May 4, 2007 Part B Medicare Bulletin
Posted May 4, 2007
Table of Contents
- 2007 Payment Allowance Limits for Medicare Part B Not Otherwise Classified (NOC) Drugs
- April 2007 Quarterly Average Sales Price (ASP) Medicare Part B Drug Pricing File, Effective April 1, 2007, and Revisions to the January 2007 Quarterly ASP Medicare Part B Drug Pricing Files
- April Quarterly Update for 2007 Durable Medical Equipment, Prosthetics, Orthotics, and Supplies (DMEPOS) Fee Schedule
- CERT (Comprehensive Error Rate Testing) Third Party Documentation
- Change in the Amount in Controversy Requirement for Federal District Court Appeals
- Changes to the Laboratory National Coverage Determination (NCD) Edit Software for April 2007
- Colorectal Cancer: Preventable, Treatable, and Beatable —Medicare Coverage and Billing for Colorectal Cancer Screening
- Common Billing Errors to Avoid When Billing Medicare Carriers
- Competitive Acquisition Program (CAP) for Part B Drugs
- Correction to CR5404: New Waived Tests
- Covered Indications for Chemotherapy Drugs and their Adjuncts
- CPT Code 77003
- Downloading Files from Stratus Mailboxes Using Wildcards (*)
- Epoetin — LCD Revision
- Extension for Acceptance of Form CMS—1500 (12—90)
- Extracorporeal Photpheresis
- Faxing Documentation to the CERT Contractor
- Health Care Provider Taxanomy Code Set
- Implementation of Revised Fee Schedule Amounts for New Healthcare Common Procedure Coding System (HCPCS) Codes for Power Mobility Devices (PMDs)
- Laboratory Competitive Bidding Demonstration
- Medical Review Frequently Asked Questions
- Medically Unlikely Edits (MUEs)
- New Waived Tests
- Part C Plan Type Description Display on Medicare's Common Working File (CWF)
- Payment Allowance Limits for Medicare Part B Drugs Effective January 1, 2007 through March 31, 2007
- Payment Allowance Limits for Medicare Part B Drugs Effective April 1, 2007 through June 30, 2007
- Program Overview: 2007 Physician Quality Reporting Initiative (PQRI)
- Quarterly Update to Correct Coding Initiative (CCI) Edits, Version 13.1, Effective April 1, 2007
- Reminder – Medicare Now Provides Coverage for Eligible Medicare Beneficiaries of a One—Time Ultrasound Screening for Abdominal Aortic Aneurysms (AAA) When Referred for this Screening as a Result of the Initial Preventive Physical Examination ("Welcome to Medicare" Physical Exam)
- Revisions to Incomplete or Invalid Claims Instructions Necessary to Implement the Revised Health Insurance Claim Form CMS—1500 (Version 8/05)
- Sacral Nerve Stimulation – LCD Revision
- Service Not Provided Within United States
- Temporary Addition to the Administrative Simplification Compliance Act (ASCA) Exception List for Medicare Secondary Payer (MSP) Claims
- Transesophageal Echocardiography (TEE) – LCD Revision
- Use of Nine—Digit ZIP codes for Determining the Correct Payment Locality for Services Paid Under the Medicare Physician Fee Schedule (MPFS) and Anesthesia Services
Services Not Provided Within United States
Provider Types Affected
Physicians, suppliers, and providers who submit claims to Medicare carriers, fiscal intermediaries (FIs), and A/B Medicare Administrative Contractors (A/B MACs).
Key Points
CR5427 clarifies that payment may not be made for a medical service (or a portion of it) that was subcontracted to another provider or supplier located outside the United States.
Take Note: Payment may not be made for a medical service (or a portion of it) that was subcontracted to another provider or supplier located outside the United States. For example, if a radiologist who practices in India analyzes imaging tests that were performed on a beneficiary in the United States, Medicare would not pay the radiologist or the U.S. facility that performed the imaging test for any of the services that were performed by the radiologist in India.
Background
This article and related Change Request (CR) 5427 outlines the limited items and services that are reimbursable by Medicare outside the United States according to Section 1862(a)(4) of the Social Security Act.
The law specifies the following exceptions to the "foreign" exclusion:
- Inpatient hospital services for treatment of an emergency in a foreign hospital that is closer to, or more accessible from, the place the emergency arose than the nearest U.S. hospital that is adequately equipped and available to deal with the emergency, provided either of the following conditions exist:
- Emergency arose within the U.S.; or
- Emergency arose in Canada while the individual was traveling, by the most direct route and without unreasonable delay between Alaska and another State
- Inpatient hospital services at a foreign hospital that is closer to, or more accessible from, the individual's residence within the U.S. than the nearest U.S. hospital that is adequately equipped and available to treat the individual's condition, whether or not an emergency exists.
- Physician and ambulance services in connection with, and during, a foreign inpatient hospital stay that is covered in accordance with either of the above.
Additional Information
CR5427 is the official instruction issued to your Medicare carrier, FI or A/B MAC. That instruction may be viewed by going to http://www.cms.hhs.gov/Transmittals/downloads/R66BP.pdf on the CMS Web site.
If you have questions, please contact your Medicare carrier, FI or A/B MAC, at their toll-free number which may be found at:http://www.cms.hhs.gov/MLNProducts/downloads/CallCenterTollNumDirectory.zip on the CMS Web site.
NOTE: The previously published CR3781 http://www.cms.hhs.gov/MLNMattersArticles/downloads/MM3781.pdf also provides information and instructions about services not provided within the United States by defining "United States" for the purposes of the Social Security Act (Section 1814 (f) along with the parameters of this Medicare rule.
Flu Shot Reminder
It's Not Too Late to Give and Get the Flu Shot!
The peak of flu season typically occurs between late December and March; however, flu season can last until May. Protect yourself, your patients, and your family and friends by getting and giving the flu shot. Each office visit presents an opportunity for you to talk with your patients about the importance of getting an annual flu shot and a lifetime pneumococcal vaccination. Remember – Influenza and pneumococcal vaccination and their administration are covered Part B benefits. Note that influenza and pneumococcal vaccines are NOT Part D covered drugs. For more information about Medicare's coverage of adult immunizations and educational resources, go to CMS' Web site: http://www.cms.hhs.gov/MLNMattersArticles/downloads/SE0667.pdf .
2007 Payment Allowance Limits for Medicare part B Not Otherwise Classified (NOC) Drugs April 2007 Quarterly Average Sales Price (ASP) Medicare Part B Drug Pricing File
April 2007 Quarterly Average Sales Price (ASP) Medicare Part B Drug Pricing File, Effective April 1, 2007, and Revisions to the January 2007 Quarterly ASP Medicare Part B Drug Pricing Files
Provider Types Affected
Physicians, providers, and suppliers submitting claims to Medicare contractors (carriers, Durable Medical Equipment Regional Carriers (DMERCs), DME Medicare Administrative Contractors (DME MACs), Fiscal Intermediaries (FIs), Part A/B Medicare Administrative Contractors (A/B MACs), and/or Regional Home Health Intermediaries (RHHIs)) for services provided to Medicare beneficiaries.
Provider Action Needed
This article is based on Change Request (CR) 5517 which informs Medicare contractors to download the April 2007 Average Sales Price (ASP) drug pricing file for Medicare Part B drugs as well as the revised January 2007 ASP files.
Background
The Medicare Modernization Act of 2003 (MMA; Section 303(c)) revised the payment methodology for Part B covered drugs that are not paid on a cost or prospective payment basis. Starting January 1, 2005, many of the drugs and biologicals not paid on a cost or prospective payment basis are paid based on the average sales price (ASP) methodology, and pricing for compounded drugs is performed by the local Medicare contractor. Additionally, beginning in 2006, all ESRD drugs furnished by both independent and hospital-based ESRD facilities, as well as specified covered outpatient drugs, and drugs and biologicals with pass-through status under the OPPS, will be paid based on the ASP methodology.
The ASP methodology is based on quarterly data submitted to the Centers for Medicare & Medicaid Services (CMS) by manufacturers, and CMS supplies Medicare contractors (carriers, DMERCs, DME MACs, FIs, A/B MACs, and/or RHHIs) with the ASP drug pricing files for Medicare Part B drugs on a quarterly basis.
For 2007, a separate fee of $0.152 per International Unit (I.U.) of blood clotting factor furnished is payable when a separate payment for the blood clotting factor is made. The furnishing fee will be included in the payment amounts on the quarterly ASP pricing files. Disclaimer This article was prepared as a service to the public and is not intended to grant rights or impose obligations. This article may contain references or links to statutes, regulations, or other policy materials. The information provided is only intended to be a general summary. It is not intended to take the place of either the written law or regulations. We encourage readers to review the specific statutes, regulations and other interpretive materials for a full and accurate statement of their contents.
ASP Methodology
Beginning January 1, 2005, the payment allowance limits for Medicare Part B drugs and biologicals that are not paid on a cost or prospective payment basis are 106 percent (106%) of the ASP.
Beginning January 1, 2006, payment allowance limits are paid based on 106 percent (106%) of the ASP for the following:
- ESRD drugs (when separately billed by freestanding and hospital-based ESRD facilities), and
- Specified covered outpatient drugs, and drugs and biologicals with pass-through status under the OPPS.
Exceptions are summarized as follows:
- The payment allowance limits for blood and blood products (other than blood clotting factors) that are not paid on a prospective payment basis, are determined in the same manner the payment allowance limits were determined on October 1, 2003. Specifically, the payment allowance limits for blood and blood products are 95 percent (95%) of the average wholesale price (AWP) as reflected in the published compendia. The payment allowance limits will be updated on a quarterly basis. Blood and blood products furnished in the hospital outpatient department are paid under OPPS at the amount specified for the APC to which the product is assigned.
- Payment allowance limits for infusion drugs furnished through a covered item of durable medical equipment on or after January 1, 2005, will continue to be 95 percent(95%) of the AWP reflected in the published compendia as of October 1, 2003, unless the drug is compounded. The payment allowance limits will not be updated in 2007. Payment allowance limits for infusion drugs furnished through a covered item of durable medical equipment (DME) that were not listed in the published compendia as of October 1, 2003, (i.e., new drugs) are 95 percent (95%) of the first published AWP unless the drug is compounded.
- Payment allowance limits for influenza, Pneumococcal and Hepatitis B vaccines are 95 percent (95%) of the AWP as reflected in the published compendia except when the vaccine is furnished in a hospital outpatient department. When the vaccine is administered in the hospital outpatient department, the vaccine is paid at reasonable cost.
