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Agenda

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Agenda Placeholder ICD-10 Are You Prepared?

February 26, 2013

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Our Presenter – Betty Gomez

 Betty Gomez  VP of Regulatory Strategy  ZirMed’s Industry Liaison  21 Years of Health Care EDI Experience 2

Webinar Topics

• • • • • • • •

ICD-10 Background – Final Rule Why is the Industry Going to ICD-10?

Comparing ICD-9 to ICD-10 Understanding the Global Impact of ICD-10 ICD-10 Timeline Preparing for ICD-10 – Provider Focus Industry Readiness – Where We Stand Today Raintree Product Readiness

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ICD-10 Background

January 16, 2009, the Federal Government issued a new HIPAA rule requiring the adoption of ICD-10-CM diagnosis codes and ICD-10-PCS procedure codes for all dates of service on or after October 1, 2013.

April 9, 2012, the Office of the Secretary, HHS (Health and Human Services) proposed a rule to change the ICD-10 compliance date to October 1, 2014.

Compliance with 5010 is necessary prior to implementing ICD-10.

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What is ICD-10?

• A coding system for: —Diagnosis ICD-10-CM —Procedures ICD-10-PCS • Affects: —All Providers in every healthcare setting (Diagnosis) —Inpatient Hospitals (Procedure Codes) —It is NOT CPT or HCPCS • It Replaces, and is much more Granular than ICD-9 • Compliance Date: Oct 1, 2014 5

Imagine…

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Single Implementation Date for all Users

September 30

English

October 1

German (AND English) 7

Greater Granularity = More Codes

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Why Move To ICD-10?

More precise Better Quality of Care Better Fraud Detection Population Health Analysis ICD-9 is 25 years old Greater Accuracy in Reimbursements

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From

DIAGNOSIS CODE STRUCTURE

3-5 characters in length To 3-7 characters in length 10

ICD-9-CM

3-5 characters in length Digit 1 may be alpha or numeric Digits 2-5 are numeric Lacks laterality Does not support interoperability

842.01 –Wrist Sprain and Strain of Carpal

ICD-10-CM

3-7 characters in length Digit 1 is alpha Digits 2-3 are numeric Digits 4-7 are alpha or numeric Allows laterality and bilaterality Supports interoperability

S63.511A –Sprain of Carpal Joint of Right Wrist

Example - Diagnosis

Old

365.71

New

H40.1211

H40.1221

H40.1231

H40.1291

H40.1311

H40.1321

H40.1331

H40.1391

H40.1411

H40.1421

H40.1431

H40.1491

Mild Stage Glaucoma Low-tension glaucoma, right eye, mild stage Low-tension glaucoma, left eye, mild stage Low-tension glaucoma, bilateral, mild stage Low-tension glaucoma, unspecified eye, mild stage Pigmentary glaucoma, right eye, mild stage Pigmentary glaucoma, left eye, mild stage Pigmentary glaucoma, bilateral, mild stage Pigmentary Glaucoma, unspecified eye, mild stage Capslr glaucoma w/pseudxf lens, right eye, mild stage Capslr glaucoma w/pseudxf lens, left eye, mild stage Capslr glaucoma w/pseudxf lens, bilateral, mild stage Capslr glaucoma w/pseudxf lens, unspecified eye, mild stage 12

PROCEDURE CODE STRUCTURE

From To 3-4 numbers in length X X X X X X X 7 numbers in length 13

ICD-9-CM VOL 3

3-4 numbers in length Based on outdated technology Generic terms for body parts Lacks description of methodology and approach for procedures

ICD-10-PCS

7 alpha-numeric characters in length Reflects current usage of medical technology and devices Provides detailed descriptions of methodology and approach for procedures

47.01 - Laparoscopic appendectomy 0DBJ4ZZ - Excision of Appendix, Percutaneous Endoscopic Approach

Example - Procedure

Old

84.01

New

0X6N0Z0 0X6N0Z1 0X6N0Z2 0X6N0Z3 0X6P0Z0 0X6P0Z1 0X6P0Z2 0X6P0Z3 0X6Q0Z0 0X6Q0Z1 Finger Amputation Detachment at Right Index Finger, Complete, Open Approach Detachment at Right Index Finger, High, Open Approach Detachment at Right Index Finger, Mid, Open Approach Detachment at Right Index Finger, Low, Open Approach Detachment at Left Index Finger, Complete, Open Approach Detachment at Left Index Finger, High, Open Approach Detachment at Left Index Finger, Mid, Open Approach Detachment at Left Index Finger, Low, Open Approach Detachment at Right Middle Finger, Complete, Open Approach Detachment at Right Middle Finger, High, Open Approach 15

Understanding the Global Impact of ICD-10

• •

THIS IS A BUSINESS ISSUE WITH LARGE IMPACTS Impacts Include Many Entities:

• Providers, payers, vendors, employers, schools, agents • Members/patients, business associates/trading partners • Workers’ compensation, state agencies • Transplant/disease registries, etc.

