The International Classification of Diseases (ICD) has been existence in various forms for over a century and was originally designed to help facilitate comparisons in mortality statistics across the world. These days, however, version nine of the ICD is perhaps most familiar as a way to ensure that medical providers are being reimbursed properly for procedures. Across the U.S., medical billers and coders and medical software providers alike are quaking in their boots at the news that  ICD-9 codes are to be replaced with the updated, more comprehensive ICD-10 codes by October 2011.

This change is neither arbitrary nor unexpected; most of the rest of the world is already using ICD-10 codes (World Health Organization member states started using ICD-10 as long ago as 1994), and the update will be a useful tool to increase accuracy as the number of codes available will increase from about 17,000 to 150,000

The transition to ICD-10 will not be a painless one. Apart from the obvious discomfort of adapting to the new codes, there is also the nagging concern about how these changes are going to be incorporated into software. A Medical Group Management Association (MGMA) survey found that 95 percent of respondents would need to upgrade or replace their practice management software, and almost two-thirds thought they would need to buy code-selection software. Practices and medical billing companies that have invested in medical software that is delivered in “software as a service” (SaaS) format, especially ones such as NueMD that have a built-in coding module, can at least have the comfort of knowing that this major upgrade will be completed remotely with little participation their end. Unfortunately, those with client-server systems may be faced with the prospect of paying a hefty price to update their soon-to-be-obsolete systems.

It looks as though all those jokes (and lawsuits) that have centered around doctors’ terrible handwriting may soon be a thing of the past. Medicare’s recently passed law HR 6331, which gives providers financial incentives to e-Prescribe, has strengthened the growing trend of medical practices moving toward a paperless office.

It’s not just the prescription pad that is falling by the wayside. An increasing number of practices and payers alike are recognizing that documenting and charging for a patient visit electronically through a practice management software system is the most efficient method of operation. The benefits for providers are numerous - electronic medical billing can dramatically reduce rejected claims and shorten the reimbursement cycle, and electronic medical records keeps organized (and legible) patient information at a care provider’s fingertips. But there are advantages for payers too. They might not benefit from fewer rejected claims or having to reimburse providers more quickly, but they do benefit from a streamlined claims process that requires less administrative support. In a system where the take-up rate of innovations depends greatly on payers’ acceptance, completely paperless medical offices might be commonplace within a decade.   

Last week’s issue of Medical Economics featured an “ask the expert” article about changing codes for tobacco cessation counseling. The practice that submitted the question had found that claims submitted under two particular codes had started to be denied. The coding expert confirmed that these codes had changed at the beginning of this year.
 
If this sounds like a familiar scenario, you may be interested to know that coding tools are available with NueMD that automatically keep the CPT®, ICD-9 and HCPCS codes contained in your coding list up to date. This means no more rejected claims when the codes change – and no delay in reimbursement.