- The payment allowance limits for drugs that are not included in the ASP Medicare Part B Drug Pricing File or Not Otherwise Classified (NOC) Pricing File (other than new drugs that are produced or distributed under a new drug application approved by the Food and Drug Administration) are based on the published wholesale acquisition cost (WAC) or invoice pricing. In determining the payment limit based on WAC, the Medicare contractors follow the methodology specified in the Medicare Claims Processing Manual (Publication 100-04, Chapter 17, Drugs and Biologicals) for calculating the AWP but substitute WAC for AWP. The payment limit is 100 percent (100%) of the lesser of the lowest-priced brand or median generic WAC. For 2006, the blood clotting furnishing factor of $0.146 per I.U. is added to the payment amount for the blood clotting factor when the blood clotting factor is not included on the ASP file. For 2007, the blood clotting furnishing factor of $0.152 per I.U. is added to the payment amount for the blood clotting factor when the blood clotting factor is not included on the ASP file.
- The payment allowance limits for new drugs that are produced or distributed under a new drug application approved by the Food and Drug Administration (FDA) and that are not included in the ASP Medicare Part B Drug Pricing File or Not Otherwise Classified (NOC) Pricing File are based on 106 percent (106%) of the WAC or invoice pricing, if the WAC is not published. This policy applies only to new drugs that were first sold on or after January 1, 2005.
- The payment allowance limits for radiopharmaceuticals are not subject to ASP. Radiopharmaceuticals furnished in the hospital outpatient department are paid charges reduced to cost by the hospital's overall cost to charge ratio.
On or after March 19, 2007, the revised January 2007 and April 2007 ASP files and ASP Not Otherwise Classified (NOC) files will be available for retrieval from the CMS ASP Web page, and the payment limits included in the revised ASP and NOC payment files supersede the payment limits for these codes in any publication published prior to this document. The CMS ASP Web page is located at http://www.cms.hhs.gov/McrPartBDrugAvgSalesPrice/ on the CMS site. The revised files are applicable to claims based on dates of service as shown in the following table:
| Payment Allowance Limit Revision Date | Applicable Dates of Services |
| January 2007 | January 1, 2007 through March 31, 2007 |
| April 2007 | April 1, 2007 through June 30, 2007 |
NOTE: The absence or presence of a Healthcare Common Procedure Coding System (HCPCS) code, and its associated payment limit, does not indicate Medicare coverage of the drug or biological. Similarly, the inclusion of a payment limit within a specific column does not indicate Medicare coverage of the drug in that specific category. The local Medicare contractor processing the claim will make these determinations.
Drugs Furnished During Filling or Refilling an Implantable Pump or Reservoir
Physicians (or a practitioner described in the Social Security Act (Section 1842(b) (18) (C);
http://www.ssa.gov/OP_Home/ssact/title18/1842.htm) may be paid for filling or refilling an implantable pump or reservoir when it is medically necessary for the physician (or other practitioner) to perform the service. Medicare contractors must find the use of the implantable pump or reservoir medically reasonable and necessary in order to allow payment for the professional service to fill or refill the implantable pump or reservoir and to allow payment for drugs furnished incident to the professional service.
If a physician (or other practitioner) is prescribing medication for a patient with an implantable pump, a nurse may refill the pump if the medication administered is accepted as a safe and effective treatment of the patient's illness or injury; there is a medical reason that the medication cannot be taken orally; and the skills of the nurse are needed to infuse the medication safely and effectively. Payment for drugs furnished incident to the filling or refilling of an implantable pump or reservoir is determined under the ASP methodology as described above.
Additional Information
For complete details, please see the official instruction issued to your carriers, DMERCs, DME MACs, FIs, A/B MACs, and/or RHHIs regarding this change. That instruction may be viewed at http://www.cms.hhs.gov/Transmittals/downloads/R1204CP.pdf on the CMS Web site.
If you have any questions, please contact your carriers, DMERCs, DME MACs, FIs, A/B MACs, and/or RHHIs at their toll-free number, which may be found on the CMS Web site at http://www.cms.hhs.gov/MLNProducts/downloads/CallCenterTollNumDirectory.zip.
Flu Shot Reminder
It's Not Too Late to Give and Get the Flu Shot! The peak of flu season typically occurs between late December and March; however, flu season can last until May. Protect yourself, your patients, and your family and friends by getting and giving the flu shot. Each office visit presents an opportunity for you to talk with your patients about the importance of getting an annual flu shot and a lifetime pneumococcal vaccination. Remember – Influenza and pneumococcal vaccination and their administration are covered Part B benefits. Note that influenza and pneumococcal vaccines are NOT Part D covered drugs. For more information about Medicare's coverage of adult immunizations and educational resources, go to CMS' Web site:
http://www.cms.hhs.gov/MLNMattersArticles/downloads/SE0667.pdf .
April Quarterly Update for 2007 Durable Medical Equipment, Prosthetics, Orthotics, and Supplies (DMEPOS) Fee Schedule
Note: This article was revised on March 16, 2007, to show the correct effective date of January 1, 2007 above. All other information remains the same.
Provider Types Affected
Physicians, providers, and suppliers submitting claims to Medicare contractors (carriers, Durable Medical Equipment Regional Carriers (DMERCs), DME Medicare Administrative Contractors (DME MACs), Fiscal Intermediaries (FIs), Part A/B Medicare Administrative Contractors (A/B MACs), and/or Regional Home Health Intermediaries (RHHIs)) for DMEPOS provided to Medicare beneficiaries.
Provider Action Needed
This article is based on Change Request (CR) 5537, which provides the April 2007quarterly update to the DMEPOS fee schedules in order to implement fee schedule amounts for new codes and to revise any fee schedule amounts for existing codes that were calculated in error. Be sure billing staff are aware of these changes.
Background
The DMEPOS fee schedules are updated on a quarterly basis in order to implement fee schedule amounts for new codes and to revise any fee schedule amounts for existing codes that were calculated in error. The quarterly updates process for the DMEPOS fee schedule is located in the Medicare Claims Processing Manual (Publication 100-04), Chapter 23, Section 60;
http://www.cms.hhs.gov/manuals/downloads/clm104c23.pdf).
CR 5537 provides specific instructions regarding the April quarterly update for the 2007 DMEPOS fee schedule. Payment on a fee schedule basis is required for durable medical equipment (DME), prosthetic devices, orthotics, prosthetics, and surgical dressings by the Social Security Act (Sections 1834(a), (h), and (i)). Payment on a fee schedule basis is required for parenteral and enteral nutrition (PEN) by regulations contained in Title 42 of the Code of Federal Regulations (42 CFR 414.102).
Key Changes
The following are key changes in the April 2007 quarterly update of the DMEPOS fee schedule:
L8690 and L8691
The A/B MACs, Local Carriers, and FIs will adjust previously processed claims for L8690 (Auditory Osseointegrated Device, Includes All Internal and External Components) and L8691 (Auditory Osseointegrated Device, External Sound Processor, Replacement), with dates of service on or after January 1, 2007, if you resubmit such claims as adjustments.
Code E1002 (Wheelchair accessory, Power Seating System, Tilt Only)
Code E1002 was added to the Healthcare Common Procedure Coding System (HCPCS) effective January 1, 2004. The fee schedule amounts that were calculated and implemented for this code included systems with tilts less than 45 degrees from horizontal. As described in the November 2006 Policy Article for Wheelchair Options/Accessories, power tilt seating systems (falling under code E1002) must have the ability to tilt to greater than or equal to 45 degrees from horizontal. Therefore as part of this quarterly update, the fee schedule amounts for code E1002 are being revised in order to remove pricing information for power seating systems with tilts less than 45 degrees.
The DME MACs, and DMERCs will adjust previously processed claims for code E1002 with dates of service on or after January 1, 2007, if they are resubmitted as adjustments.
Code E2377 (Power Wheelchair Accessory, Expandable Controller, Including All Related Electronics and Mounting Hardware, Upgrade Provided at Initial Issue)
Code E2377 was added to the HCPCS effective January 1, 2007, for use in paying claims for upgraded expandable controllers and mounting hardware provided at initial issue. The fee schedule amounts for code E2377 do not include payment for the proportional joystick and electronics/cables/junction boxes necessary to upgrade from a non-expandable controller. Suppliers need to submit claims for the upgraded proportional joysticks and electronics provided at initial issue for dates of service on or after January 1, 2007, using HCPCS code E2399.
Furher Changes for Power Wheelchairs
CMS is in the process of making refinements to the fee schedule amounts for several HCPCS codes for power wheelchairs to be implemented as part of the April quarterly update for the 2007 DMEPOS fee schedule. Additional instructions regarding these changes will be issued in the near future under separate cover.
Additional Information
The official instruction, CR 5537, issued to your carrier, intermediary, RHHI, A/B MAC, DMERC, or DME MAC regarding this change may be viewed at
http://www.cms.hhs.gov/Transmittals/downloads/R1203CP.pdf on the CMS Web site.
If you have any questions, please contact your Medicare carrier, intermediary, RHHI, A/B MAC, DMERC, or DME MAC at their toll-free number, which may be found on the CMS Web site at http://www.cms.hhs.gov/MLNProducts/downloads/CallCenterTollNumDirectory.zip.
Flu Shot Reminder
It's Not Too Late to Give and Get the Flu Shot! The peak of flu season typically occurs between late December and March; however, flu season can last until May. Protect yourself, your patients, and your family and friends by getting and giving the flu shot. Each office visit presents an opportunity for you to talk with your patients about the importance of getting an annual flu shot and a lifetime pneumococcal vaccination. Remember – Influenza and pneumococcal vaccination and their administration are covered Part B benefits. Note that influenza and pneumococcal vaccines are NOT Part D covered drugs. For more information about Medicare's coverage of adult immunizations and educational resources, go to CMS' Web site:
http://www.cms.hhs.gov/MLNMattersArticles/downloads/SE0667.pdf .
CERT (Comprehensive Error Rate Testing) Third Party Documentation
During a CERT review, you may be asked to provide more information related to a claim you submitted, such as medical records or certificates of medical necessity, so that the CERT review contractor can verify that billing was proper. The CERT Documentation Contractor sends requests for this additional information via fax and/or postal mail. There are times when the response received might be one of the following:
- Patient was not seen on this date of service
- Patient not seen in this office
- Records are at the hospital, call them
In many cases, the patients were seen at a different facility. As a Medicare provider it is your responsibility to obtain additional supporting documentation from a third party (hospital, nursing home, etc.), as necessary (in accordance with 42 U.S.C. 1320C-5 (a) (3) and 1833 of the Social Security Act). Providing medical records of Medicare patients to the Comprehensive Error Rate Testing (CERT) contractor is within the scope of compliance with the Health Insurance Portability and Accountability Act (HIPAA).
