Payment: LTACH, IRF, SNF, Home Health, OPT, Cash-based, Edu. Setting - Week 5 Flashcards
How is an LTACH paid?
• paid via Long-Term Hospital Prospective Payment System
–> is a predetermined, fixed amount based on the
admitting diagnosis
How is are LTACH paid patients classified into payment groups?
Classifided into: Medicare Severity Long-Term Care Diagnosis-Related Groups (MS-LTC-DRGs)
–> once placed into group this is what determines how much the hospital will get paid for that patient
(same DRG as acute care but the higher cost of care in LTACH is incorporated into the rate)
- Patient classification system that is the same as MS-DRGs used under the Inpatient Prospective Payment System
- place into group based on diagnoses (including secondary diagnoses), age, discharge status, procedures performed, gender
- Rates based on patient diagnosis and severity of illness
What is the maximum number of days that this beneficiary will be fully covered by Medicare at the LTACH?
• A stay in an LTACH is covered under the 90 days of inpatient hospital care with an additional lifetime reserve of 60 days
** any inpatient hospital includes acute care, LTACH, & IRF….so any day spent in LTACH come from same pot as the 90 days for aloted for inpatient hospitle stay
–> Stay counts towards beneficiary’s Part A inpatient hospital stay allotment per “spell of illness”
How is an Inpatient Rehab Facility paid?
paid via IRF Prospective Payment System
• Pre-determined payment for goods and services
provided during an IRF stay
• medicare bases these rates on patient case mix (based on resources needed to provide care base on pt clinical condition)
In Inpatient Rehab how are patients classified into payment groups?
Placed into category based on their primary admitting diagnosed
–> then grouped into “Case Mix Group” based on the functional, motor, cognitive scores, & age
–> within each CMG placed into 4 possible tiers based on co-morbiditiesies
• IRF-PAI (Patient Assessment Instrument)
- -> considers pt clinical needs & demographics to classify into a payment group
- -> Payment determination & quality measure calculation
- -> Admission & Discharge
LTACH Quality Reporting Program
- must submit annually report quality data
- if LTACH fails to submit on time then they get a 2% point reduction in their annual payment
What is the maximum number of days that this beneficiary will be fully covered by Medicare at the IRF?
• First 60 days fully covered (once deductible is met) if meets criteria including transfer from acute care hospital
–> Co-insurance for days 61-90
** any days spent prior in acute care are included in 60 days **
For IRF, what happens on days 61-90?
Co-insurance for days 61-90
How many times does the beneficiary pay their deductible?
- the beneficiary does not have to pay their deductible twice
- if they meet their deductible while in the acute care hospital they do not have to pay again if they are admitted to IRF within 60 days of leaving the acute care hospital
- if admitted to IRF from the community they must pay their medicare part A deductible before their days are fully covered (part A bucket of money covers stays in acute care, LTACH, and IRF)
What is the Medicare 60% compliance rule for IRF?
Medicare 60% Compliance Threshold Rule
• 60% of facility’s patient population must meet one
or more specified pathological conditions by CMS
13 conditions including: • stroke • amputation • major multiple trauma • hip fracture • brain injury • neurological disorders • burns
What is the IRF-PAI used for?
- -> considers pt clinical needs & demographics to classify into a payment group
- -> Payment determination & quality measure calculation
- -> Admission & Discharge
What happens if an LTACH or IRF fails to submit their quality report annually?
fails to submit on time then they get a 2% point reduction in their annual payment
Medicare Administrative Contractors (MACs)
- Review the IRFs compliance percentage
- look at 12 month periord of time to determine if each IRF meets the 60% compliance rule
- If the facility does not meet the 60% compliance rule, the facility will be paid via the Acute Care Hospital Inpatient PPS
IRF quality reporting program
⎯ CMS requires submission of specific quality
measures determined annually
⎯ Use the IRF-PAI to assess: Functional status, cognitive functions, impairments, medical conditions & comorbidities, & special services, treatments, & interventions
⎯ 2 percentage point reduction in annual payment update penalty for not submitting the required quality data
How is PT billed and paid in LTACH and IRF?
