides. A physician could see an inpatient who has been in the hospital for several days. If the physician is providing initial hospital care, he can use 99221 -- 99223 even if he provides the care on the same date subsequent to the admission day. Additionally, more than one physician can now use the initial hospital code for the same patient. If two physicians from different specialties are both consulting on a patient for the first time, both physicians will use the initial hospital care code.

    Each physician will be allowed to utilize the 99221 -- 99223 code range only once, after which he will report subsequent hospital care codes (99231 -- 99233, Subsequent hospital care, per day, for the evaluation of management) for follow-up visits.

    Primary care physicians should use the AI (Principal physician of record) as CPT modifier. This indicates they are the initial admitting physician and all other claims submitted for the initial hospital care will be presumed consultations.

    Correct ICD-9 coding is always important. However, now that more than one physician can report initial hospital care, your diagnosis codes prove why two or more physicians might be necessary for the same care.

    Separate diagnosis codes will help substantiate the medical necessity for providing consult services. If an auditor reviews your hospital code (99221 -- 99223) documentation, different diagnosis will show why more than one physician's evaluation and management was necessary for the same patient. If two patients from different specialties are treating the same problem, there needs to be a clear reason for the service.

    Providers should include the reason he/s. needed to see the patient. Separate diagnosis codes will make a big difference in the initial claim processing phase because they help support medical necessity. Additionally, different diagnosis will be especially important for the follow-up care (99231 -- 99233).


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