Another situation where this occurs is with diagnostic tests, mainly labs and x-rays. The CERT contractor or Medicare asks the provider rendering the service – the lab or radiology practice – for the information. They may not have the diagnostic information from the primary/ordering physician, so their claim may be denied. It would be advantageous for all if primary/ordering physicians make certain to provide the diagnostic facility with the clinical information so the billing and documentation can be complete and the providers can be paid appropriately.
If you fail to submit the requested information in a timely fashion, the claim is deemed to be an error and a refund of the overpayment will be requested from the billing provider. As you can see, it is very important that supporting documentation is provided whenever it is requested by the CERT contractor.
If you have any questions, call CERT Customer Service at (301) 957.2380 between the hours of 8:00 AM to 6:00 PM EST.
Change in the Amount in Controversy Requirement for Federal District Court Appeals
If you have questions regarding the plan of a specific Medicare patient enrolled in a Medicare Advantage (MA) plan, you may wish to contact that plan. A plan directory and MA claims processing contact directory are available at http://www.cms.hhs.gov/MCRAdvPartDEnrolData/ on the Centers for Medicare & Medicaid Services (CMS) Web site. CMS updates this site on a monthly basis.
Provider Types Affected
Physicians, providers, and suppliers submitting claims to Medicare contractors (carriers, Durable Medical Equipment Regional Carriers (DMERCs), DME Medicare Administrative Contractors (DME MACs), Fiscal Intermediaries (FIs), Part A/B Medicare Administrative Contractors (A/B MACs), and/or Regional Home Health Intermediaries (RHHIs)) for services provided to Medicare beneficiaries.
Provider Action Needed
This article is based on Change Request (CR) 5518 which notifies Medicare contractors of an increase in the Amount in Controversy Required to sustain Federal District Court appeal rights beginning January 1, 2007.
Background
The Medicare Prescription Drug, Improvement, and Modernization Act of 2003 provides for an annual reevaluation, beginning in 2005, of the dollar amount in controversy required for an Administrative Law Judge (ALJ) hearing or Federal District Court review. Therefore, CR5518 updates the Medicare Claims Processing Manual (Pub. 100-04, Chapter 29, Sections 330.1 and 345.1) to announce the Amount in Controversy Requirements for ALJ or Federal District CourtAppeals during 2007.
The amount remaining in controversy requirement for ALJ hearing requests made before January 1, 2006 was $100. The amount in controversy requirement increased to $110 for requests made on or after January 1, 2006. CR 5518 announces that for ALJ hearing requests made on or after January 1, 2007, the amount that must remain in controversy did not change and remains at $110.
The amount remaining in controversy requirement for Federal District Court review prior to January 1, 2006, was $1,000. That amount increased to $1,090 on or after January 1, 2006.CR 5518 announces that for Federal District Court review requests made on or after January 1, 2007, the amount that must remain in controversy is increased to $1,130.
Additional Information
The official instruction, CR 5518, issued to your carrier, intermediary, RHHI, A/B MAC, DMERC, or DME MAC regarding this change may be viewed at
http://www.cms.hhs.gov/Transmittals/downloads/R1211CP.pdf on the CMS Web site.
If you have any questions, please contact your Medicare carrier, intermediary, RHHI, A/B MAC, DMERC, or DME MAC at their toll-free number, which may be found on the CMS Web site at http://www.cms.hhs.gov/MLNProducts/downloads/CallCenterTollNumDirectory.zip.
Changes to the Laboratory National Coverage Determination (NCD) Edit Software for April 2007
Provider Types Affected
Physicians, providers, and suppliers submitting claims to Medicare carriers, fiscal intermediaries (FIs), or Part A/B Medicare Administrative Contractors (A/B MACs) for clinical diagnostic laboratory services provided for Medicare beneficiaries.
Provider Action Needed
This article and related Change Request (CR) 5514 announces the changes that will be included in the April, 2007 release of the edit module for clinical diagnostic laboratory National Coverage Determinations (NCDs). You may want to assure your billing staff is aware of these changes.
Background
The NCDs for clinical diagnostic laboratory services were developed by the laboratory negotiated rulemaking committee and published as a final rule on November 23, 2001. Subsequently, the Centers for Medicare & Medicaid Services (CMS) contracted for nationally uniform software to be developed and incorporated into its claims processing systems so that laboratory claims subject to one of the 23 NCDs can be processed uniformly throughout the nation effective April 1, 2003. The laboratory edit module for the NCDs is updated quarterly (as necessary) to reflect coding updates and substantive changes to the NCDs developed through the NCD process. (See the Medicare Claims Processing Manual (Publication 100-04), Chapter 16, Section 120.2., available at http://www.cms.hhs.gov/manuals/downloads/clm104c16.pdf on the CMS Web site.)
These updating changes are a result of coding analysis decisions developed under the procedures for maintenance of codes in the negotiated NCDs, and biannual updates of the ICD-9-CM codes. In addition, many of the listed changes may correct Current Procedural Terminology (CPT) codes to reflect the current CPT update.
CR5514 informs your Medicare carrier, FI, or A/B MAC about changes to the laboratory edit module and changes in laboratory NCD code lists effective for services furnished on or after April 1, 2007.
Key Point of CR5514
Effective for dates of service on or after April 1, 2007:
- The new HCPCS code G0394 for Blood occult test (e.g., guaiac), feces, for single determination for colorectal neoplasm (i.e., patient was provided three cards or single triple card for consecutive collection) is added to the list of HCPCS codes for the Fecal Occult Blood Test NCD (190.34).
Additional Information
If you have questions, please contact your Medicare carrier, FI, or A/B MAC, at their toll-free number which may be found at http://www.cms.hhs.gov/MLNProducts/downloads/CallCenterTollNumDirectory.zip on the CMS Web site.
To see the official instruction (CR5514) issued to your Medicare carrier, FI, or A/B MAC, go to http://www.cms.hhs.gov/Transmittals/downloads/R1200CP.pdf on the CMS Web site.
Colorectal Cancer: Preventable, Treatable, and Beatable —Medicare Coverage and Billing for Colorectal Cancer Screening
Provider Types Affected
All Medicare fee-for-service (FFS) physicians, nurse practitioners, physician assistants, clinical nurse specialists, outpatient hospital departments, and community surgical centers who furnish or provide referrals for and /or file claims for Medicare-covered colorectal cancer screening services.
Provider Action Needed
STOP – Impact to You
March is National Colorectal Cancer Awareness Month. The Centers for Medicare & Medicaid Services (CMS) would like to remind providers to encourage their eligible patients, age 50 and older, to get screened for colorectal cancer. This Special Edition MLN Matters article highlights coverage changes that became effective January 1, 2007, and reviews Medicare coverage and billing processes for colorectal cancer screening.
Caution – What You Need to Know
Medicare has covered colorectal cancer screening since 1998, but the benefit is underused. Claims data from 1998-2002 indicate that less than half of Medicare beneficiaries had any screening test during this five-year period, and less than one-third were tested according to recommended intervals.
Go – What You Need to Do
Be sure your staff is aware of this coverage and the CMS urges physicians to encourage their patients to take advantage of this important coverage.
Background
Colorectal cancer is the second leading cause of cancer death in the U.S., and the third most common type of cancer. In 2006, colorectal cancer was expected to account for 55,170 deaths and 148,610 new cases. Colorectal cancer primarily affects men and women ages 50 and older, and risk increases with age. If detected early, colorectal cancer can be treated and cured.
In January 1998, Medicare began covering colorectal cancer screening. The data currently available (1998- 2002) indicate the Medicare colorectal cancer screening benefit is underused. Less than half of enrollees had any colorectal cancer test during the five-year period and less than one-third were tested according to recommended intervals.
The U.S. Preventive Services Task Force (USPSTF) evaluates the clinical merits of preventive measures, and strongly recommends ("A" rating) that clinicians screen men and women ages 50 and older for colorectal cancer. The choice of screening strategy should be based on patient preferences, medical contraindications, patient adherence, and resources for testing and follow-up. There are insufficient data to determine which screening strategy is best in terms of the balance of benefits and potential harms or cost-effectiveness. Studies reviewed by the USPSTF indicate that colorectal cancer screening is likely to be cost-effective (less than $30,000 per additional year of life gained) regardless of the strategy chosen. To read the full recommendation, go to the following link: http://www.ahrq.gov/clinic/uspstf/uspscolo.htm on the Web.
The Partnership for Prevention conducted a systematic assessment of the clinical preventive services recommended by the USPSTF to help decision-makers identify those services that provide the most value based on 2 criteria--burden of disease prevented and cost-effectiveness. Screening adults for colorectal cancer screening was among the services considered to be of the greatest value. To read about the ranking of clinical preventive services, go to the following link: http://prevent.org/content/view/46/96/ on the Web.
Risk Factors
Beneficiaries are considered to be at high risk for colorectal cancer if they have any of the following:
- A close relative (sibling, parent, or child) who has had colorectal cancer or an adenomatous polyp;
- A family history of adenomatous polyposis;
- A family history of hereditary nonpolyposis colorectal cancer;
- A personal history of adenomatous polyps;
- A personal history of colorectal cancer; or
- A personal history of inflammatory bowel disease, including Crohn's Disease and ulcerative colitis.
Coverage Information
Medicare covers the following colorectal cancer screening tests and procedures:
- Fecal occult blood test (FOBT): Medicare covers 1 FOBT annually for beneficiaries 50 and older. A written order from the beneficiary's attending physician is required. Medicare will pay for an immunoassay-based FOBT as an alternative to the guaiac-based FOBT, but will only pay for 1 FOBT, not both, per year. Beneficiaries do not have to pay coinsurance for the FOBT, and do not have to meet the annual Medicare Part B deductible.
Note: In 2006, and effective for services provided January 1, 2007, and later, CMS adopted the more specific CPT code 82270 (patient was provided 3 single cards or single triple card for consecutive collection) and discontinued the G code G0107 (FOBT, 1-3 simultaneous determinations) to encourage quality colorectal cancer screening practices. Two studies published in January 2005 in the Annals of Internal Medicine suggested that the office-based single sample screening fecal occult blood test is of limited value, and that many physicians are not following practice guidelines for screening and follow-up.
