
DID
YOU KNOW: Certified RN-Coders are among the brightest and the best at
ICD9/HCC chart reviews!
Whether
your Medicare Advantage plan delivers the PCP or specialist
charts by appropriate dates of service digitally, or you need the CRN-C
reviewers to obtain relevant ICD9 for you at the medical offices or
hospital, one thing is certain: Certified
RN-Coders are your single best resource for ICD9 code
validation for Medicare compliance!
The
RN-Coder Network is the only company in the United
States providing specially-trained RN coder-reviewers for Medicare Advantage
plans. Currently we have over 1500 trained RN-Coders all over
the US, ready and waiting to perform onsite chart reviews and digital
reviews. Pricing varies by type of chart, location, total number
of charts to be reviewed and timeframe.
A Southern California-based company, the RN-CODER NETWORK
was established to assist physicians and Health Plans in obtaining full
premium revenue for their Medicare Advantage members. The
goal of the RN-CODER NETWORK is to help clients achieve accurate
and complete documentation, diagnosis coding and reporting of their
Medicare Advantage patients’ health status.
With costs rising and revenue sources diminishing, Medicare Advantage
Plans and their risk partners can ill afford to fail to identify their
members’ relative severity of illness - the key to Medicare’s
premium calculation. Accuracy in medical chart documentation is essential
to proper and complete reimbursement for Medicare Advantage members.
The RN-CODER NETWORK’s analytic software, developed
by clinicians such as Internal Medicine physicians and RNs with extensive
chart review experience with HCCs, helps Health Plans and their risk
partners receive the full measure of premium revenue for their members.
THE
RN-CODER NETWORK’s proprietary AUDIT-R
software identifies "high-yield" charts, those charts most
likely from a clinical and statistical point of view to contain overlooked
data. AUDIT-R prioritizes the chart review
list. The list includes the most likely yielding charts - typically
30% to 40% of all records. By eliminating up to 2/3 of the charts, Clients
can choose the optimal point of their investment and maximize return
by greatly reducing the time and expense required to review charts.
When THE RN-CODER NETWORK's AUDITR
coding software is employed by Certified RN-Coders, the chart review
becomes focused and efficient. The results:
- Findings
increase 40% over standard reviews by non-clinical coders
- Return
on Client investment approaching 8 to 1 and higher
Organized
by a team of HCC physicians, nurses, and managed care executives, the
RN-CODER NETWORK has developed software and techniques to pinpoint
diagnoses in the medical chart that have not been recorded or inaccurately
recorded according to CMS guidelines. Our AUDIT-R
AND REVIEW-R software programs integrate claims,
encounter, and prescription drug data with hundreds of special algorithms
to identify probable undocumented chronic conditions. The RN-CODER
NETWORK's software based systems have dramatically improved
members' risk scores.
“Lax
Coding by Physicians Hurts Medicare Advantage Plans”
By
assisting doctors, insurers can get all the payment that they are due,
but that too often is lost
By
Marcia Naveh, MD
Health insurers participating in managed Medicare have never experienced
as wide a gap between actual and potential payment as currently exists.
Simply stated, Medicare managed care payments from the Centers for Medicare
& Medicaid Services depend on accurate and complete diagnostic physician
coding.
However,
the economics of running a physician practice penalize those who take
the extra time to code completely. The physician coding that health
plans rely on to set their premium payment levels is incomplete and
inaccurate, and as a result, many health plans currently receive dramatically
lower premiums than those to which they are entitled. That need not
be the case, however.
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RECENT
HISTORY
Ideally,
plans that enroll more complex patients will receive higher premiums
from Medicare to provide the necessary services. Proper HCC classification
depends on both a plan’s ability to obtain accurate diagnostic
information and a plan’s ability to report that information accurately
to CMS. Although this sounds simple, it has proven to be quite challenging
from both an operational and clinical perspective.
Obtaining
the complete diagnosis data needed for accurate risk adjustment is fraught
with challenges. CMS accepts information regarding a member’s
health status from limited sources, one major one being medical charts
from physician offices.
Unfortunately,
physicians are not trained or motivated to document the complete spectrum
of applicable diagnosis codes during an office visit, as only one valid
diagnosis code is required for the physician to receive compensation.

