Month: January 2020
Texas’ New Surprise Billing Law
ARE YOU READY?
By Joey Berlin (TMA)
Taken from the TMA Website.
It’s almost first-pitch time for the state’s new ballgame on out-of-network bill disputes.
Texas’ baseball-style arbitration law takes effect for certain out-of-network medical care beginning Jan. 1, 2020. It’s a big change from how disputes on out-of-network medical bills have been handled in the past – and you need to know how to navigate it. There are nuances to consider, and disciplinary action from the Texas Medical Board (TMB) may await you if you balance-bill in violation of the law.
That’s why the Texas Medical Association has produced a digestible, seven-page summary of the surprise-billing law, passed during this year’s session of the Texas Legislature as Senate Bill 1264. TMA’s overview explains topics such as when the law applies, and how the arbitration process works.
More details are available in the summary, but essentially, under SB 1264, certain out-of-network physicians can request arbitration if the physician isn’t satisfied with the health plan’s initial payment. The arbitrator – selected either by mutual agreement of each side or by the Texas Department of Insurance (TDI) – will determine which of two amounts is the closest to the reasonable amount for the services: the billed charge, or the payment made by the health plan, “as those amounts were last modified during the health plan’s internal appeals process, if the physician chooses to participate, or the informal settlement teleconference” that’s required prior to arbitration.
As in an offseason baseball arbitration proceeding between a team and one of its players, the arbitrator makes a binary choice: Either the physician’s billed charge or the health plan’s payment is the closest to the reasonable amount, and thus becomes the ordered payment. A claim that goes through the full arbitration process must be decided by the arbitrator within 51 days after the initial request.
As a result of the new system, balance billing will be prohibited for practitioners providing the out-of-network services to patients in the plans SB 1264 covers – with an exception, as explained in TMA’s overview. The law gives TMB latitude to take disciplinary action against a physician who violates the law by billing patients more than their applicable copayment, coinsurance, and deductible.
The summary also details which state-regulated health plans are covered by the arbitration process, as well as which out-of-network services and supplies fall under the new law. It also explains the required steps following an arbitration request and which factors arbitrators will consider in making their decision.
TDI is planning an information session on SB 1264 at 1 pm Dec. 30 in Austin. More details on the information session and SB 1264 in general can be found on the TDI’s website.
Last Updated On
January 29, 2020
The Patient Right to their Medical Record: Format, Fees and other Requirements. (MGMA) 1/31/2020
The below excerpt is copied from: Drew Voytal, Associate Director MGMA Goverment Affairs, GovChat
Following a federal court ruling, the Office for Civil Rights (OCR), the federal agency tasked with enforcing the HIPAA privacy and security rules, issued a notice modifying the agency’s policy regarding the fees practices and others are permitted to charge when a patient requests that their medical record be sent to a third party (such as a law firm). The court vacated the “third-party directive” within the individual right of access “insofar as it expands the HITECH Act’s third-party directive beyond requests for a copy of an electronic health record with respect to [protected health information] of an individual . . . in an electronic format.”
In light of this ruling and policy change, practices are no longer prohibited from setting their own fee for sending a patient’s medical record to a third party. Despite this change in policy, practices are still limited in what they can charge patients when they request a copy of their medical record for themselves and OCR has emphasized that they plan to “vigorously enforce” the patient right to access their information. To better understand practice rights and responsibilities in this area, GovChat participants are encouraged to download the updated MGMA member-benefit resource: The Patient Right to their Medical Record: Format, Fees and other Requirements.
Please feel free to reach out with any questions or comments.
——————————
Drew Voytal
Associate Director
MGMA Government Affairs
Washington, DC
——————————
The
following is an excerpt from The Patient Right to their
Medical Record: Format, Fees and other Requirements.
Charging
patients fees for copies of PHI
Practices are
permitted to impose a “reasonable, cost-based fee” for the PHI, including:
1. Labor
for the actual copying of the PHI, whether in paper or electronic form (i.e.,
labor to scan records, prepare an e-mail, transferring PHI from one format to
another, and other activities).