- Screening flexible sigmoidoscopy: Medicare covers a screening flexible sigmoidoscopy once every 4 years for beneficiaries 50 and older. If a beneficiary had a screening colonoscopy in the previous 10 years, then the next screening flexible sigmoidoscopy would be covered only after 119 months have passed following the month in which the last screening colonoscopy was performed. A doctor of medicine or osteopathy, a physician assistant, a nurse practitioner, or a clinical nurse specialist may perform a screening flexible sigmoidoscopy.
- Screening colonoscopy: Medicare coverage for a screening colonoscopy is based on beneficiary risk. For beneficiaries 50 and older not considered to be at high risk for developing colorectal cancer, Medicare covers 1 screening colonoscopy every 10 years, but not within 47 months of a previous screening flexible sigmoidoscopy. For beneficiaries considered to be at high risk for developing colorectal cancer, Medicare covers 1 screening colonoscopy every 2 years, regardless of age. A screening colonoscopy must be performed by a doctor of medicine or osteopathy.
- Screening barium enema: Medicare covers a screening barium enema as an alternative to a screening flexible sigmoidoscopy for all beneficiaries under the same coverage requirements and at the same frequency as for the screening flexible sigmoidoscopy. Medicare will cover only one such service during the coverage timeframe: it will cover either the screening flexible sigmoidoscopy or the barium enema, but not both. Medicare also covers a barium enema as an alternative to a screening colonoscopy rendered to a beneficiary at high risk for developing colorectal cancer under the same coverage requirements, at the same frequency. Medicare will cover only one such service during the coverage timeframe: it will cover either the screening colonoscopy for the high-risk beneficiary or the barium enema rendered in lieu of it, but not both.
A screening barium enema must be ordered in writing and collected by a doctor of medicine or osteopathy once it is determined that it is the appropriate screening method for a beneficiary. A double contrast barium enema is preferable, but the physician may order a single contrast barium enema if it is more appropriate for the beneficiary.
The beneficiary is liable for paying 20% of the Medicare-approved amount (the coinsurance) for screening flexible sigmoidoscopy, screening colonoscopy, and screening barium enema. See "2007 Changes" for changes to coinsurance amount.
2007 Changes
- Starting January 1, 2007, the Medicare Part B deductible has been waived for screening colonoscopy, sigmoidoscopy, and barium enema (as an alternative to colonoscopy or sigmoidoscopy). However, the deductible is not waived if the colorectal cancer screening test becomes a diagnostic colorectal test; that is the service actually results in a biopsy or removal of a lesion or growth.
- Starting January 1, 2007, for a screening flexible sigmoidoscopy or a screening colonoscopy performed in a non-outpatient prospective payment system hospital outpatient department, the beneficiary is liable for paying 25% of the Medicare- approved amount (the coinsurance). The 25% coinsurance is currently being applied in the Outpatient Prospective Payment System (OPPS) for OPPS hospitals. However, it is not being applied to non-OPPS hospitals.
- Starting January 1, 2007, for a screening colonoscopy performed in an ambulatory surgical center, the beneficiary is liable for paying 25% of the Medicare-approved amount (the coinsurance).
In addition, G0107 (FOBT, 1-3 simultaneous determinations) has been discontinued. CPT code 82270 (patient was provided 3 single cards or single triple card for consecutive collection) has been adopted to encourage quality colorectal cancer screening.
How to Bill Medicare
The following Healthcare Common Procedure Coding System/Current Procedure Terminology (HCPCS/CPT) codes should be used to bill for colorectal cancer screening services:
| HCPCS/CPT Code | Code Description |
| G0104 | Colon cancer screening; flexible sigmoidoscopy |
| G0105* | Colon cancer screening; colonoscopy on indiviual at high risk |
| G0106 | Colon cancer screening; barium enema as an alternative to G0104 |
| 82270 | Colon cancer screening; FOBT, patient was provided 3 single cards or single triple card for consecutive collection |
| G0120 | Colon cancer screening; barium enema as an alternative to G0105 |
| G0121 | colon cancer screening; colonoscop for individuals not meeting criteria for high risk. |
| G0122** | Colon cancer screening; barium emena (non-covered) |
| G0328 | Colon cancer screening; fecal occult blood test, immunoassay |
* When billing for the "high risk" beneficiary, the screening diagnosis code on the claim must reflect at least one of the high risk conditions mentioned previously. Examples of diagnostic codes are in the colorectal cancer screening chapter of the Guide to Preventive Services. This guide is available at: http://www.cms.hhs.gov/MLNProducts/downloads/PSGUID.pdf on the CMS Web site.
**Medicare covers colorectal barium enemas only in lieu of covered screening flexible sigmoidoscopies (G0104) or covered screening colonoscopies (G0105). However, there may be instances when the beneficiary has elected to receive the barium enema for colorectal cancer screening other than specifically for these purposes. In such situations, the beneficiary may require a formal denial of the service from Medicare in order to bill a supplemental insurer who may cover the service. These non-covered barium enemas are to be identified by G0122 (colorectal cancer screening; barium enema). Code G0122 should not be used for covered barium enema services, that is, those rendered in place of the covered screening colonoscopy or covered flexible sigmoidoscopy. The beneficiary is liable for payment of the non-covered barium enema.If billing Carriers, the appropriate HCPCS and corresponding diagnosis codes must be provided on Form CMS-1500 (or the HIPAA 837 Professional electronic claim record).
If billing Intermediaries, the appropriate HCPCS, revenue, and corresponding diagnosis codes must be provided on Form CMS-1450 (or the HIPAA Institutional electronic claim record). Information on the type of bill and associated revenue code is also provided in the colorectal cancer screening chapter of the Guide to Preventive Services. Once again, this guide is available at: http://www.cms.hhs.gov/MLNProducts/downloads/PSGUID.pdf on the CMS Web site.
Reimbursement information is also provided in this guide.
Additional Information
- CMS has developed a comprehensive prevention Web site that provides information and resources for all Medicare preventive benefits. The following link is to the colorectal cancer screening section, and includes Web site links to information and resources developed by other organizations interested in promoting colorectal cancer screening, including the National Cancer Institute, the Centers for Disease Control and Prevention, and the American Cancer Society. http://www.cms.hhs.gov/ColorectalCancerScreening/
- Other MLN Matters articles on colorectal cancer screening changes mentioned in this special edition are MM5387 (coinsurance changes) http://www.cms.hhs.gov/MLNMattersArticles/downloads/MM5387.pdf and MM5127 (deductible change) http://www.cms.hhs.gov/MLNMattersArticles/downloads/MM5127.pdf. CMS has also developed a variety of educational products and resources to help health care professionals and their staff, become familiar with coverage, coding, billing, and reimbursement for all preventive services covered by Medicare.
- The MLN Preventive Services Educational Products Web Page provides descriptions and ordering
information for all provider specific educational products related to preventive services. The
Web page is located at
http://www.cms.hhs.gov/MLNProducts/35_PreventiveServices.asp on the CMS Web site. - The CMS Web site provides information for each preventive service covered by Medicare. Visit http://www.cms.hhs.gov/, select "Medicare," and scroll down to "Prevention."
For products to share with your Medicare patients, visit http://www.medicare.gov on the Web.
Medicare beneficiaries can obtain information about Medicare preventive benefits at http://www.medicare.gov/ and then click on "Preventive Services." They can also call 1.800.MEDICARE (1.800.633.4227). TTY users should call 1.877.486.2048.
For more information about National Colorectal Cancer Awareness Month, please visit http://www.crfa.org/colorectal/ on the Web.
Flu Shot Reminder
It's Not Too Late to Give and Get the Flu Shot!
The peak of flu season typically occurs between late December and March; however, flu season can last until May. Protect yourself, your patients, and your family and friends by getting and giving the flu shot. Each office visit presents an opportunity for you to talk with your patients about the importance of getting an annual flu shot and a lifetime pneumococcal vaccination. Remember – Influenza and pneumococcal vaccination and their administration are covered Part B benefits. Note that influenza and pneumococcal vaccines are NOT Part D covered drugs. For more information about Medicare's coverage of adult immunizations and educational resources, go to CMS' Web site:
http://www.cms.hhs.gov/MLNMattersArticles/downloads/SE0667.pdf .
Common Billing Errors to Avoid When Billing Medicare Carriers
Provider Types Affected
Physicians and providers billing Medicare carriers for services provided to Medicare beneficiaries
Provider Action Needed
This special edition article includes some general information regarding the most frequent errors that are found in claims submitted to Medicare carriers. The article is intended to help you correctly complete your Medicare claims so they will not be denied, rejected, or delayed because of incorrect or incomplete information.
Background
The Administrative Simplification Compliance Act and its implementing regulation (42 CFR 44.32,
http://www.gpoaccess.gov/cfr/retrieve.html) require that all initial claims for reimbursement under Medicare be submitted electronically as of October 16, 2003 (except from small providers with limited exceptions).
All Medicare providers, except for small providers defined in regulation, must bill Medicare electronically. A "small provider" is defined in the Federal Register (42 CFR 424.32(d)(1)(vii),
http://www.gpoaccess.gov/cfr/retrieve.html). To simplify, Medicare will consider all physicians, practitioners, facilities, or suppliers with fewer than 10 full time employees (FTEs) that bill a Medicare carrier or DMERC to be small. Providers that qualify as "small" automatically qualify for waiver of the requirement that their claims be submitted to Medicare electronically. Those providers are encouraged to submit their claims to Medicare electronically, but are not required to do so under the law. Small providers may elect to submit some of their claims to Medicare electronically, but not others. Submission of some claims electronically does not negate their small provider status nor obligate them to submit all of their claims electronically.
Common Billing Errors
The following list includes common billing errors that you should avoid when submitting your claims to Medicare carriers:
- The patient cannot be identified as a Medicare patient. Always use the Health Insurance Claim Number (HICN) and name as it appears on the patient's Medicare card.
- Item 32 (and the electronic claim equivalent) requires you to indicate the place where the service was rendered to the patient including the name and address – including a valid ZIP code– for all services unless rendered in the patient's home. Please be advised that any missing, incomplete, or invalid information recorded in this required field will result in the claim being returned or rejected in the system as unprocessable. Any claims received with the word "SAME" in Item 32 indicating that the information is the same as supplied in Item 33 are not acceptable. (NOTE: References to an item number, such as item 32, refer to paper claim forms. However, note that the whenever an item number is used in this article, the related concept and information required also applies to equivalent fields on electronic claims.)
