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What	
  Your	
  Home	
  Health	
  Agency	
  Needs	
  to	
  Know	
  About	
  ICD-­‐10	
  Coding	
  
	
  
	
  
	
  
ICD-­‐10	
  coding	
  changes	
  are	
  upon	
  the	
  home	
  health	
  care	
  industry	
  and	
  the	
  deadline	
  for	
  
compliance	
  is	
  coming	
  up	
  fast.	
  Agencies	
  who	
  aren’t	
  ready	
  by	
  the	
  implementation	
  deadline	
  face	
  
serious	
  billing	
  issues	
  that	
  will	
  likely	
  affect	
  reimbursements.	
  To	
  prepare	
  your	
  agency	
  for	
  the	
  
road	
  ahead,	
  there	
  are	
  a	
  few	
  things	
  you	
  should	
  know	
  about	
  the	
  ICD-­‐10	
  conversion.	
  
	
  
Staff	
  Training	
  
Home	
  health	
  agencies	
  will	
  be	
  required	
  to	
  start	
  using	
  the	
  new	
  ICD-­‐10	
  codes	
  starting	
  on	
  October	
  
1,	
  2014.	
  ICD-­‐10	
  coding	
  is	
  highly	
  complex	
  and	
  even	
  those	
  seasoned	
  in	
  ICD-­‐9	
  codes	
  need	
  proper	
  
training.	
  CMS	
  has	
  placed	
  an	
  increased	
  emphasis	
  on	
  coding	
  accuracy,	
  and	
  claims	
  that	
  are	
  
submitted	
  incorrectly	
  may	
  be	
  denied	
  or	
  returned	
  for	
  revision,	
  costing	
  your	
  agency	
  revenue.	
  	
  
	
  
The	
  American	
  Health	
  Information	
  Management	
  Association	
  recommends	
  that	
  home	
  health	
  
agencies	
  start	
  training	
  for	
  the	
  conversion	
  no	
  less	
  than	
  six	
  to	
  nine	
  months	
  before	
  the	
  October	
  
ICD-­‐10	
  implementation	
  deadline.	
  Training	
  needs	
  will	
  vary	
  depending	
  on	
  your	
  agency,	
  but	
  in	
  
general	
  coders	
  require	
  about	
  fifty	
  hours	
  of	
  training.	
  In	
  addition,	
  some	
  agencies	
  may	
  need	
  to	
  
complete	
  high-­‐level	
  ICD-­‐10	
  coding	
  for	
  clinical	
  documentation.	
  If	
  you	
  haven’t	
  begun	
  your	
  
training	
  and	
  implementation	
  program	
  yet,	
  home	
  health	
  consultants	
  can	
  help	
  setup	
  and	
  
manage	
  the	
  process	
  for	
  you.	
  
	
  
Software	
  Updates	
  and	
  Requirements	
  
Software	
  upgrades	
  and	
  licenses	
  will	
  be	
  required	
  to	
  transition	
  to	
  ICD-­‐10	
  coding	
  as	
  well,	
  so	
  your	
  
agency	
  should	
  set	
  aside	
  funds	
  in	
  your	
  budget	
  to	
  prepare	
  for	
  these	
  changes.	
  You	
  will	
  want	
  to	
  
discuss	
  them	
  with	
  your	
  software	
  vendor,	
  inquiring	
  about	
  their	
  readiness,	
  training	
  materials,	
  
and	
  accessibility	
  to	
  the	
  software	
  for	
  in-­‐house	
  training	
  before	
  the	
  implementation.	
  If	
  your	
  
vendor	
  isn’t	
  taking	
  a	
  proactive	
  approach	
  in	
  preparing	
  for	
  ICD-­‐10,	
  you	
  may	
  want	
  to	
  consider	
  a	
  
new	
  vendor	
  to	
  avoid	
  any	
  interruption	
  in	
  your	
  home	
  health	
  agency’s	
  business.	
  	
  
	
  
Setting	
  Up	
  Management	
  Metrics	
  
Management	
  metrics	
  help	
  your	
  agency	
  monitor	
  the	
  conversion	
  to	
  ICD-­‐10	
  coding	
  on	
  a	
  weekly,	
  
monthly,	
  and	
  quarterly	
  basis.	
  At	
  a	
  very	
  basic	
  level,	
  you	
  must	
  monitor	
  your	
  accounts	
  receivable,	
  
coding	
  and	
  billing,	
  and	
  trending.	
  These	
  areas	
  will	
  be	
  impacted	
  by	
  ICD-­‐10	
  the	
  most	
  after	
  the	
  
transition	
  is	
  complete.	
  In	
  addition,	
  some	
  other	
  metrics	
  you	
  may	
  want	
  to	
  implement	
  and	
  
monitor	
  include:	
  
• Number	
  of	
  queries	
  sent	
  to	
  your	
  staff	
  
• Coding	
  accuracy	
  
• Coder’s	
  productivity	
  rates	
  
• AR	
  days	
  by	
  the	
  payer	
  
• First	
  pass	
  resolve	
  rate	
  
• Number	
  and	
  the	
  type	
  of	
  rejects	
  received	
  (coding	
  errors,	
  payer	
  rule	
  errors,	
  medically	
  
necessary,	
  prior	
  authorization,	
  etc.)	
  
