Industry begins to identify ICD-9 to ICD-10 gaps in Medicare coverage determinations

National and Local Coverage Determinations (NCD & LCD) are the clinical review policies by which Medicare and its various administrative contractors determine the medical justification for a provided service.  In advance of October 1, these policies were updated to reflect ICD-10 diagnoses that support medical necessity and subsequent payment to providers.  As the industry continues to successfully navigate the transition, it is beginning to notice that certain ICD-10 codes considered clinically equivalenet to the original ICD-9 codes in the old policies have been conspicuously omitted.  As such, providers could be denied for services for which they used to be paid.  As with any policy from the CMS, changes are generally provided in draft and subject to a public comment and reveiew period.  The mere addition of ICD-10 codes to the policy consitutes such a change not to mention the omission of codes.  Medicare has acknowledged those that have been found including   LCD L33627 (peripheral arterial examinations (CPT® codes 93922-93931) which omitted I73.9, the non-specific code for peripheral vascular disease and L35125 (Wound Care) which omitted the ICD-10-CM unspecified stage of pressure ulcer codes.  As such they will be adding these codes into the new policy, making it retroactive to October 1, 2015.  To read more about this developing issue, please click here

 

 

Workgroup for Electronic Data Interchange (WEDI) issues results for latest ICD-10 Readiness Survey

The Workgroup for Electronic & Data Interchange (WEDI) has released the results of its latest (and likely last) ICD-10 readiness survey.  The survey included responses from 621 respondents, consisting of 453 providers, 72 vendors and 96 health plans.  Overall, the survey suggests that the predominant majority of hospital providers and insurance plans are or will be ready for the implementation date on October 1, 2015, an encouraging sign for the industry as it transitions to this new healthcare language of ICD-10.  Some of the more noteworthy findings included:

  • Hospital/health system testing and readiness: Almost 75 percent of hospitals and health systems have started or completed external testing. Additionally, nearly 90 percent responded that they were ready or would be ready by the compliance date, while a few were unsure if they would be ready.
  • Health plan testing and readiness: Nearly 75 percent of health plans have begun or completed external testing. 40 percent responded that they were already prepared and the remaining 60 percent said they would be ready by October 1.
  • Vendor product development and availability: 75 percent of vendor respondents have fully completed product development and no one responded that their products would not be ready by the compliance date.
  • Physician practice testing and readiness: Only about 20 percent of physician practices have started or completed external testing and less than 50 percent responded that they were ready or would be ready for Oct. 1. This is cause for concern.

The full survey results and letter to the Department of Health & Human Services Secretary, Sylvia Matthews Burwell can be viewed here.

 

CMS: Second end-to-end testing of ICD-10 successful

by Fred Pennic of HIT Consultant

CMS has announced the results of its second ICD-10 end to end testing week conducted from April 27 through May 1, 2015 for Medicare Fee-For-Service (FFS) health care providers, clearinghouses, and billing agencies. CMS was able to accommodate most volunteers, representing a broad cross-section of provider, claim, and submitter types. Approximately 875 providers and billing companies participated, and testers submitted over 23,000 test claims.

Key results include:

The acceptance rate for April was higher than January, with an increase in test claims submitted and a decrease in the percentage of errors related to both ICD-9 and ICD-10 diagnosis codes.

  • 23,138 test claims received • 20,306 test claims accepted
  • 88% acceptance rate
  • 2% of test claims were rejected due to invalid submission of ICD-10 diagnosis or procedure code
  • <1% of test claims were rejected due to invalid submission of ICD-9 diagnosis or procedure code

Professional and Supplier Claims – No issues identified and zero rejects due to front-end CMS systems issues.

Institutional Claims – One issue identified related to system edits: Certain inpatient hospital test claims were inappropriately processed due to a systems issue with codes that are exempt from Present on Admission reporting. This issue will be resolved prior to the July end-to-end testing week, and testers will have an opportunity to re-submit these test claims.

The home health issue discovered during the January end-to-end testing week was resolved prior to the April testing. January testers had the opportunity to re-submit these test claims, and they were processed correctly.

 

 

 

The argument against ICD-11

Authored by the Coalition for ICD-10 on January 13, 2015

In what at times feels like an unending barrage of excuses why the U.S. should further delay moving to ICD-10, one of the frequently repeated reasons is that we should wait until ICD-11 is ready for implementation.