- The referring/ordering physician's name and UPIN were not present on the claim. Please keep in mind this information is required in Item 17 and 17a on all diagnostic services, including consultations. In addition, be aware of the new requirements for use of National Provider Identifiers (NPIs). To learn more about NPIs and how to obtain your NPI, see the MLN Matters article SE0679 at http://www.cms.hhs.gov/MLNMattersArticles/downloads/SE0679.pdf on the CMS Web site.
- Also, see the MLN Matters articles SE0555, SE0659, and MM4203 for important information regarding CMS' schedule for implementing the NPI. The articles are at http://www.cms.hhs.gov/MLNMattersArticles/downloads/SE0555.pdf, http://www.cms.hhs.gov/MLNMattersArticles/downloads/SE0659.pdf, and http://www.cms.hhs.gov/MLNMattersArticles/downloads/MM4023.pdf, respectively.
- Evaluation and management (E&M) procedure codes and the place of service do not match. An incorrect place of service is being submitted with the E&M procedure code. (Example: Procedure code 99283, which is an emergency room visit, is submitted with place of service 11, which is office).
- Please keep in mind, when billing services for more than one provider within your group, that you must put the individual provider number in Item 24k, as Item 33 can only accept one individual provider number. Also, please make sure the provider number on the claim is accurate and that it belongs to the group. (Also, remember that as of May 23, 2007, NPIs are to be used.)
- Diagnosis codes being used are either invalid or truncated. Diagnosis codes are considered invalid usually because an extra digit is being added to make it 5 digits. Please remember not all diagnosis codes are 5 digits. Please check your ICD-9-CM coding book for the correct diagnosis code.
- Procedure code/modifier was invalid on the date of service. Remember that, as of January 1, 2005, CMS no longer provides a 90-day grace period for billing discontinued CPT/HCPCS codes. (Note: Please read the Medicare provider bulletins, especially at the end of each year, as Medicare list all the additions, deletions, and code changes for the following year.)
- Claims are being submitted with deleted procedure codes. This information can also be found in the CPT Book. It is important to be using a current book.
- When Medicare is secondary, Item 11, 11a, 11b, and 11c must be completed.
Billing Tips
The following topics will assist you with correct billing and help you complete and submit error free claims:- Provider Numbers
Individual vs. Group PIN - Use the individual rendering provider identification number (PIN) on each detail line. Make sure the group number, when applicable, corresponds to the appropriate individual PIN. When a physician has more than one PIN (private practice, hospital, etc.), use the appropriate PIN for the services rendered. A rendering provider number, if not a solo number, must always belong to the group number that is billing. Electronic submitter ID numbers (not UPINs) should be entered in place of the PIN (group or individual). When billing any service to Medicare, if you have doubts as to which provider number to use, please verify with your carrier. (Remember to use NPIs on claims as of May 23, 2007.)
"Zero-Filling" - Do not substitute zeros or a submitter identification number where a Medicare PIN, UPIN, or NPI is required.
- Health Insurance Claim (HIC) Numbers HIC Accuracy – Your carrier receives numerous claims that are submitted with invalid or incorrect HIC numbers. These claims require manual intervention and can sometimes result in beneficiaries receiving incorrect EOMB information. Please be certain the HIC number you are keying is entered correctly, and is also the HIC that belongs to the patient (based on what is on his/her Medicare card) for which you are billing.
HIC Format - A correct HIC number consists of 9 numbers immediately followed by an alpha suffix. Take special care when entering the HIC number for members of the same family who are Medicare beneficiaries. A husband and wife may have a HIC number that share the same Social Security numerics. However, every individual has their own alpha suffix at the end of the HIC number. In order to ensure proper claim payment, it is essential that the correct alpha suffix is appended to each HIC. No hyphens or dashes should be used.
"Railroad Retirees" - Railroad Retirement Board (RRB) HIC numbers generally have two alpha characters as a prefix to the number. These claims should be billed to the RRB carrier, at this address:
Palmetto Government Benefit Administrators
Railroad Medicare Services
PO Box 10066
Augusta, GA 30999-0001- Name Accuracy
Titles should not be used as part of the name (e.g., Dr., Mr., Rev., M.D., etc.). Be sure to use the name as it appears on the patient's Medicare card.
Non-Medicare Claims - Do not send claims for non-Medicare beneficiaries to your Medicare carrier.
- Complete Address
U.S. Postal Addressing Standards - It is very important to meet the U.S. Postal addressing standards. Patient and provider information must be correct. This is necessary so that checks and Medicare Summary Notices (MSNs) or remittance notices arrive at the correct destination. It is also to ensure the quickest service to your office.
- Provider Numbers
- A deliverable address may contain both a street name and number or a street name with a Post Officer (P.O.) Box number.
- A P.O. Box by itself is acceptable.
- A Rural Route (RR) number must be with a box number. Note: It is incorrect to key P.O. in front of the box number when given with a rural route.
- A star route number is not a deliverable address. Use highway contract route (HC) instead of star route.
- RD numbers are no longer valid. If there are rural routes still existing in your area, the correct number should be preceded by RR, then the box number.
- A box number or a RR number by itself is not deliverable.
- A street name without a number can not be delivered. • Do not use % or any other symbol when denoting an "in care of" address. C/O is appropriate.
- As always, no commas, hyphens, periods, or other special characters should be used.
Nursing Home or Skilled Nursing Facility Address - For a facility such as a nursing home or skilled nursing facility, it is preferred that a street name and number be supplied. In some cases, this information is not available, but if it is, please use it. Please verify the accuracy of your address before you send this information.
Apartment Complex - An apartment complex (words such as apartments, towers, or complex indicate such) should contain a street address and an apartment number. Again, this information is not always available, but should always be used when it exists.
Development Center/Trailer Park - If a development center or trailer park is given, it should contain the street address and number, if that information is part of the complete address.
"No Street Address" (NSA) - NSA (No Street Address) is not acceptable. This is not a deliverable address.
Changes to Provider Address - Please notify your carrier via a CMS-855 form of any address changes for your office practice.
E. Diagnosis and Procedure Codes
Make sure you keep current with valid diagnosis and procedure codes. HIPAA requires that Medicare conform to these standard code sets and reported codes must be valid as of the date of service. Remember that Medicare can no longer allow a grace period for using deleted codes.
Additional Information
Medicare Claims Processing Manual
The Medicare Claims Processing Manual (Publication 100-04) contains detailed instructions on Medicare's claims processes and detailed information on preparation and submission of claims. This manual is available at http://www.cms.hhs.gov/Manuals/IOM/list.asp#TopOfPage on the CMS Web site.
MLN Matters
MLN Matters is a series of articles that CMS prepares especially for providers. These articles provide information on new and/or deleted procedure and diagnosis codes, changes to the Medicare Physician Fee Schedule and other changes that impact physicians and providers. These articles are available at http://www.cms.hhs.gov/MLNMattersArticles/ on the CMS Web site.
Listservs
Listservs are electronic mailing lists that CMS uses to get new information into the hands of physicians and providers as quickly as possible. To get your Medicare news as it happens, join the appropriate listserv(s) at http://www.cms.hhs.gov/apps/mailinglists/ on the CMS Web site.
If you have any questions, please contact your carrier at their toll-free number, which may be found at http://www.cms.hhs.gov/MLNProducts/downloads/CallCenterTollNumDirectory.zip on the CMS Web site.
Flu Shot Reminder
It's Not Too Late to Give and Get a Flu Shot!
The peak of flu season typically occurs between late December and March; however, flu season can last until May. Protect yourself, your patients, and your family and friends by getting and giving the flu shot. Each office visit presents an opportunity for you to talk with your patients about the importance of getting an annual flu shot and a lifetime pneumococcal vaccination. Remember – Influenza and pneumococcal vaccination and their administration are covered Part B benefits. Note that influenza and pneumococcal vaccines are NOT Part D covered drugs. For more information about Medicare's coverage of adult immunizations and educational resources, go to CMS' Web site:
http://www.cms.hhs.gov/MLNMattersArticles/downloads/SE0667.pdf
Competitive Acquisition Program (CAP) for Part B Drugs
Provider Types Affected
Approved CAP vendors billing the designated carrier
Background
This article and related Change Request (CR) 5546 provide additional details, information, and instructions for the implementation of the CAP as outlined in MLN articles 4064, 4309, 5079, 5332 and CR4306. (The Web addresses for these articles are listed in the Additional Information section of this article.)
Key Points of CR5546
The following are the key points listed in the revised Chapter 17, Section 100 of the Medicare Claims Processing Manual, which is attached to CR5546:
OLD RULES
- Under the MMA, payment to the approved CAP vendor for a drug was conditioned upon the administration of the drug to the Medicare beneficiary.
- From July 1, 2006, through March 31, 2007,
proof that the drug was administered was
established by matching the participating CAP physician's claim for drug administration
with the approved CAP vendor's claim for the drug in the Medicare claims processing system by means of a prescription order number on both claims. When the claims matched in the claims processing system, the approved CAP vendor was paid.
NEW RULES
- Title 2, Section 108(a) of the Tax Relief and Health Care Act of 2006 (TRHCA), requires the Centers for Medicare & Medicaid Services (CMS) to pay an approved CAP vendor's CAP drug claim upon its receipt and to implement a post payment review process by April 1, 2007.
- The post payment review process is required
to assure that drugs supplied under the CAP
were administered to a beneficiary. CMS must establish a mechanism to recoup, offset or collect any overpayments to the approved CAP vendor. If upon post payment review,
Medicare cannot substantiate drug administration, Medicare will treat that as an
overpayment to the CAP vendor and take appropriate recovery action for the drug payment to the CAP vendor. - CMS is implementing CAP claims processing changes in order to comply with TRHCA by April 1, 2007. Pending CAP claims submitted prior to April 1, 2007, but not processed by that date, and all new CAP claims submitted on or after April 1 will be paid upon receipt and will be subject to the post payment review process.
Additional Information
If you have questions, please contact your Medicare carrier at their toll-free number which may be found at: http://www.cms.hhs.gov/MLNProducts/downloads/CallCenterTollNumDirectory.zip on the CMS Web site.
For complete details regarding this CR, please see the official instruction (CR5546) issued to your Medicare carrier. This instruction may be viewed by going to http://www.cms.hhs.gov/Transmittals/downloads/R1207CP.pdf on the CMS Web site.
The following addresses link to the MLN articles listed in the Background section of this article. The articles can be accessed by visiting:
http://www.cms.hhs.gov/MLNMattersArticles/downloads/MM4064.pdf for article MM4064on the CMS Web site; http://www.cms.hhs.gov/MLNMattersArticles/downloads/MM5332.pdf for article MM5332 on the CMS Web site; http://www.cms.hhs.gov/MLNMattersArticles/downloads/MM5079.pdf on the CMS Web site for article MM5079; and http://www.cms.hhs.gov/MLNMattersArticles/downloads/MM4309.pdf on the CMS Web site for article MM4309.
