Ophthalmology and Optometry Coding Alert

News Brief:

Good News and Bad News in Medicare Fee Schedule

The Medicare Fee Schedule for 2002, with its reduced conversion factor, will lower payments to all physicians, including ophthalmologists, but an increase in some practice expense relative value units (RVUs) will benefit ophthalmologists.
 
First, the bad news: the conversion factor is to be decreased to $36.20 from $38.26, which will result in lower fees for all codes and all specialties. According to physician groups, including the American Academy of Ophthalmology (AAO), the reduction is based on erroneous data and a poorly designed formula. The AAO is lobbying Congress to fix the problem.
 
"The update is based on poor policy," says William Rich, MD, secretary for federal affairs for the AAO. "Physicians are being needlessly penalized, after enduring cuts for 10 years."
Increases for 66170, 66761 and 67218
But there is good news, too. Practice expense RVUs will raise payments to ophthalmology practices by 5 percent overall. This includes increased payments for glaucoma surgery (66170, fistulization of sclera for glaucoma; trabeculectomy ab externo in absence of previous surgery), revision of iris (66761, iridotomy/iridectomy by laser surgery [e.g., for glaucoma] [one or more sessions]) and treatment of retinal lesions (67218, destruction of localized lesion of retina [e.g., macular edema, tumors], one or more sessions; radiation by implantation of source [includes removal of source]).
 
"This may be good news, but keep in mind that reimbursement averages are based on new RVUs multiplied by the 2001 conversion factor," says Ramona Cosme, president of Ramco Medical Billing, an ophthalmology coding and billing consultancy based in Edison, N.J. "Hopefully, they'll stick with the 2001 conversion factor until they can come up with a new formula." Physician groups are asking CMS to keep the 2001 conversion factor until a better formula is worked out.
Global for 65855 to 10 Days
Other good news: the global period for 65855 (trabeculoplasty by laser surgery, one or more sessions [defined treatment series]) has been decreased from 90 days to 10 days effective January 1, 2002. This means that you can bill for follow-up care provided more than 10 days after surgery, instead of waiting three months. It also means that if a repeat treatment or session is required it can be billed 11 days after the initial surgery. 
 
Local carriers may respond to the change with their own revised frequency guidelines, however. "Everything is based on medical necessity," Cosme says.
 
Typically, ophthalmologists don't repeat the laser trabeculoplasty. But if the desired result is not obtained, the procedure may have to be performed again. Although rare, the second treatment would be paid for if performed outside of the postoperative period. "One or more sessions" usually applies to the postoperative period of a procedure.
 
For example, the ophthalmologist performs the initial procedure [...]
You’ve reached your limit of free articles. Already a subscriber? Log in.
Not a subscriber? Subscribe today to continue reading this article. Plus, you’ll get:
  • Simple explanations of current healthcare regulations and payer programs
  • Real-world reporting scenarios solved by our expert coders
  • Industry news, such as MAC and RAC activities, the OIG Work Plan, and CERT reports
  • Instant access to every article ever published in your eNewsletter
  • 6 annual AAPC-approved CEUs*
  • The latest updates for CPT®, ICD-10-CM, HCPCS Level II, NCCI edits, modifiers, compliance, technology, practice management, and more
*CEUs available with select eNewsletters.

Other Articles in this issue of

Ophthalmology and Optometry Coding Alert

View All