The
health plan, however, must obtain every existing diagnosis coded in
order to obtain an appropriate risk score and receive proper payment
from CMS. Failure to do so can cost plans millions of dollars per year
that could be used to provide needed medical services to members.
Consider:
A patient has a cold but has suffered a previous stroke, is diabetic
and has Parkinson’s disease, congestive heart failure, and high
blood pressure. The physician is paid based on whether the visit is
short, medium, or long, and she codes one diagnosis: upper respiratory
infection. While the physician is paid correctly for the visit,
the plan may not get paid the proper premium if the physician fails
to report a code or does not provide the necessary specificity in coding
to document the complexity and anticipated cost of the disease.
In
all likelihood, this patient will be hospitalized, perhaps incurring
a catastrophic two- or three-week stay in the intensive care unit. Because
this member’s risk score was never properly obtained, the MA plan
did not accumulate the necessary reserves to provide for this event.
Now
let’s suppose that the physician is trained to perform a comprehensive
evaluation of all relevant diagnoses and properly documents each relevant
diagnosis code. The next challenge is to get that information to CMS.
Under the HCC system, patients with complex medical problems are at
highest risk of being scored too low in the risk assessment.
Such
patients can require 10 to 20 ICD-9 codes to accurately reflect their
health status. Because most medical billing intermediaries (clearinghouses)
truncate after four ICD-9 codes, these patients at highest risk will
not have their risk adjusted properly, and, once again, the plan will
not receive the appropriate payment.
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FINANCIAL
PENALTY
From
a clinical perspective there are more serious challenges. Under Medicare+Choice,
health plans were penalized financially for enrolling sicker members,
because payment did not reflect complexity. Under HCC methodology, plans
have an incentive to enroll sicker members. Assuming ideal circumstances,
a Medicare Advantage plan has processes in place to ensure both comprehensive
diagnosis coding and accurate submission to CMS.
But
those are ideal circumstances.
Does your MA plan have access to the necessary robust resources (hospitals,
nursing homes, home care, case management, disease management) to manage
the complex medical needs of the population it now insures? More importantly,
does the health plan have the technology to identify the patients who
would benefit from additional resources and monitor their utilization
and progress? Under the HCC risk system, it is essential that
plans deploy all necessary resources to achieve better outcomes and
avoid catastrophic events.
Although
the challenges of the HCC system are daunting, the system offers significant
rewards and opportunities for plans willing to embrace the change. CMS
has stated that the Medicare Modernization Act is a budget-neutral program.
Total premiums distributed to participating Medicare Advantage plans
will not be allowed to increase under the HCC payment system. How the
premium dollars are divided among the plans will, however, change dramatically.
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PROFITABILITY
There
is a lot of money at stake. Al Lewis, president of the Disease
Management Purchasing Consortium, says, “Average plans are leaving
significant revenue on the table by not providing CMS with a complete
and accurate listing of ICD-9 codes. When payments from the government
are only increasing 2 percent to 4 percent per year and medical costs
are increasing at a much greater rate, plans must improve the coding
of members to remain financially viable.”
Plans
that focus on cost-management strategies such as disease management
and ignore the need for income management in the form of an effective
HCC strategy are missing the big picture. “Best practices in a
disease management program can save perhaps $200 per high-risk Medicare
life,” Lewis explains. “Yet from a coding perspective,
these plans are often paid $2,000 less than they should be paid for
these members because of under-reporting of ICD-9 codes.
So,
coding is 10 times as important as disease management, yet plans are
probably spending 10 times as much on disease management as on coding.”
In addition to increasing their revenue, plans that embrace an HCC strategy
are likely to achieve better outcomes. By using rigorous and comprehensive
health assessments, members with underlying health conditions stand
a greater likelihood of those conditions being identified. They can
then be channeled into proper disease management programs.
Members
taking several medications are also more likely to get the attention
they need to address their poly-pharmacy risks when coding has been
addressed. As physicians complete more comprehensive reviews, they can
look at a member’s medications more rationally and see which medications
are really needed and which are not. After all, more drugs mean higher
risk of adverse effects, higher potential for medication errors, and
an increased risk of negative drug interactions. Fewer unnecessary and
inappropriate drugs means lower costs.
Certified
RN-Coders, trained in documentation of drug dosages and drug management
for chronic illness, are far more likely to obtain correct ICD9 codes
for chronic & Rx HCCs from a PCP or specialty chart than a non-clinical
coder.
