READY. SET. CODE! Gearing Up for ICD-10. Questions

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READY. SET. CODE! Gearing Up for ICD-10 Hosted by: The Valley Hospital November 9, 2011 Questions What is ICD-10? How do I get ready? How is the same as ICD-9? How is it different? 1

Program Objectives Overview of ICD-10 Key Concepts Timeline Introduction of Structure and Convention Differences and similarities ICD-10 vs. ICD-9 ICD-10 Implementation On October 1, 2013, the Centers for Medicare & Medicaid Services will implement the ICD-10- CM (diagnoses) and ICD-10-PCS (inpatient procedures), replacing the ICD-9-CM diagnosis and procedure code sets ICD-10-CM diagnoses codes will be used by all providers in every health care setting ICD-10-PCS procedure codes will be used only for hospital claims for inpatient hospital procedures THE DATE WILL NOT CHANGE 2

Important Dates ICD-9-CM codes will not be accepted for services provided d on or after October 1, 2013 ICD-10 codes will not be accepted for services prior to October 1, 2013 YOU WILL NOT GET PAID Billing Transactions 4010 Electronic Transaction Standard to 5010 Electronic Transaction Standard January 1, 2012 3

5010 Clarity and consistency in front matter Clarity in situational elements to minimize need for companion guides Changes in some segments and data elements to better represent business processes Example change in use of subscriber loop in claims Enables use of ICD-10 Claims Enables use of POA indicator Separates diagnosis code reporting Clarifies use of NPI Required minutes for anesthesia as opposed to units or minutes Provides greater consistency between dental and professional claims Who Only ICD-10-CM (not ICD-10-PCS) will affect physicians. ICD-10-PCS will only be implemented for facility inpatient reporting of procedures and affects only Hospitals CPT will still be used for outpatient claims Diagnosis codes will use ICD-10-CM Procedure codes will use CPT (physicians) 4

ICD-10-CM/PCS Final Regulation Physician Behavioral Health Hospital inpatient All Other outpatient Laboratory Long Term Healthcare 9 Outpatient Claims Diagnosis codes will use ICD-10-CM Diagnosis codes will still justify the procedure performed. Procedure codes will have CPT/HCPCS codes assigned 5

Differences The differences between the ICD-10 code sets and the ICD-9 code sets are primarily in the overall number of codes, their organization and structure, code composition, and level of detail. There are approximately 70,000 ICD-10-CM codes compared to approximately 14,000 ICD-9- CM diagnosis i codes, and approximately 70,000 ICD-10-PCS codes compared to approximately 4,000 ICD-9-CM procedure codes. Differences ICD-10 codes are longer and use more alpha characters which enable them to provide greater clinical detail and specificity in describing diagnoses and procedures also, terminology and disease classification have been updated to be consistent with current clinical practice Finally, system changes are also required to accommodate the ICD-10 codes Computer systems/billing systems 6

Major Differences Between ICD-9-CM and ICD-10-CM Minimum number of digits/characters ICD-9-CM ICD-10-CM 3 3 Maximum number of 5 7 digits/characters Number of chapters 17 21 Supplemental Classification V and E codes Incorporated into classification Laterality (right vs. left) No Yes Alphanumeric vs. Numeric Numeric except for Alphanumeric, with V and E codes all codes starting ti with an alpha character and some codes with alpha 7 th charter extension Excludes Notes Yes Exclude 1 Exclude 2 Dummy Placeholders No x 13 Key Features There will be 21 Chapters The V and E codes are now in the main classifications Extensions have been added that show type of encounter-initial, subsequent, and sequela Basic guidelines, punctuation and how to look up codes are similar 7

What are Benefits Of the ICD-10 Coding System? The new, up-to-date classification system will provide much better data needed to: Measure the quality, safety, and efficacy of care Reduce the need for attachments to explain the patient s condition Design payment systems and process claims for reimbursement Conduct research, epidemiological studies, and clinical trials Set health policy Support operational and strategic planning Design health care delivery systems Monitor resource utilization Improve clinical, financial, and administrative performance Prevent and detect health care fraud and abuse Track public health and risks HOW The ICD-10-CM (diagnoses) codes are to be used by all providers in all health care settings. Each ICD-10-CM code is 3 to 7 characters The first being an alpha character (all letters except U are used) The second character is numeric, Characters 3-7 are either alpha or numeric, with a decimal after the third character. Alpha characters are not case sensitive Codes are longer. Still in Categories 8

Characteristics of ICD-10-CM ICD-10-CM far exceeds its predecessors in the number of concepts and codes provided. The disease classification has been expanded to include health-related conditions And to provide greater specificity at the sixth digit level and with a seventh digit extension The sixth and seventh characters are not optional; they are intended for use in recording the information documented in the clinical record. ICD-9-CM CM Structure Format Numeric or Alpha (E or V) Numeric V4 X 5E X1 X4. X0 X0 Category Etiology, anatomic site, manifestation 18 3 5 Characters 9