Correction to CR5404: New Waived Tests
Provider Types Affected
Physicians, providers, and suppliers submitting claims to Medicare carriers and/or Part A/B Medicare Administrative Contractors (A/B MACs) for services provided to Medicare beneficiaries
Provider Action Needed
Stop – Impact to You
Change Request (CR) 5482, from which this article is taken, corrects information provided in CR 5404 (released November 24, 2006).
Caution – What You Need to Know
CR 5404, which informed carriers and A/B MACS about new waived tests approved by the Food and Drug Administration (FDA) under Clinical Laboratory Improvement Amendments of 1988 (CLIA), contained an incorrect Current Procedural Terminology (CPT) code for the Gryphus Diagnostics BVBlue test. The correct code for this test is 87999QW (Unlisted microbiology procedure).
Go – What You Need to Do
You should ensure that your billing staffs are made aware of this CPT code correction, and bill accordingly.
Background
CR 5404, which informed carriers and A/B MACS of new waived tests approved by the Food and Drug Administration (FDA) under the Clinical Laboratory
Improvement Amendments of 1988 (CLIA), contained an incorrect CPT for the Gryphus Diagnostics BVBlue test. In both the table in the background section of the Recurring Update Notification attachment and in the waived test list attachment, CR 5404 listed the CPT code for the Gryphus Diagnostics BVBlue as CPT Code: 87899QW.
The CPT code 87899 is for infectious agent activity detection tests by immunoassay with direct optical observation; not otherwise specified. In contrast, the Gryphus Diagnostics BVBlue test is an enzyme activity test that detects sialidase activity in vaginal fluid specimens and is not an immunoassay test. The code in this table and in the waived test list attachment should have been 87999QW (Unlisted microbiology procedure). See the table below for the correct codes.
Note: All the other information in CR 5404 remains the same.
Table 1
| CPT Code/Modifier | Effective Date | Description |
| 82274QW G0328QW |
June 15, 2006 | immunostics, Inc., hema-screen Specific Immunochemical Fecal Occult Blood Test |
| 87999QW | June 30, 2006 | Gryphus Diagnostics BVBlue |
| 83655QW | September 18, 2006 | ESA Biosciences LeadCare II Blood Lead Testing System (whole blood) |
CPT Codes for FDA Approved New Waived Tests
You should remember that the CLIA regulations require a facility to be appropriately certified for each test performed, and that laboratory claims are currently edited at the CLIA certificate level.
Note: Carriers and A/B MACs will not search their files to correct affected claims processed prior to the implementation date of this change, but will adjust any claims that you bring to their attention.
Additional Information
You can find the official instruction, CR 5482, issued to your carrier or A/B MAC by visiting http://www.cms.hhs.gov/Transmittals/downloads/R1197CP.pdf on the CMS Web site.
The MLN Matters article, MM5404, related to CR5404 may be found at http://www.cms.hhs.gov/MLNMAttersArticles/downloads/MM5404.pdf on the CMS Web site.
If you have any questions, please contact your carrier or A/B MAC at their toll-free number, which may be found at http://www.cms.hhs.gov/MLNProducts/downloads/CallCenterTollNumDirectory.zip on the CMS Web site.
Flu Shot Reminder
It's Not Too Late to Give and Get a Flu Shot!
The peak of flu season typically occurs between late December and March; however, flu season can last until May. Protect yourself, your patients, and your family and friends by getting and giving the flu shot. Each office visit presents an opportunity for you to talk with your patients about the importance of getting an annual flu shot and a lifetime pneumococcal vaccination. Remember – Influenza and pneumococcal vaccination and their administration are covered Part B benefits. Note that influenza and pneumococcal vaccines are NOT Part D covered drugs. For more information about Medicare's coverage of adult immunizations and educational resources, go to CMS' Web site:
http://www.cms.hhs.gov/MLNMattersArticles/downloads/SE0667.pdf .
Covered Indications for Chemotherapy Drugs and their Adjuncts
Labeled and Off-labeled Indications were based on the FDA Labeled Indications, the February 2007 issue of the Association of Community Cancer Centers Compendia Based Drug Bulletin and approved indications per the Carrier Medical Directors. Diagnoses other than those listed below may be covered, if the carrier receives information that would support the medical efficacy of the drug for that condition.
Note: The following drugs have Local Coverage Decisions. Please visit the CIGNA Government Services Web site for Coverage information http://www.cignamedicare.com/partb/index.html . Once you are in the Web site, click on the Medical Review drop down box/Medical Review Policies and then choose the appropriate state.
- Azacitidine J9025
- Doxorubicin, Liposomal J9001
- Indium in-III Ibritumomab & Yttrium y-90 Ibritumomab A9542 & A9543
- Intravenous Immune Globulin
- Iodine I-131 Tositumomab A9544 & A9545
- Rituximab J9310
- Zoledronic Acid J3487
- Goserelin Acetate J9202 / Histrelin Implant J9225 / Leuprolide Acetate, depot suspension J9217 /Leuprolide Acetate Implant J9219 / Triptorelin Pamoate J3315 are under the LCD titled Luteinizing Hormone Releasing Hormone Analogues in the Treatment of Prostate Cancer (LHRH)
- Filgrastim J1440 & J1441 & Sargramostim J2820
currently have individual LCDs. A Draft LCD is
available for review & comment titled Colony Stimulating Factors Combining. This LCD will
combine coverage for Filgrastim (Neupogen), Pegfilgrastim (Neulasta), and Sargramostim (Leukine) into one policy.
Abarelix J0128
185
See NCD – 100-19
Aldesluekin J9015
172.0-172.9, 189.0, 189.1, 200.00 to 200.88, 202.00 to 202.98, 205.00 to 205.11
Alemtuzumab J9010
204.10, 204.11
Arsenic Trioxide J9017
205.00, 205.20, and 238.71 to 238.79
Asparaginase J9020
172.0–172.9, 200.00 to 202.98, 204.00-204.11, 205.00 to 208.01
Bacillus Calmette-Guerin J9031
188.0-188.9, 233.7, 233.9
Bevacizumab J9035
153.0-154.8, 162.0-162.9, 174.0-175.9, 362.52
Bleomycin J9040
140.0 to 150.9, 157.0-157.9, 160.0–161.9, 170.0 to 173.9, 176.0–176.9, 180.0–180.9, 182.0, 183.0, 183.9, 184.4, 186.0 to 187.4, 188.0 to 189.1, 189.3, 193, 195.0, 197.2, 197.6, 198.5, 200.00 to 202.98, 236.1.
Bortezomib (Velcade) J9041
202.80 to 202.88, 203.00 to 203.01
Carboplatin J9045
140.0 to 151.9, 153.9, 154.2, 154.3, 155.0-155.2, 156.0 to 158.9, 160.0 to 165.9, 170.0 to 199.1, 200.00 to 204.91, 236.1
Carmustine J9050
151.0–151.9, 153.0 to 155.2, 162.2-162.9, 170.0-170.9, 172.0 to 175.9, 191.0-191.9, 200.00 to 203.81, 273.3
Cetuximab J9055
140.0 to 149.9, 153.0 to 154.8, 160.0 to 161.9, 195.0
Cisplatin J9060 & J9062
140.0 to 151.9, 153.9, 154.2-154.3,155.0- 155.2, 156.0 to 158.9, 160.0 to 165.9, 170.0 to 199.1, 200.00 to 204.91, 236.1
Cladribine J9065
200.00 to 202.98, 204.10, 204.11, 273.3
Cyclophosphamide J9070, J9080, J9090, J9091, J9092
Cyclophosphamide, Lyophilized J9093 to J9097
140.0 to 149.9, 153.0 to 154.8, 157.0-157.9, 160.0 to 165.9, 170.0 to 175.9, 180.0 to 195.0, 198.5, 200.00 to 204.11, 205.00 to 208.01, 236.1, 273.2, 273.3, 273.9, 282.9, 283.0, 287.30 to 287.5, 340, 446.0, 446.20, 446.4, 446.5, 447.6, 515, 517.2, 583.81, 695.4, 710.0 to 710.4, 710.9, 714.0 to 714.9
Cytarabine J9100 & J9110
198.4, 200.00 to 202.98, 204.00, 204.01, 204.11, 205.00 to 207.01, 238.71 to 238.79
Cytarabine Liposome Injection J9098
198.4
Dacarbazine J9130 & J9140
157.0 – 157.9, 160.0 to 194.9, 201.00-201.98
Dactinomycin J9120
170.0 to 172.9, 174.0 to 176.9, 181, 182.0, 183.0-183.9, 186.0-186.9, 189.0, 198.5, 204.00, 204.01, 204.11, 236.1
Daunorubicin J9150
160.0 to 194.9, 200.00-200.88, 202.00-202.98, 204.00, 204.01, 204.11, 205.00 to 208.01
Daunorubicin Citrate, Liposomal J9151
174.0 to 175.9, 176.0-176.9, 182.0, 182.9
Decitabine J0894
238.71-238.79
Denileukin Difitox J9160
173.0-173.9, 200.00-200.88, 202.00-202.98
Dexrazoxane Hydrochloride J1190
174.0 to 175.9, 995.20, 995.27, 995.29.
