Revenue Cycle Management and HIPAA Overview

Chargemaster Information

  • Chargemaster Overview
    • A chargemaster is an electronic database
    • Contains a master list of all services, supplies, devices, and medications charged for inpatient or outpatient services.
  • Charge Codes and Prices
    • 2721159: CATHETER, DRAINAGE
    • Charge Code: 0272
    • Price: $79.00
    • 2786337: CATHETER, HEMODIALYSIS LONG TERM
    • Charge Code: C1750
    • Price: $438.00
    • 3008423: DRUG TEST PRESUMPTIVE, ANY NUMBER
    • CPT Code: 80305
    • Price: $41.00
    • 3007215: CBC COMPLETE, WITH DIFFERENTIAL
    • CPT Code: 85025
    • Price: $123.00
    • 3207721: VENOGRAM EXTREMITY BILATERAL
    • CPT Code: 75822
    • Price: $1,320.00
    • 3406973: PARATHYROID SCAN
    • CPT Code: 78070
    • Price: $798.00
    • 3600223: O.R. MINOR SERVICE, 1ST 30 MIN
    • CPT Code: 0360
    • Price: $816.00
    • 3600224: O.R. MINOR SERVICE, EACH ADDL 15 MIN
    • CPT Code: 0360
    • Price: $276.00
    • 3618306: DRAINAGE OF HEMATOMA/SEROMA
    • CPT Code: 10140
    • Price: $1,517.00
    • 3612905: INJECTION OF SACROILIAC JOINT
    • CPT Code: G0259
    • Price: $786.00
    • 4245986: PT EVAL, HIGH COMPLEX 45 MIN
    • CPT Code: 97163
    • Revenue Code: GP
    • Price: $196.00
    • 4302398: OT RE-EVAL EST PLAN CARE
    • CPT Code: 97168
    • Price: $134.00
    • 4802563: ECHO TRANSTHORACIC, CONGENITAL WITH CONTRAST
    • CPT Code: 93303
    • Price: $1,232.00

Revenue Cycle Process

Front-end Process

  • Patient access including:
    • Scheduling
    • Preauthorization
    • Insurance verification
    • Point-of-service collection
    • Financial counseling

Middle Process

  • Activities involved:
    • Charge capture
    • Chargemaster management
    • Case management
    • Clinical documentation
    • Coding

Back-end Process

  • Includes:
    • Claims processing
    • Payment posting
    • Follow-up collections
    • Denial management

Medical Necessity

  • Defined as:
    • "Healthcare services or supplies that are needed to diagnose or treat an illness, injury, condition, disease, or its symptoms - and that meet accepted standards of medicine" (Medicare.org, 2020).
  • Importance:
    • A physician's order for a diagnostic exam must include a diagnosis that supports its necessity.
  • Precertification process:
    • Ensures exams are covered by insurance and meet medical necessity criteria.
  • Registration personnel can verify diagnosis-related medical necessity; if uncertain, a coder can assist.
  • Immediate Action Required:
    • Contact the provider if the order lacks an adequate diagnosis.

HIPAA Overview

Privacy Rule

  • Enacted in 1996 to protect health information.
  • Eight Parts:
    1. Uses and disclosures of PHI
    • Identifies how PHI can be used and required authorizations.
    • Includes a minimum necessary standard for information release.
    1. Business Associate Agreements
    • Required when a business associate performs work for a covered entity.
    1. Notice of Privacy Practices (NPP)
    • Informs patients of how their PHI may be used or shared.
    1. Right to Request Privacy Protection
    • Allows patients to limit the use and disclosure of their PHI.
    1. Right of Access to Health Records
    • Patients can inspect and obtain copies of their PHI.
    1. Amendment of PHI
    • Patients can request amendments to their PHI.
    1. Accounting of Disclosures
    • Patients can receive an accounting of PHI disclosures.
    1. Administrative Requirements
    • Necessitates privacy officers, workforce training, privacy safeguards, and complaint procedures.

Security Rule

  • Establishes operational standards for PHI protection.
  • Four Parts:
    1. Administrative Safeguards
    • Policies to prevent and manage security violations.
    1. Physical Safeguards
    • Identification badges, limited access areas.
    1. Technical Safeguards
    • User IDs, passwords, automatic log-offs.
    1. Organizational Safeguards
    • Include business associate agreements.

Cybersecurity

  • Defined as:
    • "The state of being protected against the criminal or unauthorized use of electronic data, or the measures taken to achieve this" (Cybersecurity, 2016).
  • Breaches of PHI:
    • Most commonly from hacking, also due to theft, improper disposal, unauthorized access/disclosure, or loss.

Interoperability and Health Information Exchange

  • Interoperability:
    • Ability for disparate information systems to share information.
  • Health Information Exchange:
    • Defined as: "Allows healthcare professionals and patients to securely share a patient's medical information electronically" (Office of the National Coordinator for Health Information Technology, 2018).
  • Benefits include:
    • Reduced duplicate tests
    • Improved patient management
    • Avoidance of readmissions
    • Reduction in medication errors

Health Information Systems (HIS), Radiology Information Systems (RIS), Picture Archiving and Communication Systems (PACS), and Artificial Intelligence (AI)

Health Information Systems (HIS)

  • Designed to manage healthcare data and facilitate sharing of PHI across the healthcare enterprise.

Radiology Information System (RIS)

  • Responsible for management of imaging orders, scheduling, billing, patient management, and reporting.

Picture Archiving and Communication System (PACS)

  • A networked group of computers, servers, and archives that manage digital images, mainly cloud-based for storage needs.

Artificial Intelligence (AI)

  • Science of engineering intelligent machines and computer programs.
  • Key impacts:
    • Precision
    • Error reduction
    • Automation and augmentation
    • Holistic patient view
  • Machine Learning (ML):
    • A method of data science allowing computers to learn independently, involving training, testing, and validation phases.
  • AI applications in radiology include:
    • Radiology order scheduling
    • Patient safety screenings
    • Accurate patient positioning
    • Image reconstruction and automated protocols
    • Identifying incidental cases of pulmonary embolism (PE) and classifying kidney cancer.