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September 2010

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The $44,000 question: industry insider responses (Mark Firmin)

This is in reference to Melissa Heyboer’s article, “The $44,000 question,” which appeared in Issue 13, 2010. The following is Mark Firmin’s responses in their entirety.

Question 1: How will this affect the chiropractic office? i.e., do you think this program is beneficial?

A: Computers have brought dramatic increases in the ability to deliver medical services and HiTech is an extension of that. The ability to communicate with practitioners and resources in other offices means faster, more accurate exchange of information, which should result in better patient care and more successful practices.

The introduction of electronic records will bring efficiencies and cost saving opportunities that have been in place in general business environments for years. Elimination of paperwork and the processes used to generate it should dramatically enhance productivity in the front office as well as give doctors faster, easier access to vital clinical patient information, both internally and externally generated.

I think it is safe to say that whether they are involved with Medicare patients or not, clinics that do not move to electronic records ultimately will disappear, simply because they will no longer be keeping pace with their profession. 

 

Question 2: What do chiropractor’s need to take advantage of this incentive? How much will it cost, as far as time and money, to implement?

A: Chiropractors must use a certified Electronic Health Records (EHR) solution, manage Medicare payments, and complete an application for the incentive with CMS.

An Electronic Health Records (EHR) solution must be certified by a testing agency that has itself been accredited by the government.  We understand that two such entities are in the review process at this time. We expect these testing agencies to begin testing and certifying EHR solutions in the late summer/early fall.  ACOM Health guarantees it’s RAPID software will be certified.

Time to implement will vary between four and twelve weeks depending on the individual practice.   A Chiropractor should plan time for product evaluation and selection, configuration and implementation and training to arrive at a comfort level. The dollar amount of the purchase will vary with the product itself, but most vendors offer an extended payment plan. In the ACOM Health program, for example, there is no interest charge; every doctor qualifies and we stretch the payments out over 48 months. Depending on a Doctor’s annual Medicare collections, , the incentives can cover the full cost of the solution. 

 

Question 3: Will all chiropractic offices qualify? Can cash-based practices benefit?

A: No, cash practices do not qualify. .  The incentive payments are only paid on Medicare claims.   

For example the maximum incentive amount in 2010 is the lesser of $18,000 or 75% of the annual Medicare payments. Maximum amounts will diminish in subsequent years to a maximum total payout of $44,000. 

 

Question 4: When can chiropractors expect to receive payments?

A: Reimbursements will begin in 2011, based on Medicare collections in 2011.  As soon a Doctor has received $24,000 in Medicare collections, but no less than 90 days, the Doctor may apply for the maximum  incentive payment of $18,000.  If the doctor does not reach $24,000 in Medicare collections over the course of the calendar year, he/she must wait until the end of the year to apply for the HiTech incentive and will be paid 75 percent of the amount actually collected.

It would be reasonable to expect reimbursement within 60 days of submittal, but that has not yet been established. 

 

Question 5: What questions should chiropractors ask their providers (insurance and software) to ensure they are being compliant?

A: Nothing need be asked of insurers, since the reimbursements only apply to Medicare payments. Regarding the software vendors, the key question is whether or not they are certified by one of the test agencies under the HiTech program. If not, and without a guarantee to do so, the doctor has to keep looking. If so, the doctor simply must obtain the software vendor’s “Certification Identification Number” and include it on his/her request for payment. 

Question 6: What new products or services do you think will come out of this incentive?

A: Fall-out will be apparent in a number of ways. There will an increasing movement towards standardization, because data will need to be collected and transferred and it will need to be readable on both ends of the exchange. 

The criteria for certification will be expanded as the concerned parties become more familiar with the program, its implications and its application. Software vendors must and will respond to the changes as necessary with product enhancements.

More services will become available, particularly in helping doctors navigate the qualification and reimbursement processes. ACOM Health, for example, intends to provide assistance to our users in working with the process. 

 

 

 

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