January 2009 Client Newsletter

2008 RECAP

The year 2008 was a very good year for CPB clients with collection rates among the highest in the industry (high is good!) and Days in Accounts Receivable among the lowest (low is good – measures the number of days, on average, it takes to collect your reimbursement). However, with the tough economy, 2009 is likely to be a challenging year due to layoffs, bankruptcies, business closings, etc. More on that below.

ANNUAL CHARGE FORM CHANGES

The Charge form is a key part of any insurance audit so ensuring it is current is important. CPB has completed our review of all Charge form (Superbill) codes for office-based clients:
· Deleted, revised and new CPT, ICD-9 and HCPCS codes. Forms were updated accordingly if CPB maintains them or the client was notified with necessary changes for those who maintain their own forms.
· The Medicare Allowed Amounts form was sent to each client.
· Charge vs. insurance maximum allowed. Clients were notified as indicated.
· Highmark Medicare’s new LCD’s were updated on both the Charge form and in CPB’s billing software.

This is a very time-consuming but critical service which we provide to minimize insurers excuses to delay or deny payment and thus maximize client cash flow.


ECONOMY – Collection of CO-PAYS, DEDUCTIBLES & CO-INSURANCES

With the poor economy, it is more important than ever that you make every effort to collect all co-pays, deductibles (if known), and co-insurances on the date of service. We are beginning to see significant numbers of patients who say they have no job and will not be able to pay their bill. In many cases this is likely to be true, but most are on unemployment and probably would pay if asked before seeing the provider. The key is getting the payment before they receive your services, or at worst, before they leave your office. Our highest collection rate clients have this policy already in place

2009 PART B DEDUCTIBLE

The Centers for Medicare & Medicaid Services (CMS) announced the Part B annual deductible for 2009 is $135.00 (the same as it was in 2008).


2009 MEDICARE PHYSICAL, OCCUPATIONAL & SPEECH THERAPY CAP

The Therapy Cap for 2009 is $1,840 through December 31, 2009. The Medicare Cap Exceptions process for independently practicing physical, speech and occupational therapists has also been extended to December 31, 2009.


FTC “Red Flag” Rules Delayed UNTIL May 1, 2009

On October 22, 2008 the Federal Trade Commission (“FTC”) announced that it will “suspend enforcement” of the “Red Flag” rules until May 1, 2009. The “Red Flag” rules require “financial institutions” and “creditors” with “covered accounts” to develop and implement a written program to detect and deal with identity theft. Medical providers who do not collect in full on the day of service are considered “creditors.

CPB will be fully compliant before the deadline and will likely offer an educational program sometime in April for your employees to assist with your compliance.