preparing for and responding to an audit

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CONSULTANTS TO THE HEALTHCARE INDUSTRY Part of the Fox Informational Series 99 “C” Street Suite 207 Upland, CA 91786 Phone: 909-931-7600 Fax: 909-931-7655 Website:www.foxgrp.com Copyright 2010 February 13, 2010 PREPARING FOR AND RESPONDING TO AN AUDIT AND APPEALING UNFAVORABLE RESULTS With all the agencies out there whose purpose it is to review, audit, evaluate, assess and, if called for, prosecute providers who are not in "compliance", the likelihood having one of them scrutinize your work has never been higher. So, with all the added activity by these agencies, how prepared are you to know how to handle an audit notice from one of them? Consider the following … Importance of Compliance Programs 9 Develop policies and procedures for responding to audit request 9 Conduct frequent education and training on coding and billing practices 9 Perform regular internal and/or external audits 9 Conduct own data mining 9 Correct problems identified in audits CMS Suggestions for Preparation To prepare for the start of the (audit) programs (i.e. RAC), health care providers should consider conducting an internal/external assessment to ensure that submitted claims meet the Medicare rules.” Responding to Audits 9 Provide complete documentation 9 Don’t rush the process, BUT meet deadlines 9 Don’t sign statements certifying completeness of records until confirming that all documents have been provided 9 Retain or request a copy of all documents provided to contractor

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Page 1: Preparing For and Responding to an Audit

CONSULTANTS TO THE HEALTHCARE INDUSTRY

Part of the Fox Informational Series

99 “C” Street • Suite 207 • Upland, CA 91786 • Phone: 909-931-7600 • Fax: 909-931-7655 • Website:www.foxgrp.com

Copyright 2010

February 13, 2010

PREPARING FOR AND RESPONDING TO AN AUDIT AND APPEALING UNFAVORABLE RESULTS 

  

With all the agencies out there whose purpose it is to review, audit, evaluate, assess and, if called for, prosecute providers who are not in "compliance", the likelihood having one of them scrutinize your work has never been higher.  So, with all the added activity by these agencies, how prepared are you to know how to handle an audit notice from one of them?  Consider the following …    Importance of Compliance Programs  

Develop policies and procedures for responding to audit request  Conduct frequent education and training on coding and billing practices  Perform regular internal and/or external audits  Conduct own data mining  Correct problems identified in audits 

   CMS Suggestions for Preparation  “To prepare for the start of the (audit) programs (i.e. RAC), health care providers should consider conducting an internal/external assessment to ensure that submitted claims meet the Medicare rules.”    Responding to Audits 

Provide complete documentation  Don’t rush the process, BUT meet deadlines  Don’t sign statements certifying completeness of records until confirming that all documents have been provided 

Retain or request a copy of all documents provided to contractor     

Page 2: Preparing For and Responding to an Audit

Medicare Five‐Level Appeal Process  

Redetermination from the Intermediary/Carrier  Reconsideration from a Qualified Independent Contractor  Appeal to an administrative law judge  Appeal to the Medicare Department Appeals Board  Appeal to a federal district court 

   Tips for Appeals  

Be prepared to appeal  Know the appeal timelines and requirements for each appeal level  Understand reasons for denial at each level of appeal  Be aware of recoupment timing  Establish multi‐disciplinary appeals team (billing, compliance, medical staff, case management, utilization review, legal) 

Review EVERY claim for possible appeal o Procedural – Did (auditors) follow rules? o Substantive – Was claim medically necessary? 

Obtain outside reviews (medical, coding, statistical) as appropriate  Develop standard templates for specific denials 

   The Fox Group has over two decades of experience helping providers who are experiencing an increase in audits to fully and efficiently comply with the audit requirements, and to establish internal systems that will minimize future exposure.  Our team of professionals can help keep your compliance efforts on track with a risk based coding audit and training program that will not only help keep you off the “audit radar”, but will have welcome byproducts such as well supported billing and a consequential speedier collection of billed charges.   The Fox Group, providing excellence to the healthcare community since 1989. 

The  Fox Group  is  a  healthcare  consulting  firm serving  physicians,  hospitals  and  other  diverse healthcare  providers  throughout  the  U.S.  and abroad  to  achieve  their  strategic,  operational, and  financial  goals.    Our  team  of  consultants includes healthcare executives with substantial, real‐world experience and academic credentials in various healthcare systems and services.

Contact us at … 909 . 931 . 7600 [email protected]  Come visit us on … the web YouTube facebook 

Copyright 2010

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