This excuse is reminiscent of Samuel Beckett’s play Waiting for Godot:

“Let’s go.” “We can’t.” “Why not?” “We’re waiting for Godot.”

Based on the World Health Organization’s (WHO) current timeline, ICD-11 is expected to be finalized and released in 2017. For the U.S., however, that date is the beginning, not the end. As with every WHO version of the ICD codes, ICD-11 would need to be adapted to meet the detailed payment policy, quality assessment and other regulatory requirements of U.S. stakeholders.

The modification of the WHO version of ICD-10 for use in the U.S. took eight years. It was another eleven years before the regulatory process of proposed rules and comment periods was completed and the issuance of a final rule establishing ICD-10 as the HIPAA standard code set. The ICD-10 final rule gave the industry three years to get ready for ICD-10 implementation. Two one-year delays have now pushed the time allotted for preparation to five years. Based on the ICD-10 timeline, ICD-11 would not be implemented until 2041.

It’s now 16 years since the U.S. version of ICD-10 was completed, five years since publication of the ICD-10 final rule, and the U.S. still has not implemented ICD-10. For the many healthcare organizations that worked diligently and in good faith to prepare for ICD-10, the lament in Waiting for Godot is all too true:

“Nothing happens. Nobody comes, nobody goes. It’s awful.”

The U.S. simply cannot wait decades to replace ICD-9, a code set that was developed nearly 40 years ago. U.S. healthcare data is deteriorating while at the same time demand is increasing for high-quality data to support healthcare initiatives such as the Meaningful Use EHR Incentive Program, value-based purchasing, and other initiatives aimed at improving quality and patient safety and decreasing costs.

Moreover, implementing ICD-10 is an important step on the pathway to ICD-11. ICD-11 is built on ICD-10 and benefits from the clinical knowledge and additional detail that have been incorporated into the U.S. version of ICD-10. Transitioning to ICD-10 in 2015 will provide an easier and smoother transition to ICD-11 at some point in the future.

Indeed, a 2013 report[1] on the feasibility of skipping ICD-10 and going right to ICD-11, published by the American Medical Association Board of Trustees, recommended against waiting for ICD-11 and called it fraught with pitfalls. The AMA report concluded that overall implementation and training efforts for ICD-11 will be more challenging if ICD-10 is not implemented first, and the U.S. would miss out on improvements in the ICD-10 codes that better align with today’s data needs.

Waiting for ICD-11 is simply not a viable option. The absurdity of the endless waiting in Waiting for Godot culminates in frustration:

“Let us not waste our time in idle discourse! Let us do something, while we have the chance!”

Yes, the wait needs to be over. It’s time to stop wasting time. It’s time to get ICD-10 implemented.

[1] American Medical Association. “Evaluation of ICD-11 as a New Diagnostic Coding System.” Report of the Board of Trustees. 2013. http://www.ama-assn.org/assets/meeting/2013a/a13-bot-25.pdf.

WEDI Survey Suggests Mixed Industry ICD-10 Readiness; NYP remains ahead of the curve

The Workgroup for Electronic Data Interchange (WEDI) has released the results of its latest ICD-10 readiness survey released in February 2015. The findings suggest that while there has been incremental progress along some activities, the uncertainty created by past delays is a catalyst for stagnation that could put entities at risk come October 1, 2015. Based on responses from 1174 participants including 796 providers, 173 vendors, and 203 health plans, an increase of more than 100% from the August 2014 survey, WEDI summarized its findings in its March 31, 2015 letter to Department of Health & Human Services Secretary Sylvia Mathews Burwell.

  • Compliance date uncertainty: Uncertainty around further delays was listed as a primary obstacle to implementation, appearing on more than 50 percent of all responses for vendors, health plans and providers.
  • Health plan testing: More than 50 percent of health plans have begun external testing, and of these, a few have completed testing. This is a slight improvement from the prior survey.
  • Vendor product availability: About 60 percent indicated their vendor products were available or they had started customer testing. This is a slight decrease from about two-thirds in the August 2014 survey. However, the number that responded ‘unknown’ decreased from one eighth to just a handful.
  • Provider testing: Only 25 percent of provider respondents had begun external testing and only a few others had completed this step. This is actually a decrease from the about 35 percent of provider respondents that had begun external testing in the August 2014 survey.

