Medical Coding Services And Physicians Need To Prepare For ICD-10 Switch

You've probably heard that the mandated switch tothe new version of HIPAA transaction standards
using ICD-10 codes for filing claims has been delayedknown as 5010 in order to file claims. This is due to the
by a few years until October 2013. You can breathe afact that the current 4010 version does not
little easier for now, but you may want to consideraccommodate ICD-10 codes. Even if you believe you
how your office will implement the changes now. Andcan put off updates to switching to ICD-10, you should
what do these changes mean for your practice?at the very least start considering what it will take to
First, some background...as you know, medicalupdate to the 5010 transaction standards.
insurance companies do not pay for "tensionAccording to a recent article in the Wall Street Journal:
headaches" and "15 minute office visits for an"CMS says it expects implementation of the new
established patient" - insurance companies pay forsystem initially will boost by as much as 10% the
ICD-9 codes like 307.81 and procedure CPT codesnumber of claims returned because of coding
such as 84450. ICD-9 codes, procedure and HCPCSmistakes. But a study by the Blue Cross and Blue
codes all describe patient complaints, illness,Shield Association of insurers predicts billing errors are
procedures and supplies for a submitted claim. Thelikely to rise between 10% and 25% in the first year."
ICD-9 codes currently in use were adopted in theIt may be a good time to consider either a switch to
1960s by the U.S. Since then there have been manyoutsourcing your billing to pass the cost off to a billing
advances in the medical industry. Under the currentcompany, or at least consider an internet based claims
ICD-9 system, the room to expand is limited. By addingfiling program. The advantages with internet based
room under the new system, there will be space toelectronic claims filing is that the updates are built in to
expand and it will allow for more specific reporting.the platform at no cost to you other than the cost of
How much so? Think there are a lot of codes now?using the service. This could potentially save you
Try 68,000 diagnoses codes, up from 13,000 ICD-9thousands upfront as well as over the long run. The
codes now. For procedure codes we go from 3000whole purpose of the switch to ICD-10 is to
codes now to 87,000 codes! What is more, ICD-9accommodate the increasing updates in technology
codes will go from up to 5 digits (ex. 307.81) to up to 7.and procedures. You can be sure that any in-house
The deadline for implementation is 2013. In fact, this issoftware you use for claims filing will require annual
not the first time ICD-10 was supposed to beupdates that can represent cost to your practice as
implemented. Many medical providers have put offwell.
switching taking a wait and see approach since theYou can see why it will be more important then ever
mandate has been delayed in the past. However, thisto have a coder educated on the new codes as a
time is different as insurers have begun to putpart of your practice. Implementation of the new
processes in place in preparation.system will be costly, so when the time comes,
If you now do your billing in-house and file using on-siteout-sourcing your coding could be a cost-saving
software, the switch to ICD-10 could be a largesolution. If that is the route you choose, there are
expense for updates to your software as well. What'sphysician billing services that can assist you.
more, by January 1, 2012 all physicians must begin using