National Fee Analyzer. Charge data for evaluating fees nationally

Transcription

1 National Fee Analyzer Charge data for evaluating fees nationally 2013

2 Contents Introduction...1 Key to Proper Reimbursement... 1 The Medical Coding System... 1 What This Book Has to Offer... 2 A Coding Overview...11 Coding Systems Using CPT Reimbursement Issues...29 Trends Other Reimbursement Trends Health Care Plans Contracts Auditing Rules Setting Medical Fees...49 Choose a Pricing Philosophy for Fees Developing a Pricing Strategy Conducting an Impact Analysis Summary Checklist Anesthesia...53 Anesthesia Section Arrangement Anesthesia Codes and Guidelines Coding and Billing for Anesthesia and Anesthesia Coding Other Billing Issues for Anesthesia Surgery...69 Surgery Section Arrangement Surgical Coding Methodology CPT Surgical Terminology and Coding Guidelines Negotiating with Payers Radiology Radiology Section Arrangement Technical and Professional Components Documentation Coverage Issues Code Selection Interventional Radiology Modifiers Coding Insights Glossary Pathology and Laboratory Pathology and Laboratory Section Arrangement Tracking Lab Work and Other Ancillary Services Reimbursement Clincal Laboratory Improvement Act (CLIA) Regulations Medicine Medicine Section Arrangement Guidelines Modifiers Coding Insights Dialysis and Therapy and Chiropractic Evaluation and Management Evaluation and Management Section Arrangement E/M Guidelines E/M Documentation Guidelines Place of Service Distinctions Concurrent Care Consultation Hospital Observation Preventive Medicine Prolonged Services Case Management Optum CPT only 2011 American Medical Association. All Rights Reserved. Data only 2011 FAIR Health, Inc.

3 2013 National Fee Analyzer Introduction 3 Charge Data The data used in the National Fee Analyzer is actual provider charge data collected from health insurance payers by FAIR Health, Inc. This national charge data is aggregated and combined with a relative value and conversion factor methodology. The relative value clinically compares and ranks medical procedures by difficulty, work, risk, and the material costs of these procedures. The conversion factor is the dollar amount developed for each charge by dividing the charge by the code s relative value. Please note that while insurance payers contribute billed charges to the data used in this product, no individual physician or clinic is identifed in the data. Additionally, no allowed amounts or insurance company paid amounts are used in the product. FAIR Health licenses the data to many of its insurance payer customers under the name FAIR Health RV Medical Module. The FAIR Health RV Medical Module product has four releases per year February, May, August, and November. The National Fee Analyzer and the FAIR Health RV Medical Module use data that falls within a 12-month period. For example, the November 2011 release of the FAIR Health RV Medical Module product contains data with a date of service range from September 2010 through August National 50th and 75th Amounts These amounts were developed using the blended methodology described in the Charge Data section. National 50th This column is the 50th percentile of the database nationally. s are frequently misunderstood. A fee at the 50th percentile does not mean 50 percent of providers charge that amount. If your fee for a given service is at the 50th percentile, then, based on FAIR Health methodology and data, 50 percent of the submitted charges for that service are equal to or higher than your fee. National 75th This column is the 75th percentile of the database nationally. If your fee is at the 75th percentile, then, based on FAIR Health methodology and data, 25 percent of the submitted charges are equal to or higher than yours. Amounts The majority of values for CPT codes are from the Physician Fee Schedule (MPFS). The codes contained in the MPFS are primarily professional services, but some technical (facility) services are also listed. While the amounts from the MPFS reflect the nonfacility reimbursement amounts, it should be noted that for procedures that must be performed on an inpatient basis, CMS does not provide a separate nonfacility rate. For procedures that must be performed on an inpatient basis, the facility reimbursement rate is provided. For 2012, the MPFS fees are based on a conversion factor of For codes that are not valued on the MPFS, the RVU column will display For these codes, the fee in the Average column comes from one of the following fee schedules. Average Sales Price (ASP) Drug Pricing Files The ASP Drug Pricing Files provide a national fee schedule. does not adjust reimbursement rates based on geographic area; however, different rates exist for some drugs based on supplier. The majority of codes on the ASP pricing files are for HCPCS J codes. The National Fee Analyzer contains the subset of fees from the ASP drug pricing files that are assigned to CPT codes. Clinical Lab Fee Schedule (CLAB) The clinical laboratory fee schedule contains fees for outpatient laboratory services from the section of CPT codes. The fee displayed is the CLAB National Limitation Amount. Actual reimbursement rates vary by locality, but the national average reimbursement provides a good benchmark to compare to provider charges and private payer allowables. amounts are subject to change throughout the year. The averages published in National Fee Analyzer are the most current available at the time of printing. Please check with CMS or your local carrier to obtain rates for a specific locality and date. Geographic Adjustment Factors Table A lists commercial (non-) Geographic Adjustment Factors (GAF) so you can align the national average percentile amounts found in National Fee Analyzer with local fees. For example, the GAF for the Birmingham, Alabama area is To arrive at a Birmingham areaadjusted 75th percentile amount for code 10040, multiply the national amount by the GAF ($ x = $127.97). Table B lists Geographic Adjustment Factors (GAF) so you can adjust the national fee schedule amount to your locality, by multiplying the listed fee by your locality s adjustment factor. Note that this table will not yield the exact reimbursement but should closely approximate the expected amount. Calculating the exact reimbursement amount requires the individual components of each total RVU as well as the associated GPCIs for those components. Commercial Geographic Adjustment Factors In order to adjust the national averages to specific geographic areas, geographic adjustment factors have been calculated by taking the difference from the national average for each service area across all service areas for each geographic area. Averages were then taken across the service Introduction 2011 Optum CPT only 2011 American Medical Association. All Rights Reserved. Data only 2011 FAIR Health, Inc.