	
  
Getting	
  prepared	
  for	
  ICD-­‐10	
  coding	
  requires	
  extensive	
  pre-­‐planning	
  that	
  should	
  have	
  begun	
  
before	
  2014	
  began.	
  If	
  your	
  agency	
  isn’t	
  prepared	
  for	
  the	
  ICD-­‐10	
  implementation,	
  now	
  is	
  the	
  
time	
  to	
  enlist	
  the	
  help	
  of	
  a	
  professional.	
  Kenyon	
  HomeCare	
  Consulting	
  provides	
  comprehensive	
  
outsourcing	
  services,	
  including	
  all	
  aspects	
  of	
  coding,	
  documentation,	
  training,	
  and	
  review	
  
services	
  to	
  help	
  your	
  staff	
  get	
  ready	
  for	
  the	
  conversion.	
  	
  
	
  
Schedule	
  an	
  appointment	
  with	
  one	
  of	
  our	
  home	
  health	
  consultants	
  to	
  discuss	
  your	
  ICD-­‐10	
  
challenges	
  by	
  visiting	
  www.KenyonHCC.com,	
  and	
  don’t	
  forget	
  to	
  sign	
  up	
  for	
  our	
  weekly	
  
newsletter,	
  Kenyon	
  Connects.	
  We’ll	
  be	
  providing	
  ICD-­‐10	
  coding	
  tips	
  in	
  the	
  coming	
  months,	
  in	
  
addition	
  to	
  our	
  usual	
  tips	
  for	
  growing	
  your	
  agency.	
  	
  
	
  

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What Your Home Health Agency Needs to Know About ICD-10 Coding

  • 1. What  Your  Home  Health  Agency  Needs  to  Know  About  ICD-­‐10  Coding         ICD-­‐10  coding  changes  are  upon  the  home  health  care  industry  and  the  deadline  for   compliance  is  coming  up  fast.  Agencies  who  aren’t  ready  by  the  implementation  deadline  face   serious  billing  issues  that  will  likely  affect  reimbursements.  To  prepare  your  agency  for  the   road  ahead,  there  are  a  few  things  you  should  know  about  the  ICD-­‐10  conversion.     Staff  Training   Home  health  agencies  will  be  required  to  start  using  the  new  ICD-­‐10  codes  starting  on  October   1,  2014.  ICD-­‐10  coding  is  highly  complex  and  even  those  seasoned  in  ICD-­‐9  codes  need  proper   training.  CMS  has  placed  an  increased  emphasis  on  coding  accuracy,  and  claims  that  are   submitted  incorrectly  may  be  denied  or  returned  for  revision,  costing  your  agency  revenue.       The  American  Health  Information  Management  Association  recommends  that  home  health   agencies  start  training  for  the  conversion  no  less  than  six  to  nine  months  before  the  October   ICD-­‐10  implementation  deadline.  Training  needs  will  vary  depending  on  your  agency,  but  in   general  coders  require  about  fifty  hours  of  training.  In  addition,  some  agencies  may  need  to   complete  high-­‐level  ICD-­‐10  coding  for  clinical  documentation.  If  you  haven’t  begun  your  
  • 2. training  and  implementation  program  yet,  home  health  consultants  can  help  setup  and   manage  the  process  for  you.     Software  Updates  and  Requirements   Software  upgrades  and  licenses  will  be  required  to  transition  to  ICD-­‐10  coding  as  well,  so  your   agency  should  set  aside  funds  in  your  budget  to  prepare  for  these  changes.  You  will  want  to   discuss  them  with  your  software  vendor,  inquiring  about  their  readiness,  training  materials,   and  accessibility  to  the  software  for  in-­‐house  training  before  the  implementation.  If  your   vendor  isn’t  taking  a  proactive  approach  in  preparing  for  ICD-­‐10,  you  may  want  to  consider  a   new  vendor  to  avoid  any  interruption  in  your  home  health  agency’s  business.       Setting  Up  Management  Metrics   Management  metrics  help  your  agency  monitor  the  conversion  to  ICD-­‐10  coding  on  a  weekly,   monthly,  and  quarterly  basis.  At  a  very  basic  level,  you  must  monitor  your  accounts  receivable,   coding  and  billing,  and  trending.  These  areas  will  be  impacted  by  ICD-­‐10  the  most  after  the   transition  is  complete.  In  addition,  some  other  metrics  you  may  want  to  implement  and   monitor  include:   • Number  of  queries  sent  to  your  staff   • Coding  accuracy   • Coder’s  productivity  rates   • AR  days  by  the  payer   • First  pass  resolve  rate   • Number  and  the  type  of  rejects  received  (coding  errors,  payer  rule  errors,  medically   necessary,  prior  authorization,  etc.)     Getting  prepared  for  ICD-­‐10  coding  requires  extensive  pre-­‐planning  that  should  have  begun   before  2014  began.  If  your  agency  isn’t  prepared  for  the  ICD-­‐10  implementation,  now  is  the   time  to  enlist  the  help  of  a  professional.  Kenyon  HomeCare  Consulting  provides  comprehensive   outsourcing  services,  including  all  aspects  of  coding,  documentation,  training,  and  review   services  to  help  your  staff  get  ready  for  the  conversion.       Schedule  an  appointment  with  one  of  our  home  health  consultants  to  discuss  your  ICD-­‐10   challenges  by  visiting  www.KenyonHCC.com,  and  don’t  forget  to  sign  up  for  our  weekly   newsletter,  Kenyon  Connects.  We’ll  be  providing  ICD-­‐10  coding  tips  in  the  coming  months,  in   addition  to  our  usual  tips  for  growing  your  agency.