Thursday, March 13, 2014

Medicare Physician Fee Schedule: Get Ready For ED E/M Coding Adjustments, Telehealth Coverage


Watch for these RVU changes to determine your 2012 payments

In case you were hoping for a reprieve in 2012 from the recession cost stresses on EDs, the word is that you can anticipate an overall decrease of 1.5 percent in entire 2012 CMS payments. Read this expert medical coding insight and learn how this all breaks down and will influence your ED billing.

2012 Medicare Physician Fee Schedule facts: The Centers for Medicare and Medicaid Services (CMS) released the Medicare Physician Fee Schedule Final Rule Nov. 1, 2011, which addresses changes to the physician fee schedule, as well as other significant Medicare Part B payment policies. The rule is effective beginning Jan. 1, 2012 and was published in the Nov. 28, 2011 Federal Register.

Look For Small ED E/M RVUs Decreases

As per the Medicare Physician Fee Schedule 2012 final rule, emergency medicine will involve a -1 percent update to complete RVU values in 2012. This is free of any change to the conversion factor.

The RVUs for ED E/M codes, the governing factor in defining ED reimbursement, have only second decimal point adjustments predominantly due to minor changes in practice expense. Of note, the work RVUs have not changed for 2012 and remain steady at 2011 levels.

See the chart below to compare the precise RVU E/M code breakdown for 2011 and 2012:

Anticipate More Pay for Initial, Subsequent Observation

The good news is that you can look for large RVU gains for initial and subsequent observation care services, whereas the same day observation admit and discharge codes will remain close to the 2011 values.

Prep for Pay Upticks for These ED Procedures

The 2012 RVUs allocated to complex abscess drainage 10061 (Incision and drainage of abscess [e.g. carbuncle, suppurative hidradentits , cutaneous or subcutaneous abscess, cyst, furuncle, or paronychia]; complicated or multiple) will increase by almost 9 percent and the CPR code 92950 (Cardiopulmonary resuscitation [e.g., in cardiac arrest] will experience a 5 percent increase. The intermediate laceration codes had diverse results. Some of the code work RVUs were reduced marginally and a few of the intermediate code values were augmented.

Medicare Physician Fee Schedule 2102 Update: Telehealth Coverage For ED Services Gets Green Light

And more good news for EDs offering telehealth services: CMS has expanded its telehealth site promotion to cover EDs, which means EDs are now qualified site for telehealth coverage. The ED was not considered a qualified site of services previously, but for 2012, Medicare is creating novel code descriptors for the telehealth codes. The definition is now being expanded beyond inpatients and includes the emergency department.

The 2012 ED telehealth codes, descriptors, and assigned RVUs are listed below. The originating site's reimbursement has been increased as well by 0.6 percent.