How will Medicare Physician Payment Policies affect medical billing in 2023?

John Smith
5 min readFeb 3, 2023

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The Medicare Physician Fee Schedule (PFS) last rule launched yearly by way of the Centers for Medicare and Medicaid (CMS) updates the requirements for physician compensation and policies associated to health care services.

While these updates address Medicare scientific billing requirements, they also serve as requirements for price quotes and coverage insurance policies of Medicaid packages and personal insurers. The 2023 Medicare Physician Fee Schedule (MPFS) and Quality Payment Program last rule that was released November 1, 2022, grew to be nice January 1, 2023. Discussed below are the Medicare payment insurance policies that will affect practitioners and scientific billing agencies in 2023:

Evaluation and Management

Evaluation and Management (E/M) Visits

Medical Billing Company there are enormous changes in coding, documentation and fee for evaluation and administration (“E/M”) visits:

Elimination of the use of history and bodily examination to decide the code level. Instead, code selection relies upon on a medically fabulous history and physical exam.

New descriptor times

Revised interpretive recommendations for stages of clinical decision-making

Choice between scientific decision making or time to select code levels

Medicare-specific coding for price of “Other E/M” extended offerings pronounced with three new G-codes: G0316, G0317, and G0318. for hospitals, nursing facilities, and home visits. These G-codes replace CPT codes 99356 (Prolonged carrier in the inpatient or remark setting), and 99357 (Prolonged service in the inpatient or statement setting).

Physicians can invoice for the services if they perform a noticeable portion of the encounter. In 2023, choice of the billing practitioner will be primarily based on either (a) who furnished the history, physical exam, or scientific decision-making (MDM); or (b) who spent extra than 1/2 of the whole time on the service. CMS has prolonged this phase-in method of defining “substantive portion” as more than half the time of the go to to CY 2024.

An article from the American Academy of Family Physicians lists other CPT adjustments that have an impact on how office/outpatient E/M services are pronounced in 2023:

Hospital inpatient and remark codes have been added underneath a single family of codes: 99221–99223 and 99231–99233;

The lowest stage emergency branch code (99281) has been redefined to describe visits that might also now not require the presence of a health practitioner or other certified health care professional;

The nursing domestic annual exam has been deleted and this service will now be coded as a subsequent nursing home visit (99307–99310)

The “Domiciliary, Rest Home (e.g., Boarding Home), or Custodial Care Services” and “Home Services” E/M visit families have merged into a single code household titled “Home or Residence Services.”

Telehealth Visits

Certain offerings introduced for the duration of COVID-19 to the Medicare telehealth protected offerings list, which include phone visits, will continue to be on the listing for 151 days after the expiration of the public fitness emergency (PHE). The following insurance policies will also stay in location at some point of the PHE for 151 days after the PHE ends:

Allowing telehealth offerings to be furnished in any geographic area and in any originating web site placing (including the beneficiary’s home)

Allowing sure offerings to be supplied by using audio-only telecommunications systems

Allowing physical therapists, occupational therapists, speech-language pathologists, and audiologists to provide telehealth services

Behavioral Health and Substance Abuse

In the 2023 MPFS ultimate rule, CMS said it “is strengthening get admission to to indispensable behavioral fitness services”. An exception has been delivered to the direct supervision requirement that permits behavioral health services or substances furnished with the aid of auxiliary personnel (licensed professional counselors and licensed marriage and household therapists) to be supplied on an incident-to foundation beneath the prevalent supervision of a physician or non-physician practitioner (“NPP”). This consists of offerings furnished specifically for the prognosis and remedy of a mental fitness or substance use disorder.

Payment will be furnished for opioid therapy programs (OTPs) that use telehealth with patients to initiate remedy with buprenorphine. OTPs can also invoice for opioid use disease therapy offerings provided thru cell units, so lengthy as offerings are performed in accordance with SAMHSA and DEA guidance.

Chronic Pain Management (CPM) Services

CMS has added separate coding and fee for chronic ache administration (CPM) offerings separate coding and fee for continual pain management services: There are new HCPCS codes to record chronic ache administration and cure that encompass holistic persistent pain care services, including evaluation and monitoring; administration of a validated pain ranking scale or tool; and development, implementation, revision, and/or renovation of a person-centered care plan that includes strengths, goals, medical needs, desired outcomes, and ordinary cure management.

CPM bundled price takes into account the time and sources concerned in furnishing complete CPM services. HCPCS Level II codes G3002 and G3003 for CPM consist of diagnosis; evaluation and monitoring; administration of a validated pain rating scale or tool. Billing for these codes ought to be steady with the provider as distinctive in the code descriptors. For HCPCS Code G3002, the initial go to must be in man or woman the place each persons are in a clinical setting such as a main care practitioner’s office or some other applicable setting.

CPM offerings can be billed via a physician, nurse practitioner, doctor assistant, or eligible certified health care professional. There are no described necessities for an installed history or analysis of chronic pain, however the patient have to be experiencing power or recurrent pain lasting longer than 3 months.

Audiology Services

The final rule also lets in direct get right of entry to to an audiologist except an order from a medical doctor or QHP for non-acute hearing prerequisites unrelated to disequilibrium, listening to aids, or examinations for the reason of prescribing, fitting, or changing hearing aids. There are new CPT codes for 2023:

98978 Remote therapeutic monitoring (eg, remedy adherence, therapy response); device(s) provide with scheduled (eg, daily) recording(s) and/or programmed alert(s) transmission to monitor cognitive behavioral therapy, each 30 days

Category III CPT codes related to vestibular implant programming and reprogramming

0728T Diagnostic analysis of vestibular implant, unilateral; with preliminary programming

0729T with subsequent programming

There are also new CPT codes for cochlear implant programming and reprogramming in 2023.

Medicare Payment Updates

The 2023 MIPS performance threshold will continue to be at seventy five points, with eligible clinicians receiving payment increases or discount rates of up to 9% on their Medicare Part B claims. There is no fantastic overall performance threshold in 2023.

The conversion element has long past down in 2023 when compared to 2022. The conversion rate, which was $34.61 in 2022, is $33.06 in 2023.

The PFS also consists of dental coverage when opted for before organ transplants and different essential services.

For cardiologists, CMS estimated that the rule will minimize repayments via 1% in contrast with 2022.

Outsource Medical Billing to Handle the Changes

Medical billing outsourcing services With the huge influences the Medicare PFS will have now not medical billing and coding, vendors want to be nicely organized to cope with these updates. Partnering with a expert clinical billing and coding enterprise is the fantastic way for practices to replace the new fee agenda in their structures and invoice successfully for their services and hold their backside line intact.

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