Diethylstillbestrol J9165
174.0 to 175.9, 185
Docetaxel (Taxotere) J9170
140.0 to 151.9, 157.0-157.9, 160.0 to 162.9, 171.0-171.9, 174.0 to 175.9, 179, 183.0-183.9, 185, 188.0-188.9, 195.0
Doxorubicin J9000
140.0 to 199.1, 200.00 to 204.11, 205.00 to 208.01, 236.1, 259.2
Epirubicin Hydrochloride J9178
150.0 to 151.9, 162.2-162.9, 171.0-171.9, 174.0 to 175.9, 183.0-183.9, 200.00 to 202.98
Etoposide J9181, J9182
151.0-151.9, 155.0, 155.2, 160.0-160.9, 162.0-162.9, 164.0-164.9, 170.0 to 171.9, 173.0 to 176.9, 181, 182.0 to -183.9, 184.0, 186.0-186.9, 188.0 to 189.9, 190.5, 191.0-191.9, 194.0 to 195.8, 198.5, 199.0-199.1, 200.00 to 207.01, 236.1
Floxuridine J9200
140.0 to 149.9, 151.0-151.9, 153.0 to 154.8, 155.0, 155.2, 156.0-156.9, 161.0-161.9, 174.0 to 175.9, 180.0-180.9, 183.0-183.9, 185, 188.0 to 189.1, 189.3, 191.0-191.9, 195.0, 204.00-204.11, 205.00 to 208.01
Fludarabine Phosphate J9185
173.0-173.9, 200.00 to 202.98, 204.10, 204.11, 204.90-204.91, 205.00 to 208.01, 273.0-273.3
Fluorouracil J9190
140.0 to 199.1, 259.2
Fulvestrant J9395
174.0 to 175.9
Gallium Nitrate J1457
Primary ICD-9 for the malignancy plus 275.42 as Secondary DX
Gemcitabine J9201
156.0-156.9, 157.0 to 158.9, 162.2-162.9, 164.2, 164.3, 164.8, 164.9, 174.0 to 175.9, 179, 181, 183.0-183.9, 186.0-186.9, 188.0-188.9, 194.4, 200.00 to 202.98
Gemtuzumab Ozogamicin J9300
205.00 to 207.11
Granisetron Hcl. J1626
787.01, 787.03, 995.20, 995.29 Anti-emetic (chemotherapy-induced)
Idarubicin J9211
204.00-204.11, 205.00-208.01, 238.71-238.79
Ifosfamide J9208
140.0 to 149.9, 157.0-157.9, 160.0-161.9, 162.2-162.9, 164.0, 164.2 – 164.3, 164.8 -164.9, 170.0 to 171.9, 174.0 to 175.9, 180.0 to 183.9, 186.0-186.9, 188.0 to 189.0, 194.0-194.9, 195.0, 198.5, 200.00 to 202.98, 204.00 to 207.81
Interferon Alpha-1 J9212, Interferon Alpha-2A J9213, Interferon Alpha-2B J9214, Interferon Alpha-N3 J9215, Interferon Gamma
1-B J9216
042, 070.51, 070.54, 078.11, 140.0 to 149.8, 150.0-150.9, 153.0 to 154.9, 157.0-157.9, 160.0-161.9, 170.0-170.9, 172.0 to 173.9, 176.0-176.9, 180.0-180.9, 183.0-183.9, 188.0 to 189.3, 191.0-191.9, 195.0, 196.9, 198.5, 200.00-200.88, 202.00 to 204.11, 205.00-205.11, 233.7, 238.4, 238.71 – 238.79, 259.2, 287.30-28739, 289.0-289.9, 571.40-571.49, 757.33
Irinotecan Hcl. J9206
150.0-152.9, 153.0 to 154.8, 155.1, 159, 162.0-162.9, 180.0-180.9, 183.0-183.9
Leucovorin Calcium J0640
140.0 to 149.9, 151.0-151.9, 153.0 to 154.8, 160.0-162.9, 170.0-170.9, 174.0 to 175.9, 181, 186.9, 195.0, 198.5, 200.00 to 202.98, 236.1
Leuprolide Acetate Depot J1950
3.75 mg/one month dose or 11.25 mg/ 3 month dose covered for the following: 157.0-157.9, 174.0-175.9, 182.0, 233.4, 617.3, 620.8, 621.2
Mechlorethamine J9230
162.2-162.9, 164.1, 197.2, 197.6, 200.00 to 202.98, 204.10, 204.11, 205.10, 205.11
Melphalan J9245
170.0 to 172.9, 174.0 to 175.9, 182.0 to 183..9, 185, 186.0-186.9, 193, 198.5, 201.00-201.98, 203.00-203.81, 205.10, 205.11, 273.3
Mesna J9209
595.82, 995.20, 995.29
Methotrexate J9250 & J9260
099.3, 140.0 to 151.9, 153.0 to 154.8, 155.0, 155.2, 157.0-157.9, 160.0-162.99, 170.0 to 171.9, 173.0 to 175.9, 180.0-180.9, 181, 183.0-183.9, 185 to 187.4, 187.8, 188.0-188.9, 189.0, 189.1, 191.0-191.9, 192.1, 192.3, 195.0, 198.4, 198.5, 200.00 to 203.81, 204.00, 204.20, 204.80, 205.00 to 207.01, 236.1, 446.4, 446.5, 447.6, 696.0, 696.1, 710.0, 710.3, 710.4, 710.8, 714.0-714.9, 716.00-716.99, 720.0, 725
Mitomycin J9280, J9290, & J9291
140.0 to 151.9, 153.0 to 154.8, 156.0 to 157.9, 160.0-161.9, 162.0-162.9, 174.0 to 175.9, 180.0-180.9, 185, 188.0- 188.9, 189.3, 195.0, 199.1, 200.00 to 202.08, 205.10, 205.11, 233.7
Mitoxantrone J9293
155.0-155.2, 174.0 to 175.9, 183.0-183.9, 185, 188.0-188.9, 200.00 to 204.11, 205.00 to 208.01, 340
Nelabarine J9261
200.10-200.18, 204.00-20401
Octreotide Acetate for Injectable Suspension J2352
140.0 to 199.1, 253.0, 259.2, 787.91
Ondansetron Hcl. J2405
787.01, 787.02, 787.03, 995.20, 995.29 Anti-emetic (chemotherapy-induced)
Oprelvekin J2355
140.0 to 202.98, 287.4, 287.5
Oxaliplatin J9263
151.0-151.9, 153.0-154.8
Paclitaxel J9265
140.0 to 151.9, 158.8-158.9, 160.0 to 162.9, 174.0 to 176.9, 180.0-180.9, 182.0 to 183.9, 185, 186.0-186.9, 188.0-188.9, 189.3, 195.0-195.8, 197.6, 198.81 to 200.88, 202.00-202.98
Paclitaxel Protein Bound J9264
174.0 to 175.9
Palonosetron Hydrochloride J2469
787.01, 787.02, 787.03, 995.20 Anti-emetic (chemotherapy-induced)
Panitumumab Injection J9999
153.0-154.8
Pamidronate Disodium J2430
174.0 to 175.9, 198.5, 203.00, 275.42, 731.0
Pegaspargase J9266
204.00
Pemetrexed J9305
162.0 – 163.9
Pentostatin J9268
173.0-173.9, 200.00-200.08, 202.00-202.98, 204.00-204.11, 204.90-204.91
Plicamycin J9270
186.0-186.9, 275.40-275.49, 731.0-731.8
Porfimer Sodium J9600
150.0-150.9, 162.2-162.9, 530.85
Streptozocin J9320
152.0-154.8, 157.0-157.9, 162.2-162.9, 183.0, 259.2
Teniposide Q2017
160.0-160.9, 194.0, 200.00-200.88, 202.00-202.98, 204.00
Thiotepa J9340
164.1, 174.0 to 175.9,183.0-183.9, 188.0-188.9, 189.3, 197.2, 197.6, 198.4, 200.00 to 202.98, 238.71-238.79, 714.0-714.2
Thyrotropin J3240
193
Topotecan Hcl. J9350
162.2-162.9, 180.0-180.9, 183.0-183.9, 205.10, 205.11, 238.71-238.79
Trastuzumab J9355
174.0 to 175.9, 198.2, 198.81, 233.0
Trimetrexate Glucoronate J3305
153.0 to 154.8
Valrubicin J9357
188.0-188.9, 233.7
Vinblastine Sulfate J9360
140.0 to 149.9, 153.0-153.9, 160.0 to 194.9, 195.0, 200.00 to 202.98, 205.10, 205.11, 236.1, 287.31
Vincristine Sulfate J9370, J9375, & J9380
140.0 to 149.9, 153.0 to 154.8, 155.0, 155.2, 157.0-157.9, 158.0, 160.0 to 194.9, 198.5, 200.00 to 204.11, 205.00 to 208.01, 236.1, 273.3, 287.30-287.31, 287.5
Vinorelbine Tartrate J9390
162.2-162.9, 174.0-175.9, 180.0-180.9, 183.0-183.9, 185
CPT Code 77003
CIGNA Government Services acknowledges that an edit affecting CPT Code 77003 has resulted in denial of associated claims. The error has been identified and a change edit request has been submitted to correct this anomaly. The change should be effective no later than March 31, 2007, at which time you may resubmit your claims for reconsideration.
Downloading Files from Stratus Mailboxes Using Wildcards (*)
During a recent audit of Stratus bulletin board system (BBS) user activity data, it was discovered that many of our users are using wildcards—data with an asterisk (*)—to download their files. Stratus is designed for the usage of wildcards, but the below guidelines should be followed:
- We recommend that download scripts use "*.7" as the wildcard. This will retrieve every file in the current directory that has never been downloaded and will exclude all files previously downloaded. Once files are downloaded, a ".cp" or ".fl" is added to the end of the filename.
- Using "*" or "*.*" as the wildcard should rarely be done and never should be used in a download script. These wildcards download every file in the current directory. Script users who receive the same file repeatedly likely have this type of wildcard in their scripts and should contact their software vendor. (Note that all files remain in the Stratus mailbox for 7 calendar days.)
- Wildcards should not include dates or the actual file name. Wildcards using a date or name entered incorrectly may prevent the user from downloading any files—even if there are files in the mailbox the user wants. NOTE: Future updates to Stratus may cause problems for this type of wildcard.
- We suggest scripts using wildcards allow their users to override them in situations in which files excluded by the script may remain in the mailbox (such as those ending in .cp or .fl).
Stratus users who download using automated scripts should review this information and discuss it with their software vendors or programmers. Download scripts that use wildcards should be updated to follow the above guidelines. Failure to do so may result in those scripts not working properly in the future.
Since CIGNA Government Services does not design or support automated scripts, all questions regarding scripting issues should be directed to the script programmer. However, we can answer questions about the above guidelines through our EDI departments:
NC 866.352.1608
TN/ID 866.520.4022
Epoetin — LCD Revision
Effective April 1, 2007, CIGNA Government Services will remove coverage for ICD—9 285.22, the anemia of neoplastic disease, from the LCDs for Erythropoeitin analogs, Non—ESRD, for Tennessee, North Carolina, and Idaho for patients not on treatment. The policy change is in response to recently released information regarding potential adverse events.
Extension for Acceptance of Form CMS—1500 (12—90)
Provider Types Affected
Physicians, non physician, practitioners, and suppliers who submit claims for their services using the Form CMS—1500 to Medicare contractors (carriers, Part A/B Medicare Administrative Contractors (A/B MACs), durable medical equipment regional carriers (DMERCs), and/or DME Medicare Administrative Contractors (DME/MACs)). Be aware that some of the new Form CMS—1500 (08—05) forms have been printed incorrectly. This article contains details on this issue.