• Physical Therapy is paid from the pre-determined lump sum payment that the facility gets from their respective Prospective Payment System
However, PTs use CPT codes to document their sessions • To justify productivity • To justify staffing needs • Private Insurances • Out of pocket charges
What system is used to pay a SNF?
SNF Prospective Payment System
⎯ Payment is an all inclusive rate (determined at beginning)
⎯ Case mix classification system: type & intensity of resources used to determine the rate
⎯ Geographic variation in wages to adjustment for amount of payment
⎯ Medicare Administrative Contractor (MAC): middle man that process Medicare claims
What is the Minimum Data Set used for?
Minimal Data Set (MDS) determines the reimbursement or classification they fall into
** only for Mediacare part A **
⎯ Screening, clinical assessment & functional
status elements
⎯ Functional capabilities and health problems
⎯ Determines amount of reimbursement for patient’s care
⎯ Quality indicators
The Payment Classification used in SNFs is called
PDPM: Patient Driven Payment Model
- A shift in payment from volume-based payment to quality-based payment
- Determined by 6 payment components (PT, OT, SLP, NTA, Nursing, Non-case mix component
- Based on functional abilities on admission, comorbidities, and skilled nursing care needed
- Payment rates are different for rural and urban providers
In SNFs PDPM when is the assessment given
- assessment is compleded within the first 5 days of admission into SNF
complete section GG (what is used to determine patients functional ablities) :
- PT eval looking at bed mobility, function, gait
- OT eval looking at ADLs
- Speech eval looking at cognition level and diet
- This assessment (GG) puts the patient into a classification category to determine the payment group.
- This will be the payment group throughout the entire length of stay.
In SNFs using PDPM how is the payment adjusted?
- per diem (day) to reflect varying cost throughout the stay
- get a 2% decrease each week after day 20
In SNF
Starting on Day 21, the beneficiary must pay
• Medicare Part A will fully cover days 1-20
• Starting on Day 21, the beneficiary must pay the
daily co-payment until day 100.
• After 100 days, the patient will then be covered by Medicare Part B.
In SNF
need to be admitted?
what will medicare part A cover?
- must have Qualifying 3-night hospital stay
- will cover up to 100 days per spell of illness as long as the patient shows progress
- need “skilled therapy” or nursing services
SNF:
Individual Treatment
Treatment of 1 patient at a time
SNF:
Concurrent Treatment
Treatment of 2 patients at the same time, when the patients are not performing the same or similar activities, regardless of the payer source, both of whom must be in line-of-sight of the treating therapist or assistant
SNF:
Group Treatment
Treatment of 2-6 patients, regardless of payer source, who are performing the same or similar activities, and are supervised by a therapist or an assistant who is not supervising any other individuals
SNF:
Co-treatment
2 clinicians from different disciplines treat 1 patient at the same time and perform different treatments
Limited use; only appropriate for special circumstances-require complex intervention; support with documentation; not used to provide additional support
SNF:
What percentage of a patient’s total PT treatment time can be used for Concurrent AND Group Treatment?
• Only 25% of a patient’s total treatment time can be provided as Group Therapy AND Concurrent Therapy
Example:
if a patient is seen for total of 1,000 minutes of PT during their stay, a therapist can only provide 250 TOTAL minutes of Group Therapy and Concurrent Therapy combined for that patient.
SNF:
STUDENT THERAPISTS
- Only 1 patient may be treated by therapist & student at a time
- The therapist cannot be engaged be treating or supervising other individuals
- The student does not have to be in line-of-sight but needs to be on sight
• Therapist must determine the appropriate level of
supervision for student (although must be on-site)
- Time will be billed as if the therapist was providing the services
- All state and professional practice guidelines for student supervision must be followed