4 2013 National Fee Analyzer Surgery 85 p CPT Code Description RVU 50th 75th 90th Fee Dermal autograft, trunk, arms, legs; first 100 sq cm or less, or 1% of body area of infants and children each additional 100 sq cm, or each additional 1% of body area of Dermal autograft, face, scalp, eyelids, mouth, neck, ears, orbits, genitalia, hands, feet, and/or multiple digits; first 100 sq cm or less, or 1% of body area of infants and children each additional 100 sq cm, or each additional 1% of body area of , Tissue cultured skin autograft, trunk, arms, legs; first 25 sq cm or less additional 1 sq cm to 75 sq cm (List separately in addition to code for primary procedure) each additional 100 sq cm, or each additional 1% of body area of Tissue cultured skin autograft, face, scalp, eyelids, mouth, neck, ears, orbits, genitalia, hands, feet, and/or multiple digits; first 25 sq cm or less additional 1 sq cm to 75 sq cm (List separately in addition to code for primary procedure) each additional 100 sq cm, or each additional 1% of body area of Full thickness graft, free, including direct closure of donor site, trunk; 20 sq cm or less each additional 20 sq cm, or part thereof (List separately in addition to Full thickness graft, free, including direct closure of donor site, scalp, arms, and/or legs; 20 sq cm or less each additional 20 sq cm, or part thereof (List separately in addition to Full thickness graft, free, including direct closure of donor site, forehead, cheeks, chin, mouth, neck, axillae, genitalia, hands, and/or feet; 20 sq cm or less , , SAMPLE DATA , Surgery each additional 20 sq cm, or part thereof (List separately in addition to Full thickness graft, free, including direct closure of donor site, nose, ears, eyelids, and/or lips; 20 sq cm or less each additional 20 sq cm, or part thereof (List separately in addition to Application of skin substitute graft to trunk, arms, legs, total wound surface area up to 100 sq cm; first 25 sq cm or less wound surface area , Add-on Code, Modifier 51 Exempt. Moderate Sedation a Modifier 63 Exempt # Resequenced Code Revised Code New Code 2011 Optum Data only 2011 FAIR Health, Inc. CPT only 2011 American Medical Association. All Rights Reserved.

5 2013 National Fee Analyzer Medicine 379 CPT Code Description Individual psychotherapy, insight oriented, behavior modifying 20 to 30 minutes face-to-face RVU 50th 75th 90th Fee with medical evaluation and management services Individual psychotherapy, insight oriented, behavior modifying 45 to 50 minutes face-to-face with medical evaluation and management services Individual psychotherapy, insight oriented, behavior modifying 75 to 80 minutes face-to-face with medical evaluation and management services Individual psychotherapy, interactive, using play equipment, approximately 20 to 30 minutes face-to-face with medical evaluation and management services Individual psychotherapy, interactive, using play equipment, approximately 45 to 50 minutes face-to-face with medical evaluation and management services Individual psychotherapy, interactive, using play equipment, approximately 75 to 80 minutes face-to-face with medical evaluation and management services Individual psychotherapy, insight oriented, behavior modifying residential care setting, approximately 20 to 30 minutes face-toface with medical evaluation and management services Individual psychotherapy, insight oriented, behavior modifying residential care setting, approximately 45 to 50 minutes face-toface SAMPLE DATA with medical evaluation and management services Individual psychotherapy, insight oriented, behavior modifying residential care setting, approximately 75 to 80 minutes face-toface with medical evaluation and management services Individual psychotherapy, interactive, using play equipment, non-verbal communication, in an inpatient hospital, partial hospital or residential care setting, approximately 20 to 30 minutes face-to-face with medical evaluation and management services Medicine + Add-on Code, Modifier 51 Exempt. Moderate Sedation a Modifier 63 Exempt # Resequenced Code Revised Code New Code 2011 Optum Data only 2011 FAIR Health, Inc. CPT only 2011 American Medical Association. All Rights Reserved.