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ICD-10 Timeline

• Analyze the impact ICD-10 will have on your practice • Review payer contract for diagnosis • Talk with vendors regarding upgrades for ICD-10

ASAP

• Schedule software upgrades • Monitor payer alerts and readiness.

• Prepare for testing with payers and/or clearinghouse.

2013

• Maintain dual codebases for ICD-9 and ICD-10 for approximately 2 years.

Beyond ASAP

• Budgeting for ICD-10 impacts such as, system upgrades and training

2014

• Coder/biller training • Review practice readiness 17

Care Flow

Assessment Documentation Treatment Claim Submission Coding 18 Documentation

Major Provider Impacts

• • • •

Clinical Documentation

—Practitioners!

Coding Business Processes

—Superbills / Day Sheets

PM/HIS/EHR Systems

• • • • 77% Indicate Top Challenge

Medical Policies Contracting Staffing / Staff Training Denials, Audits, Revenue Disruption

—Need Generous Lines of Credit • • • •

For Physicians Physicians deal with diagnosis not codes Learn new ICD-10 codes Learn how to use an index Create a new job aid or superbill

(Professional Providers get paid on CPT code not DRG) 19

Preparing for ICD-10 Provider Focus

• • • • • • • Identify the Needs and Action Plans for the Transition Education and resources Information Systems inventory and gap analysis Vendor preparation Documentation improvement Financial impact and payer preparation AHIMA Published a Checklist About Preparing for ICD-10:

http://www.ahima.org/downloads/pdfs/resources/checklist.pdf

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ICD-10 Project Plan

Phase 1 Assessment Implementation Plan Development and Impact

Phase 2 Risk Mitigation and Implementation Preparation

Phase 3 “Go Live” Preparation

Phase 4 Post-implementation Follow Up

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Industry Readiness

The Workgroup for Electronic Data Interchange (WEDI) conducted an industry ICD-10 readiness survey in February 2012 –

Results showed that health care entities were falling behind recommended timelines for implementing ICD-10 code sets by 10/1/13.

Responses indicated some progress had been made, but not keeping up with milestones.

• •

Industry is falling behind

New proposed rule to implement ICD-10 on October 1, 2014 instead of 2013.

WEDI sent out a new survey in January 2013

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ZirMed Strategy

Value-Add Solutions and Services Analytics ● Outsourced Education ● Consulting ● Code Translation Helping Providers Prepare Webinars ● Playbook ● Assessments ● Get-Well Plans ● Pilots ● Testing Getting ZirMed Prepared Organization ● Remediation ● Internal Training ● Staffing ● Measuring Success 23

Helping Providers Prepare

• • • • • • • • •

Awareness Webinars Assessments Get-Well Plans Pilots End-to-End Testing Resource Center ICD-10 Survival Tool Kit Internal Education

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Value-Add Services and Solutions

• • • •

Analytics Data Translation Education Consulting

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Analytics

Insights Analytics

—Utilized in the early planning timeframe (early 2013) —Show Code Usage in the facility —Show how code usage extrapolates into ICD-10 codes —Show 80/20, 90/10, 99/1 code usage for prioritization of focus —Show top revenue impacts •

Transition Analytics

—Utilized after Transition (after Oct 1, 2014) —Show impact of ICD-10 on claims outcomes via remits analysis 26

ZirMed ICD-10 Timeline

Set up ICD-10 Resource Center ZirMed Survival Tool KitWebinarsSystem RemediationNational Pilot ICD-10 TestingCode translation ToolTesting PortalBegin testing with Providers

and Payers 1 QTR 2013 3 QTR 2013

• Maintain dual codebases for ICD-9 and ICD-10 for approximately 2 years.

Beyond

• •

2QTR 2013 Education & Consulting Offerings ICD-10 Analytics 2014

ICD-10 Transition

Analytics – June Oct 1 st start submitting ICD-10 codes

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Raintree Product Readiness

Supported Versions:

- Can create claims with ICD-10 now - 9.3 and higher will support ICD-10 - Standard ICD-10 tables available Q2 2013

Work with us on new ICD-10 features!

- Bariatric User Group: Richard Harwell - Therapy User Group: Kathryn Rigda - Standard/Billing User Group: Clayton Case

http://usergroups.raintreeinc.com

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Takeaways

• • • ICD-10 is a Provider Initiative. ZirMed is here to help, but we cannot solve this for them like we did 4010 / 5010 The impact on ICD-10 to providers is very real Providers need to be making progress NOW towards ICD-10 readiness 29

In Conclusion

• • • • • • • •

ICD-10 is just a more mature ICD-9 ICD-10 is inevitable Work for physicians is negligible ICD-10 cost for offices can be small Work for institutions is worthwhile Good preparation is critical Communication is vital Embrace it; Don’t postpone it

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Resources

• • • •

ZirMed ICD-10 Resource Center – Support Center CMS Website: http://www.cms.hhs.gov/ICD10/ AHIMA Website: http://www.ahima.org/icd10 WEDI: http://www.wedi.org

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