Medicare Consolidated Billing Overview

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Understand the concept of consolidated billing in Medicare, mandated by the Balanced Budget Act of 1997. This billing system requires bundled services provided to beneficiaries in skilled nursing facilities to be billed to the Part A Medicare Administrative Contractor in a consolidated manner. Learn about covered services under Part A and Part B, billing requirements, separately payable services, and exclusions. Explore how this system ensures comprehensive quality healthcare across Arizona.

  • Medicare
  • Consolidated Billing
  • Skilled Nursing Facility
  • Balanced Budget Act
  • Healthcare

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  1. Consolidated Billing

  2. Overview In the Balanced Budget Act of 1997, Congress mandated that payment for the majority of services provided to beneficiaries in a Medicare covered SNF stay be included in a bundled prospective payment made through the Part A Medicare Administrative Contractor (MAC) to the SNF Reaching across Arizona to provide comprehensive quality health care for those in need 2

  3. Consolidated Billing of Bundled Services These bundled services are required to be billed by the SNF to the Part A MAC in a consolidated bill. No longer would entities that provided these services to beneficiaries in a SNF stay be able to bill separately for those services Reaching across Arizona to provide comprehensive quality health care for those in need 3

  4. Covered Services - Part A & Part B Part A covered SNF stay includes medical services as well as room and board Part B non-covered stay still covers certain medical services when Part A benefits have been exhausted, though room and board is not covered Reaching across Arizona to provide comprehensive quality health care for those in need 4

  5. Billing Services - Covered Part A Consolidated billing requires the SNF to bill the entire package of care that residents receive during a covered Part A SNF stay and physical, occupational, and speech therapy services received during a non- covered stay. There are a limited number of services that are specifically excluded from consolidated billing, which makes them separately payable. Reaching across Arizona to provide comprehensive quality health care for those in need 5

  6. Separately Payable Services Covered Part A stay, separately payable services include: Physician's professional services; Certain dialysis-related services, such as ambulance transportation to dialysis and Erythropoietin for dialysis; Certain ambulance services, including ambulance services to the SNF initially, from the SNF at discharge (other than in situations involving transfer to another SNF), and roundtrip ambulance services furnished during the stay that transport the beneficiary offsite temporarily in order to receive dialysis, or to receive certain types of intensive or emergency outpatient hospital services; Certain chemotherapy drugs and certain chemotherapy administration services; Radioisotope services; and Customized prosthetic devices. Reaching across Arizona to provide comprehensive quality health care for those in need 6

  7. Non Covered Stay Consolidated Billing For Medicare beneficiaries in a non-covered stay, only therapy services are subject to consolidated billing. All other covered SNF services for these beneficiaries can be separately billed to and paid by the Medicare contractor. Reaching across Arizona to provide comprehensive quality health care for those in need 7

  8. Provider Questions About Consolidated Billing Physicians, non-physician practitioners, and suppliers should contact their Part B MAC or Durable Medical Equipment (DME) Institutional providers should contact their Part A MAC with questions about SNF consolidated billing. Reaching across Arizona to provide comprehensive quality health care for those in need 8

  9. AHCCCS Authorization Requests AHCCCS is the secondary payer for Medicare covered services when an AHCCCS member also has the portion of Medicare that covers the requested service type. When AHCCCS is not the primary payer providers must exhaust all attempts to obtain reimbursement from Medicare for Medicare covered services -before requesting authorization from AHCCCS When a provider submits a request for authorization of services when the member has Medicare it should be determined whether: The service is a Medicare covered service Is the DME provider the correct Competitive Bidding Provider for the member s geographical service area (for DME requests) The provider has submitted a request to Medicare for the service Why the Medicare covered service was denied by Medicare . Reaching across Arizona to provide comprehensive quality health care for those in need 9

  10. AHCCCS Authorization Requests The authorization request will be returned to the provider when the request does not contain enough information to determine that Medicare should not be the primary payer for the requested service. Reaching across Arizona to provide comprehensive quality health care for those in need 10

  11. Consolidated Billing Resources CMS Website For General Billing Information: https://www.cms.gov/Medicare/Billing/SNFConsolidatedBilling/In dex.html Link to CMS Competitive Bidding Information: https://www.cms.gov/Medicare/Medicare-Fee-for-Service- Payment/DMEPOSCompetitiveBid/index.html?redirect=/DMEPOS competitivebid/ Link to Competitive Bidding Contractor Listing: https://www.medicare.gov/supplierdirectory/search.html Link to Medicare Administrative Contractor Listing: https://www.cms.gov/Medicare/Medicare-Contracting/Medicare- Administrative-Contractors/Who-are-the-MACs.html Reaching across Arizona to provide comprehensive quality health care for those in need 11

  12. Questions? Reaching across Arizona to provide comprehensive quality health care for those in need 12

  13. Thank You. Reaching across Arizona to provide comprehensive quality health care for those in need 13

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