2. Labor
to prepare an explanation or summary of the PHI, if the patient in advance both
chooses to receive an explanation or summary and agrees to the fee that may be
charged.
3. Supplies
for creating the paper copy (e.g., paper, toner) or electronic media (e.g., CD
or USB drive) if the patient requests that the electronic copy be provided on
portable media
4. Postage, when the patient requests that
the copy, or the summary or explanation, be mailed.
The practice
must inform the patient in advance of the approximate fee that may be charged
for the copy.
NOTE: Labor
for copying cannot include costs associated with reviewing the request for
access or searching for and retrieving the PHI.
There
are three ways a practice can calculate this reasonable, cost-based fee for the
PHI maintained electronically:
• Actual costs;
• Average costs; or
• Flat fee
NOTE:
Flat fees cannot exceed $6.50, inclusive of all labor, supplies, and any
applicable postage.
A practice may
not:
• Withhold a patient’s PHI (even if the
patient has an outstanding account balance);
• Withhold the PHI and apply the fee
charged to the outstanding account balance;
• Charge patients a fee to view or
inspect their PHI; or
• Charge a patient who takes notes or
pictures to capture PHI.
TIP:
While the Privacy Rule does permit practices to charge patients a cost-based
fee for a copy of their medical record, practices should consider implementing
a policy of providing a no-cost option for the first request
Sending
PHI to third parties:
• A
practice must transmit the PHI directly to another person or entity designated
by the patient.
• The
request from the patient must be in writing, signed by the patient, and clearly
identify the designated person/entity and where to send the PHI. Practices must
take action within 30 days.
• Practices
may rely on the information provided in writing by the patient about the
identity of the designated person and where to send the PHI for purposes of
verification of the designated third party as an authorized recipient. However,
practices must implement “reasonable safeguards” to carry out the request, such
as taking reasonable steps to verify the identity of the patient making the
access request and to enter the correct information into the practice’s system.
• Practices
must safeguard the PHI in transit and may be liable for impermissible
disclosures that occur in transit. The only exception, as noted above, arises
when a patient has requested that the PHI be sent to the third party in an
unsecure manner. If the patient was warned of and accepted the security risks,
the practice is not responsible or liable for disclosures that occur in
transit.
UPDATE
AS OF JAN. 2020: Following a court ruling, the Office for
Civil Rights has revised its policy regarding the fees practices can charge for
patient records that are sent to third-parties. There is no longer a
prohibition on practices setting their own fees for transmitting patient data
to a third party. However, the fee limitations outlined in this document still
apply when patients request their data for their own use.
Intersection
of HIPAA with State Law
- Practices
must comply with any additional requirements under state laws or regulations if
they are more stringent than those outlined under the federal standards. - For
example, practices must comply with state law should it require that the
patient is to be provided one free copy of their PHI. HIPAA does not override
those State laws that provide individuals with greater rights of access to
their PHI.
NOTE:
Search and retrieval costs or other costs not permitted by the Privacy
Rule may not be charged to patients, even if authorized by state law. Example:
If state law limits
costs to 25 cents a page and the actual cost is only four cents per page, then
the practice may charge only four cents. If the cost is 30 cents per page and
state law allows for 25 cents, then the practice may charge no more than 25
cents.
Humana Update
Humana has the “POET red line” of the agreement. They received it in October 2019. Unfortunately, Humana’s new review system for contracts appears to have issues causing a delay. POET ‘s contact at Humana has been working to obtain the current status.
Stay tuned in….
New File Folder added to POET INK
Billing/Coding
We have added a new Sub-Folder under the Parent Folder called “The Business End“.
The new Sub-Folder is called “Billing/Coding”
There Sir Seymore will add articles to help with your Billing and Coding needs.
Such as the file added today that will help make sense of some Coding Acronyms.
Example: “MUE”, “Medically Unlikely Edit”
The article doesn’t just tell you what “MUE” stands for, it also explains what a “MUE” is, how it effects your coding and where to find the quarterly updates.
