The ICD10 conversion has been making headlines for months, and healthcare organizations have been doing everything possible to prepare for the changeover from ICD9. For some, this means including hold harmless clauses in contracts between healthcare companies and their vendors.
February 22, 2013 – For some healthcare systems, the conversion from ICD9 to ICD10 may seem like the latest Y2K problem – fail to get it right and the consequences could be fatal. So many organizations are being cautious by developing hold harmless clauses to protect against any consequences of errors with the new conversion.
Victoria Vance, an attorney with Tucker Ellis LLP in Cleveland, said she knows of several healthcare organizations and vendor companies that are developing hold harmless clauses in their contracts, and are in fact mutually indemnifying each other.
Why? While each side is willing to take responsibility for their end of things, ICD10 is unchartered territory, and Vance said, healthcare systems worry whether their vendor partners will be there for the long haul. The longevity track record of many vendors in the healthcare space has not always been reassuring, she noted.
While hold harmless clauses are fairly commonplace in contracts of all types, organizations need to remember to be very exact in the language of these conversion contracts and clauses.
Source: Healthcare Finance News