Independent of the state of industry readiness, NYP continues to be ahead of the curve in both its diligence, remediation, and testing activities as it moves toward an internal ICD-10 implementation date of July 1, 2015.

To view WEDI press release and the letter to Secretary Burwell, click here.

 

 

 

Congressional Hearing Overwhelmingly Supports Transition to ICD-10

Sports teams often look for that seminal moment. That game, that play, that trade where the fortunes of a season, an organization are transformed. For ICD-10 let’s call that day February 11, 2015. The day that the House and Energy Commerce Committee’s sub-committee on Health heard from industry constituents about the state of ICD-10 readiness and its ability to facilitate transformation in healthcare.

Individuals representing physician groups, hospitals, HIM trade associations, insurance carriers, and technology vendors led what was largely a congressional cheerleading session (with some diplomatic governmental bashing for good measure) supporting the current implementation date of October 1, 2015. Benefits were touted, support of other government initiatives including meaningful use and value based reimbursement were articulated, myths were dispelled, and stories of success were shared.

If this never ending season of ICD-10 is to turnaround, perhaps this was that seminal moment we are all looking for. A selection of quotes from speakers is included below. For a full transcript of presentations and video testimony click here.

  • Edwin M. Burke, MD, Beyer Medical Group: “On a busy Monday morning, October 7, 2013 we took on ICD‐10 and we haven’t looked back. We did not have special training. We did not spend ANY money in preparation. We did not see less patients and our practice did not suffer. As providers, it was not frustrating or scary. It just ‘was’”.
  • Rich Averill, Director of Public Policy, 3M Health Information Systems: “The biggest frustration with DRGs updates is that reasonable proposed DRG modifications from the health care providers often cannot be considered because there are no ICD-9 codes available to evaluate the proposal”.
  • Sue Bowman, Senior Director, Coding Policy and Compliance, American Health Information Management Association: “The development of ICD-10 involved extensive input from the healthcare industry, particularly the physician community. A number of physician organizations, including medical specialty societies, continue to actively participate in the ongoing maintenance of ICD-10 by requesting additional clinical detail. Ninety-five percent (95%) of the requests for new ICD-10-CM codes in the past three years came from physician organizations”.
  • Kristi A. Matus, Chief Financial and Administrative Officer, Athena Health: “Repeated delays in deadlines associated with key goals of our nation’s ambitious, bipartisan healthcare agenda undermine the government’s credibility and impede progress on crucial initiatives”.
  • William Jefferson Terry, MD, Mobile Urology Group: “CMS and the coding industry have said that it can take a year to adequately prepare for this transition. If we must transition, ICD-10 implementation should be incremental – carried out over 2-3 years, which we believe CMS and other health insurers’ administrative systems are capable of”.
  • Carmella Bocchino, Executive Vice President of Clinical Affairs and Strategic Planning, America’s Health Insurance Plans: “…the more specific diagnosis and procedure information in ICD-10 will support better correlation of the outcomes achieved from different medical processes, yielding much more actionable clinical outcome information and an improvement in care quality.”
  • Dr. John Hughes, Professor of Medicine, Yale University: “…techniques such as minimally invasive surgery, which have been increasingly and successfully used in cardiac surgery, and are rapidly expanding into other surgical fields, cannot not be adequately described using the simplistic four digit structure of ICD‐9”.

Chairman Peter Sessions to potentially draft ICD-10 delay legislation

Despite months of positive progress.  Despite endorsements from the General Accounting Office (GAO).  Despite an overwhelming amount of support in favor of implementing ICD-10 at a recent hearing in front of the House Energy and Commerce Committee’s subcommittee on Health, and despite his own words suggesting if not outright indicating the October 1, 2015 implementation date would be met, the American Health Information Management Association (AHIMA) has received word that Chairman Pete Sessions (R-Tx) is now looking to draft legislation to once again delay ICD-10.  As such, AHIMA is asking its constituents and the industry as a whole to call your local congressman to advocate for no further ICD-10 delay.  The organization’s instructions are listed below.

As a reminder, NYP is in full support of the transition to ICD-10 and is operationally, clinically, and financially ready to implement these new code sets.  The increased specificity of ICD-10 enables NYP to truly communicate the amazing care it provides to its patients every day.