This article even explains what to do if you HIT AN EDIT.
Click here to view that article.
BCBSTX March 1, 2020
BCBSTX notified POET in November of a fee schedule update to be effective as of March 1, 2020. They have indicated the fee schedule is not ready for distribution at this time. We have been assured POET will receive the new schedule when ready. We will quickly prepare your hot codes and get them to you.
We will keep you posted.
Senate Bill 1264: Protecting consumers from surprise medical bills
Texas Insurance Commissioner Kent Sullivan is reminding insurers of their obligations under the state’s new baseball-style arbitration law to resolve disputes on many out-of-network medical bills.
In a letter Tuesday addressed to “the health plans of Texas,” Mr. Sullivan said the Texas Department of Insurance (TDI) will monitor how health plans implement Senate Bill 1264, passed during last year’s session of the Texas Legislature and now in effect.
“We expect you to be proactive to meet both the letter and spirit of SB 1264,” Mr. Sullivan said. “Review your policies and procedures and address potential issues quickly.”
The letter highlighted several of the plans’ responsibilities in relation to the law. The commissioner’s letter noted that:
- State law requires plans to cover medical screenings necessary to rule out the presence of an emergency condition;
- For emergency care, claim denials based on failure to meet the prudent-layperson standard must be based on the patient’s presenting symptoms, not on the later diagnosis code;
- Plans must meet required deadlines to promptly adjudicate clean claims; and
- Plans must be ready to provide accurate information about the new law, including required notices about mediation and arbitration, on explanations of benefits. The plans must be able to quickly respond to questions from policyholders and practitioners.
Mr. Sullivan’s letter noted that TDI has set up an SB 1264 page on its website, which includes a link to the state’s new portal for mediation and arbitration requests.
The Texas Medical Association has published a brief overview of the new law for physicians.
Last Updated On
January 09, 2020
Joey Berlin
Do you know your ADA Obligations.
Quoting Texas Medicine December 2, 2019
“An April 2019 study by Massachusetts General Hospital and two universities examined physicians’ knowledge of legal obligations when caring for patients with disabilities.”
“The study said most physicians interviewed “exhibited a superficial or incorrect understanding of their legal responsibilities to patients with a disability.”
The ADA defines a person with a disability as someone with “a physical or mental impairment that substantially limits one or more life activities”; someone with a record of such an impairment; or someone who is “regarded as having such an impairment.”
Among the ADA standards required for accessible exam rooms, according to the guidance:
• The entry door to the exam room should be a minimum width of 32 inches when the door is opened at a 90-degree angle;
• There should be a minimum of 30 by 48 inches of clear floor space next to the exam table; and
• An accessible exam table should be able to be lowered to the height of the patient’s wheelchair seat, 17 to 19 inches from the floor .
Federal guidance also includes requirements on removing architectural barriers, accessible parking, and entrance and maneuvering spaces – which apply to both for-profit and nonprofit organizations. Among them:
• Designated accessible parking spaces must be included among any parking the business provides for the public “if doing so is readily achievable.” Those parking spaces should be the closest to the accessible entrance, on level ground. The spaces should be at least eight feet wide, with an access aisle on either side.
• For accessible spaces for cars, the adjacent access aisle must be at least five feet wide; for van spaces, eight feet wide.
• If achievable, an accessible service counter must have a maximum height of 36 inches, with a clear floor space of 30 by 48 inches to permit the use of a wheelchair.
• Hearing-impaired patients present their own considerations for delivering adequate care. TMA’s white paper, Americans with Disabilities Act and the Hearing Impaired, contains a summary of physicians’ requirements for those patients under the ADA and guidance from the Department of Justice (DOJ) on how they may be able to meet those requirements.
• In 2014, DOJ substantially increased ADA penalties for small businesses. The maximum fines are now $75,000 for a first-time violation – $20,000 higher than the previous maximum – and $150,000 for any subsequent violations.
To read the entire article, please click below.
Tex Med. 2019;115(12):40-41
December 2019 Texas MedicineContents
Texas MedicineMain Page
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