Background
Form CMS—1500 is one of the basic forms prescribed by the Centers for Medicare & Medicaid Services (CMS) for the Medicare program. It is only accepted from physicians and suppliers that are excluded from the mandatory electronic claims submission requirements set forth in the Administrative Simplification Compliance Act, Public Law 107—105 (ASCA), and the implementing regulation at 42 CFR 424.32. The Form CMS—1500 (12—90) was revised in July of 2006 to accommodate the reporting of the National Provider Identifier (NPI).
Recently it came to the attention of CMS that there are incorrectly formatted versions of the revised form being sold by print vendors. After reviewing the situation, CMS determined that the source files received from the authorized forms designer were improperly formatted. This resulted in the sale of printed forms and negatives which do not comply with the form specifications.
Therefore, CMS has decided to extend the acceptance period of the Form CMS—1500 (12—90) version beyond the original April 1, 2007, deadline while this situation is resolved. The specific formatting issue involves top and bottom margins only, but may not be isolated to only top and/or bottom.
Key Points of CR5568
- CR5568 states that the Form CMS—1500 (12— 90) will continue to be accepted until CMS instructs otherwise.
- All Form CMS—1500 (08—05) forms received by
Medicare contractors that are incorrectly
formatted will be returned to the provider or supplier if the Medicare contractor is unable to scan the form with its Optical Character Reader scanning equipment. An incorrectly formatted form is one that is ¼" or more off in the top, bottom, right, and/or left margins. - The best way to identify the incorrect forms is
by looking at the upper right hand corner of the form. If the tip of the red arrow above the
vertically stacked word "CARRIER" is
touching or close to touching the top edge of the form, then the form is not printed to specifications. There should be approximately ¼" between the tip of the arrow and the top edge of the paper on properly formatted forms. - Providers submitting the Form CMS—1500 (12—90) are only required to submit their legacy provider number on that form, since the CMS—1500 (12—90) cannot accommodate the
NPI. It is important to note that this issue involves the paper claim form only, not the
electronic claim format, which can accommodate the NPI. In addition, this situation does not affect the current NPI implementation date of May 23, 2007.
Additional Information
To see the official instruction (CR5568) issued to your Medicare carrier, A/B MAC, DME MAC, or DMERC, go to http://www.cms.hhs.gov/Transmittals/downloads/R1208CP.pdf on the CMS Web site.
To view the original communication from CMS regarding this issue, visit http://www.cms.hhs.gov/ElectronicBillingEDITrans/downloads/1500%20problems.pdf on the CMS site.
If you have questions, please contact your Medicare carrier, A/B MAC, DME MAC, or DMERC at their toll—free number which may be found at: http://www.cms.hhs.gov/MLNProducts/downloads/CallCenterTollNumDirectory.zip on the CMS Web site.
Extracorporeal Photopheresis
Provider Types Affected
All providers who bill Medicare carriers, Fiscal Intermediaries (FI), or Part A/B Medicare Administrative Contractors (A/B MACs) for rendering extracorporeal photopheresis services
Provider Action Needed
STOP – Impact to You
For services provided on or after December 19, 2006, coverage for extracorporeal photopheresis is now expanded to include additional health conditions.
CAUTION – What You Need to Know
Change Request (CR) 5464, from which this article is taken, announces (effective December 19, 2006), the expansion of coverage of extracorporeal photopheresis to include patients with acute cardiac allograft rejection and chronic graft versus host disease whose disease is refractory to standard immunosuppressive drug treatment.
GO – What You Need to Do
Make sure that your billing staffs are aware of this expanded coverage for extracorporeal photopheresis, and bill accordingly.
Background
Extracorporeal photopheresis is a medical procedure in which a patient's white blood cells are exposed first to a drug called 8—methoxypsoralen (8—MOP) and then to an ultraviolet A (UVA) light. The procedure starts with the removal of the patient's blood, which is centrifuged to isolate the white blood cells. The drug is typically administered directly to the white blood cells after they have been removed from the patient (referred to as ex vivo administration), but the drug can alternatively be administered directly to the patient before the white blood cells are drawn. After UVA light exposure, the treated white blood cells are then re—infused into the patient.
Formerly, Medicare covered extracorporeal photopheresis only when used in the palliative treatment of the skin manifestations of cutaneous T—cell lymphoma that has not responded to other therapy. On April 6, 2006, a request for reconsideration of this national coverage determination (NCD) to allow additional indications initiated a national coverage analysis.
CR 5464 announces the NCD resulting from that analysis. It provides that CMS has reviewed the evidence and determined that extracorporeal photopheresis is reasonable and necessary under section 1862(a)(1)(A) of the Social Security Act for patients with acute cardiac allograft rejection whose disease is refractory to standard immunosuppressive drug treatment, and for patients with chronic graft versus host disease whose disease is refractory to standard immunosuppressive drug treatment. Therefore, effective December 19, 2006, coverage has been expanded to include these conditions.
Billing Requirements for Extracorporeal Photopheresis
You should use Healthcare Common Procedure Coding System (HCPCS) procedure code 36522 (Photopheresis, extracorporeal) when submitting your outpatient or physician claims for this service under these expanded coverage guidelines. Effective for dates of service on or after December 19, 2006, Medicare contractors will pay hospital inpatient, including CAH, claims for extracorporeal photopheresis, based on the normal payment methodology for type of bills (TOBs) 11X, 13X or 85X, according to the expanded coverage conditions. Specifically, Medicare will accept claims for extracorporeal photopheresis:
- With HCPCS code 36522 when submitted for the treatment of hospital outpatients and for physician services with ICD—9—CM diagnosis codes: 996.83 or 996.85; and
- With ICD—9—CM procedure code 99.88 when submitted for the treatment of hospital inpatients, including CAHs, with ICD—9—CM DX codes: 996.83 or 996.85. Medicare contractors will not search for claims for services on or after December 19, 2006, but processed prior to the April 2, 2007, implementation date for this change. However, they will adjust such claims if you bring them to their attention.
Note: All other indications for extracorporeal photopheresis remain noncovered. Further, note that contractors will edit for an appropriate oncological and autoimmune disorder diagnosis prior to paying according to the NCD.
Medicare Summary Notices (MSNs), Remittance Advice Remark Codes (RAs) and Claim Adjustment Reason Code
Contractors will continue to use the appropriate existing messages that they have in place when denying claims submitted that do not meet the Medicare coverage criteria for extracorporeal photopheresis.
Contractors will deny claims when the service is not rendered to an inpatient or outpatient of a hospital, including CAHs, using the following codes:
- Claim adjustment reason code: 58 – "Claim/ service denied/reduced because treatment was deemed by payer to have been rendered in an inappropriate or invalid place of service."
- MSN 16.2 — "This service cannot be paid when provided in this location/facility." Spanish translation: "Este servicio no se puede pagar cuando es suministrado en esta sitio/ facilidad." (Include either MSN 36.1 or 36.2 dependant on liablity.)
- RA MA 30 — "Missing/incomplete/invalid type of bill." (FIs and A/MACs only)
• Group Code — CO (Contractual Obligations) or PR (Patient Responsibility) dependant on liability.
Advance Beneficiary Notice and Hospital Issued Notice of Noncoverage Information
- If this service is not reasonable and necessary under 1862(a)(1)(A) of the Act (falls outside the scope of the revised NCD found in Publication 100—03, Chapter 1, Section 110.4), the physicians and/or hospital outpatient departments, including CAHs, will be held
liable for charges unless the physician and/or hospital has the beneficiary sign an Advance Beneficiary Notice (ABN) in advance of providing the service. - If this service is provided to a hospital
inpatient, including CAHs, for a reason
unrelated to the admission (outside of the bundled payment), the hospital billing for the inpatient services will be held liable for charges unless the hospital has the beneficiary sign a Hospital Issued Notice of Noncoverage (HINN) letter 11 in advance of providing the service.
Note: This addition/revision of section 110.4 of the Medicare National Coverage Determinations Manual (100—03) is a national coverage determination (NCD). NCDs are binding on all carriers, fiscal intermediaries, quality improvement organizations, qualified independent contractors, the Medicare Appeals Council, and administrative law judges (ALJs) (see 42 CFR section 405.1060(a)(4) (2005)). An NCD that expands coverage is also binding on a Medicare advantage organization. In addition, an ALJ may not review an NCD. (See section 1869(f)(1)(A)(i) of the Social Security Act.)
Additional Information
You can find the official instruction, CR 5464, issued to your carrier, FI or A/B MAC by visiting:
- http://www.cms.hhs.gov/Transmittals/
downloads/R66NCD.pdf for the updated Medicare National Coverage Determinations Manual (100—03), Chapter 1, Part 2 (Sections 90—160.25) (Coverage Determinations), Section 110.4 (Extracorporeal Photopheresis); and - http://www.cms.hhs.gov/Transmittals/downloads/R1206CP.pdf for the updated Medicare Claims Processing Manual (100.04), Chapter 32 (Billing Requirements for Special Services), Section 190 (Billing Requirements for Extracorporeal Photopheresis).
If you have any questions, please contact your carrier, FI, or A/B MAC at their toll—free number, which may be found at http://www.cms.hhs.gov/MLNProducts/downloads/CallCenterTollNumDirectory.zip on the CMS Web site.
Flu Shot Reminder
It's Not Too Late to Give and Get the Flu Shot! The peak of flu season typically occurs between late December and March; however, flu season can last until May. Protect yourself, your patients, and your family and friends by getting and giving the flu shot. Each office visit presents an opportunity for you to talk with your patients about the importance of getting an annual flu shot and a lifetime pneumococcal vaccination. Remember – Influenza and pneumococcal vaccination and their administration are covered Part B benefits. Note that influenza and pneumococcal vaccines are NOT Part D covered drugs. For more information about Medicare's coverage of adult immunizations and educational resources, go to CMS' Web site:
http://www.cms.hhs.gov/MLNMattersArticles/downloads/SE0667.pdf .
Faxing Documentation to the CERT Contractor
In order to provide documentation that supports the services that are billed and readily offer legible and complete records, providers can assist by reviewing the following problem situations related to imaging records from fax copies that are sent to the Comprehensive Error Rate Testing (CERT) Documentation Contractors:
- Medical records with any color of a grey or dark color will totally obscure or mostly obscure any lettering or numeric figures in the colored area. Examples are lab results that are highlighted, certain templates for documentation highlights, and EKG rhythm strips, reports, pictures, and other graphics that have grey or other colors in them.
- Records that have been produced from microf
