Chapter 11 Flashcards
Reimburesement
-payment of funds by a patient or an insurer to a healthcare provider for services rendered.
First party
patient
Second party
-physical therapist
third party
insurer
Insurer
-payer that makes payment services under the insurance coverage policy.
Capitation
-a reimbursement method that pays the provider a fixed amount for each month, based on the number of patients enrolled in the insurance plan.
-MAINLY USED BY MANAGED CARE ORGANIZATIONS
Fee-for service payment
-payment for specific healthcare services that were provided to a patient.
-payment can be made by patient or insurance carrier.
-when a procedure is performed, a fee is charged, and the patient or insurance provider pays it.
The current healthcare market has caused insurance companies to reimburse only?
-a percentage of the total bill
Managed care
-a variety of methods of financing and organizing the delivery of health care in which costs are contained.
Health maintenance organization (HMO)
A type of health insurance plan that limits coverage to care from doctors who work for or contract with HMO.
Preferred provider organization (PPO)
similar to HMO
-however, it allows patients to choose out-of-network providers, but will not pay for 100% of those charges
Copayment
a amount to be paid by the patient to healthcare professionals each time a service is provided.
Deductibles
-portions of healthcare costs that the patient must pay prior to getting benefits from the insurance company.
EX of deductible of $1,000
patient pays the first $1,000 of healthcare costs and the insurance company will then assist with the healthcare bills.
Denial
-refusal by an insurer to reimburse for services that have been rendered
-TERM HATED BY HEALTHCARE PROFESSIONALS
Eligibility
-process of determining whether a patient qualifies for benefits, based on factors such as enrollment date, preexisting conditions, and valid referrals
Prior authorization
-required by some healthcare insurers that requires the patient or the healthcare provider to contact them to approve procedures or health care.
National Provider Identification (NPI)
-Unique # that identifies who individual healthcare providers and healthcare organizations are when performing such activities as billing.
Who has an NPI?
-only PTs
-PTA billing is coded using their supervising PTs NPI.
ICD-10-CM:
International Classification of Diseases, tenth revision, Clinical Modification
-these codes create a standardized classification of diagnoses across all health care settings and providers.
ICD-10-CM codes…
-diagnoses
-symptoms
-inpatient procedures
CPT:
Current procedural terminology
-a list of descriptive terms that contains fiver-character, numeric codes assigned to nearly every healthcare service.
-every billing needs a CPT
Who creates CPT?
American Medical Association
Which range does physical therapy providers utilize the procedural codes?
-97000 range
97000 codes are considered…
-TIMED CODES
-it is important to record the exact number of minutes the procedure was performed
Billing is done in..
-units
-each unit is 15 minute period of time
Medicare billing
-the number of units billed will be based on the 8 minute rule
8 minute rule
this rule states that timed code procedures must last at least 8 minutes in order to bill 1 unit.
-procedure that is 8-22 minutes is one unit
untimed CPT codes
-procedures that do not require constant supervision
-97012(mechanical traction).
-97014 (electrical stimulation)
-these are billed as one unit and do not fall under 8 minute rule.
Who can reimburse physical therapy services?
-Medicare
-Medicaid
-private health insurance companies
-HMOs
Medicare
-largest provider of healthcare services in the U.S.
-established in 1965
Medicare is a health insurance program for the following persons..
-people 65 and up
-people younger than 65 with certain disabilities
-people of all kinds of ages with end-stage renal disease
who administers the Medicare program and Medicaid?
-centers for medicare and medicaid services
what is the purpose of the CMS?
-developed quality strategies to assist the agency in:
improving patient care,
containing healthcare costs,
4 parts of medicare
-Part A
-Part B
-Part C
-Part D
Part A
-hospital insurance
-most people do not pay a premium for Part A because they or a spouse already pay for it through payroll taxes while working.
-SNF, home health, hospice, inpatient
Part B
-medical insurance
-monthly premium paid