Are you preparing for potential disruptions in your cash flow as a result of ICD-10 implementation? In a 2011 ICD-10 Organizational Impact and Readiness Survey conducted by the HealthLeaders Media Intelligence Unit, 60 percent of survey respondents indicated they expect short-term cash flow to be negatively impacted by ICD-10 implementation. Take advantage of the expected one-year delay in the ICD-10 transition by taking steps now to protect your revenue during the changeover:
- Develop a transition timeline and budget resources accordingly. Keep in mind the impact that ICD-10 will have on concurrent initiatives, such as Meaningful Use or reporting under PQRS.
- Budget for additional cash reserves to help your practice stay afloat in the event that payment delays occur.
- Talk to your practice's major payers about their readiness to process claims coded in ICD-10.
- Talk to all external vendors, such as health IT vendors or medical billing companies, who support your practice's billing and coding functions to be sure they will be ready to provide the support you need during the changeover.
- Improve clinical documentation. The increased level of specificity within the new code set is expected to cause major documentation issues. Conducting clinical documentation improvement initiatives now will position your practice to experience fewer payment delays and denials during the transition.
- Plan your strategy to manage denials before, during and after ICD-10 implementation. Keep in mind that your organization will likely experience a higher rate of denials as physicians and staff members adjust to the new documentation and coding requirements.
For more information on getting started with ICD-10, access a free recorded webinar on the ICD-10 changeover.