Call these legislators today and voice your support for ICD-10 in 2015.  Note, this will be the most critical month in Congress to ensure the new code sets are implemented this year.  You can follow these 4 easy steps:

1) Call Dr. Michael Burgess at (202) 225-7772

2) State that you support ICD-10 implementation in 2015.

3) Use the talking points below:

  • We need the code sets in 2015!
  • A recent GAO report supports ICD-10 readiness
  • Small physician practices are expected to spend between $1,900 and $6,000 to transition to the new code set.  This is much lower than previous reports.  The study can be found on coalitionforICD-10.org

4) You can additionally call these congressmen to voice your support:

  • Chairman Pete Sessions                            TX-32                                      (202) 225-2231
  • Rep. Virginia Foxx                                       NC 5                                        (202) 225-2071
  • Rep. Tom Cole                                             OK 4                                        (202) 225-6165
  • Rep. Rob Woodall                                       GA-7                                       (202) 225-4272
  • Rep. Steve Stivers                                       OH-15                                     (202) 225-2015
  • Rep. Doug Collins                                       GA-9                                        (202) 225-9893
  • Rep. Louise Slaughter                                NY-25                                      (202) 225-3615

 

GAO Gives CMS ICD-10 Readiness Thumbs Up

Efforts by the Centers for Medicare and Medicaid Services to prepare providers, clearinghouses, and health plans for the October 1 ICD-10 deadline are on track, and CMS is ready to process claims using the new codes.

That is the conclusion of a just-released Government Accountability Office report on the readiness of CMS for the ICD-10 switchover.

“The transition to ICD-10 codes requires both CMS and covered entities to develop, test, and implement information technology systems that can process the new codes,” states the GAO report. “In addition, these covered entities need to educate and train staff in using these new codes, and may need to modify internal business processes.”

According to GAO, CMS has developed various educational materials, conducted outreach, and monitored the readiness of covered entities and the vendors that support them for the ICD-10 transition. For example, the agency held in-person training for small physician practices in some states and monitored readiness through stakeholder collaboration meetings, focus group testing, and reviews of industry surveys, finds the report.

GAO also reported that CMS modified its Medicare systems and policies. For example, the agency completed all ICD-10-related changes to its Medicare fee-for-service (FFS) claims processing systems. Auditors also found that the agency provided technical assistance to Medicaid agencies and monitored their ICD-10 readiness. As a result, all Medicaid agencies reported that they would be able to perform all of the activities that CMS has identified as critical by the October 1 implementation deadline.

Nonetheless, while CMS’s Medicare FFS claims processing systems have been updated to reflect ICD-10 codes, GAO states that “it is not yet known whether any changes might be necessary based upon the agency’s ongoing external testing activities.” Auditors also conclude that although CMS has worked with states to help ensure that their Medicaid systems are ready for the ICD-10 transition, “in many states, work remains to complete testing by the transition deadline.”

At the same time, GAO reports that stakeholder organizations identified several areas of concern about the ICD-10 transition and made several recommendations, which CMS has taken steps to address. For example, stakeholders expressed concerns that CMS’s testing activities have not been comprehensive. To address this concern, CMS officials said that the agency has scheduled end-to-end testing with 2,550 covered entities during three weeks in 2015 (in January, April, and July).

In response to the GAO report, Senate Finance Committee Chairman Orrin Hatch (R-Utah) and Ranking Member Ron Wyden (D-Ore.) issued a statement saying they have “confidence” that CMS is “adequately preparing to implement” ICD-10 by the October 1 deadline. “As demonstrated by this report, the provider outreach and responsiveness to stakeholder concerns from CMS have kept the agency on track to upgrade to the next level of healthcare coding,” said Hatch. Wyden added that CMS has “taken unprecedented actions to help providers prepare for this change.”

Similarly, the Coalition for ICD-10 in a statement said that the GAO report “affirms widespread recognition across the healthcare industry that CMS is well-prepared to implement the U.S. transition to ICD-10 on October 1, 2015, and that the agency has undertaken extensive efforts to help the health care industry prepare,” adding that “the U.S. is ready to move forward with ICD-10

House Energy & Commerce subcommittee on healthcare to hold ICD-10 implementation hearing

Article by Mary Butler, associate editor at the Journal of AHIMA. “This article was originally published on the Journal of AHIMA website on February 4, 2015, and is republished here with permission.”

