The rules aim to be a boon to both patients and providers, helping them figure out the extent of insurance coverage before care is provided. But despite long-past compliance deadlines for these rules, not all payers are doing what they're supposed to do, and that's where a consultant and the CMS came into the picture.
Stanley Nachimson, a Baltimore-area adviser specializing in health IT issues, said he was representing a provider client who wants to remain anonymous. The client wasn't receiving all the information from a particular health insurer Nachimson declined to identify that was necessary under the new standards and operating rules.
One set of rules not being met come under a federal mandate to use the ASC X12 Version 5010 standards for electronic claims transmissions. HHS required an upgrade from the older Version 4010 standards under authority granted it in the “administrative simplifications” provisions of the Health Insurance Portability and Accountability Act of 1996. The compliance deadline for the 5010 rule was Jan. 1, 2012, but to accommodate many stragglers the feds twice postponed its enforcement date until July 1, 2012.
Another set of rules not being met are the so-called “operating rules” that flow out of the Patient Protection and Affordable Care Act. The compliance deadline for claims status and eligibility transactions of these rules was Jan. 1, 2013.
By not complying with the rules, this particular health insurer, which provides health insurance coverage in about half of U.S. states, was causing providers “a significant disadvantage in not knowing the full extent of a patient's insurance coverage,” according to Nachimson.
“Anybody who wants to know the service-by-service coverage of a patient's insurance at the time of service or the days before” could benefit from the electronic transaction capabilities covered by the new rules, Nachimson said. On real-time queries, the response time is supposed to be 20 seconds. On eligibility enquiries submitted in batches, overnight responses are deemed compliant.
Nachimson said the fast turnarounds enable providers to tell patients in advance, “You haven't met your deductible yet this year, or your coverage is 80/20, the bill is $100, you owe us $20. What it used to be under 4010, you only got the answer, yes they're covered, or no, they're not covered. There is a lot benefit in these (new) standards if the plans use them.”