Effective
MA plans will also identify ways to reach out to members who see a physician
only when they have a crisis. Bringing these members into the fold will
not only improve their health status but also will provide the plan
with accurate risk profiles. Furthermore, these members will become
less likely to utilize costly emergency services.
For
plans that have already implemented an HCC strategy, that strategy will
require constant evaluation, regular modification, and lots of training.
For plans that have chosen a “wait and
see” approach, now is the time to act. Given the uncertainty of
future premiums and escalating medical costs, it is critical for plans
to be paid properly for their membership.
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IMPLEMENTATION
There
are two phases to creating a solid strategy. The first is the retrospective
phase, whereby the plan utilizes clinical coders
and sophisticated algorithms to find unreported diagnosis codes by searching
through medical charts. This involves pulling large numbers of charts
from physician offices to secure codes that have not been submitted
to CMS.
The
second phase is the prospective phase. Plans train physicians in their
network to provide complete and accurate lists of all relevant ICD-9
codes for each member encounter. This approach improves the plans’
ability to capture accurate data and eliminates the need for expensive
retrospective chart reviews in the future.
In
the retrospective phase, a plan can become overwhelmed by the tedious
nature of reviewing large numbers of medical charts. Therefore, it is
important to stratify the population from highest risk to lowest risk,
from an HCC perspective. Specially-trained RN-Coders are uniquely
qualified to verify and/or locate additional chronic ICD9 codes.
“Locating Competent RN-Coders Has Never Been Easier Or
More Cost Effective”
Do
Certified RN-Coders cost the plan more? Our per-chart review costs
are among the most competitive in the US. When you consider the
additional efficiency and revenue they will bring into the plan. You
will see just how cost-effective RN-Coders can be. And because
they are out-sourced, there is no additional cost of payroll taxes,
benefits, or vacations. Our unique online scheduling and data-gathering
tools, which will provide all validated or acquired relevant ICD9 codes
in the correct RAPS format, enables your project managers to literally
watch our progress as it unfolds.
“Providing
Consistent and Predictable Results"
All
of our RN-Coders have passed a rigorous national coding certification
exam and are highly competent with numerous years of specialty clinical
experience. They are qualified to assist your plan with implementation
of new HCC systems or sustaining current systems to ensure quality diagnostic
coding of your members’ chronic conditions.
We
understand your needs and are committed to your success! Please
call the RN-Coder Network today, as we are currently scheduling for
the January 2009 CMS deadline for 2007 dates of service: 909-579-0507
(M-F, 9am-4pm pacific) for details.
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Joyce
L. Thomas, MHA, CPM, CPC, CCC-Advanced
President & Founder
The
RN-Coder Network
1142 S. Diamond Bar Blvd. Suite #796
Diamond Bar, CA 91765
www.RN-Coder.com/HCC
About
Joyce L. Thomas, MHA, President:
Graduating from the University of LaVerne in 1987 with a Masters
in Healthcare Administration (MHA) degree, Joyce is a former medical
practice administrator with extensive experience in physician and outpatient
coding. She has developed the RN-Coder and RN-Auditor Institutes, curricula
which trains Registered Nurses in an accelerated format the basics of
Medicare-compliant coding and chart audit, which has resulted in over
5,000 RNs being trained since 2001. Joyce is also the Executive Director
of the American Association of Clinical Coders & Auditors, a non-profit,
tax-exempt 501c6 professional organization, which is the only group
in the US certifying RNs and other clinical personnel (such as physicians,
physician assistants, physical therapists) in coding compliance with
a computer-based exam. Joyce assisted Maxicare in recovering over $4
million on a Medi-Cal stop-loss contract – and most recently assisted
HealthNet in several arbitrations, saving HealthNet over $14 million.
Having worked with Ernst & Young as a health care consultant, Joyce
has also served as an expert witness for healthcare plans requiring
testimony on proper coding and reimbursement. Her clinical background
is in midwifery, primarily in assisting women in out-of-hospital births.
Joyce and her husband Carl live in Southern California, and she is the
mother of two grown daughters and two sons (Jaye, 21 a college student
and Jordan, 11 are still at home) and grandmother to Moira Elisabeth,
who at 14 just started high school.