See full article here

A key Congressional committee will be holding a stakeholder hearing on ICD-10-CM/PCS implementation next week. The “Examining ICD-10 Implementation” hearing, set for 10:15 am ET on February 11, is being held by the influential House Energy and Commerce Committee’s subcommittee on healthcare, which is chaired by Rep. Joe Pitts (R-PA).

“This hearing is an important opportunity to hear about the state of preparedness of all those involved and ensure that we are continuing to move forward in health care technology,” Pitts said in a press release announcing the hearing .

Back in December, House Energy and Commerce Committee Chairman Fred Upton (R-MI) and House Rules Committee Chairman Pete Sessions (R-TX) issued a statement saying that they would hold hearings on ICD-10 and stay in communication with the Centers for Medicare and Medicaid Services (CMS) “to ensure that the [ICD-10-CM/PCS] deadline can successfully be met by stakeholders.”

463105901The Congressmen noted in the statement that “it is essential that we understand the state of preparedness at CMS. Following the most recent delay of ICD-10, we heard from a number of interested parties concerned about falling behind or halting progress.”

AHIMA staff will attend the February 11 hearing and closely monitor any developments that result from it. Panelists testifying at the hearing will include stakeholders who both oppose and support implementing ICD-10 on October 1, 2015.

The Majority Memorandum, a witness list, and witness testimony will be available online here as they are posted.

Historically, this subcommittee has played key roles in healthcare legislation and in the ongoing debate over the SGR patch—which last year included language delaying ICD-10. Another SGR patch may once again be voted on by Congress in the coming weeks if a permanent fix is not enacted. The House Energy and Commerce Committee also includes physician members of Congress who have a specific interest in the implementation of ICD-10.

AHIMA officials have said they are encouraged by the hearing announcement, and feel it is a chance for an open and frank discussion about ICD-10, the current industry readiness, the impact of any future implementation delays, and the best path to move forward with implementation. The initial statement announcing the hearings came during wide grassroots activism in support of no further ICD-10 delays on the part of AHIMA, the Coalition for ICD-10, and other supporters.

The House subcommittee hearing will be held the day after the Coalition for ICD-10’s Capitol Hill briefing on Feb. 10. The briefing will discuss rural provider and payer readiness for ICD-10, and include perspectives from hospital and physician groups who support the current October implementation deadline.

Click here for a list of the House Energy and Commerce Committee Subcommittee on Health’s members.

The hearing webcast will be available to watch live at http://energycommerce.house.gov/.

CMS announces results from November ICD-10 Acknowledgement Testing Week

CMS conducted another successful acknowledgement testing week last month. Acknowledgement testing gives providers and others the opportunity to submit claims with ICD-10 codes to the Medicare Fee-For-service (FFS) claims systems and receive electronic acknowledgements confirming that their claims were accepted. While providers are welcome to submit acknowledgement test claims anytime, during the November testing week, testers submitted almost 13,700 claims.

More than 500 providers, suppliers, billing companies, and clearinghouses participated in the testing week last month. Testers included small and large physician practices, small and large hospitals, labs, ambulatory surgical centers, dialysis facilities, home health providers, ambulance providers, and several other physician specialties. Acceptance rates improved throughout the week with Friday’s acceptance rate for test claims at 87 percent. Nationally, CMS accepted 76 percent of total test claims. Testing did not identify any issues with the Medicare FFS claims systems. This testing week allowed an opportunity for testers and CMS alike to learn valuable lessons about ICD-10 claims processing.

To ensure a smooth transition to ICD-10, CMS verified all test claims had a valid diagnosis code that matched the date of service, a National Provider Identifier (NPI) that was valid for the submitter ID used for testing, and an ICD-10 companion qualifier code to allow for processing of claims. In many cases, testers intentionally included errors in their claims to make sure that the claim would be rejected, a process often referred to as “negative testing.” The majority of rejections on professional claims were common rejects related to an invalid NPI. Some claims were rejected because they were submitted with future dates. Acknowledgement testing cannot accept claims for future dates. Additionally, claims using ICD-10 must have an ICD-10 companion qualifier code. Claims that did not meet these requirements were rejected.