ICD-10-CM Structure Format Alpha (Except U) 2-7 Numeric or Alpha Additional Characters XAMS X3 X2. X 0 X 1 X 0 XA Category Etiology, anatomic site, severity Added code extensions (7 th character) for obstetrics, injuries, and external causes of injury 19 3 7 Characters Compare the look ICD-9-CM 401.9 hypertension 585.3 CKD stage 3 513.0 Abscess lung ICD-10-CM I10 hypertension N183 CKD stage 3 J852 Abscess of lung without pneumonia 10

Examples of ICD-10-CM codes A78 Q Fever A69.21 Meningitis due to Lyme disease O9A.311 Physical abuse complicating pregnancy, first trimester S52.131A Displaced fracture of neck of right radius, initial encounter for closed fracture Z51.11 Admission for chemotherapy Demands Documentation of diagnoses and procedures Codes must be supported by medical documentation ICD-10-CM codes are more specific Revenue Impacts of specificity Denials Additional Documentation ti Physician documentation must support medical necessity 11

FEATURES ICD-10-CM The Alphabetic Index and Tabular List The ICD-10-CM is divided into the Index, an alphabetical list of terms and their corresponding code And the Tabular List, a chronological list of codes divided into chapters based on body system or condition The Index is divided into two parts: The Index to Diseases and Injury The Index to External Causes of Injury Within the Index of Diseases and Injury there is a Neoplasm Table and a Table of Drugs and Chemicals. 12

Locating a Code in ICD-10-CM To select a code in the classification that corresponds to a diagnosis or reason for visit documented in a medical record first locate the term in the Index, and then verify the code in the Tabular List. read and be guided by instructional notations that appear in both the Index and the Tabular List It is essential to use both the Index and Tabular List when locating and assigning a code Dash A dash (-) at the end of an Index entry indicates that t additional characters are required Even if a dash is not included at the Index entry, it is necessary to refer to the Tabular list to verify that no 7th character is required 13

Specificity Code will need more specific information I21.02 STEMI involving left anterior descending artery I22.0 Subsequent STEMI of anterior wall I23 Hemopericardium as current complication following MI Laterality Certain codes will need documentation of which h side is affected: left, right, bilateral l C50.511: Malignant neoplasm of lowerouter quadrant of right female breast H16.013: Central corneal ulcer, bilateral L89.022: Pressure ulcer of left elbow, stage II S60.361: Insect bite of right thumb 14

Combination Codes Combination codes for certain conditions and common associated symptoms and manifestations For example: K57.21 Diverticulitis of large intestine with perforation and abscess with bleeding E11.341 Type 2 diabetes mellitus with severe nonproliferative diabetic retinopathy with macular edema I25.110 Atherosclerotic heart disease of native coronary artery with unstable angina pectoris J85.1-Abscess of lung with pneumonia K50.012 Breakdown K50.0 = Crohn s of small intestine KXX.X1 = with complications KXX.X12 = intestinal obstruction 15

Poisoning Combination codes for poisonings and their associated external cause For example: T42.3x2S Poisoning by barbiturates, intentional self-harm, sequela Pregnancy Episode of care is documented and needed d for ICD-9 Trimester in which complication first occurred is documented and needed for ICD-10 Outcome of delivery is still needed in both systems 16

Trimester Obstetric codes identify trimester instead of episode of care For example: O26.02 Excessive weight gain in pregnancy, second trimester Trimester 1 st Trimester less than 14 weeks 0 days 2 nd Trimester 14 weeks to less than 28 weeks 0 days 3 rd Trimester 0 days to delivery 17

Trimester Assignment of the final character for trimester t should be based on the trimester t for the current admission/encounter This applies to the assignment of trimester for pre-existing conditions as well as those that develop during or are due to the pregnancy Character x Character x is used as a 5th character placeholder in certain 6 character codes to allow for future expansion and to fill in other empty characters (e.g., character 5 and/or 6) when a code that is less than 6 characters in length requires a 7th character For example: T46.1x5A : Adverse effect of calcium-channel blockers, initial iti encounter T15.02xD : Foreign body in cornea, left eye, subsequent encounter 18

Placeholder Placeholders have been integrated into the code for future expansion. The X is used as a fifth-character placeholder in certain six-character codes to allow for future expansion Placeholder 7th characters and placeholder X For codes less than 6 characters that require a 7th character a placeholder X should be assigned for all characters less than 6 The 7th character must always be the 7th character of a code 19

Excludes1 A Type 1 Excludes note is a pure excludes. It means "NOT CODED HERE!" An Excludes1 note indicates that the code excluded should never be used at the same time as the code above the Excludes1 note An Excludes1 is for used when two conditions cannot occur together, such as a congenital form versus an acquired form of the same condition Excludes 1 The two conditions cannot occur together For example B06 Rubella: [German measles] has an Excludes1 of congenital rubella: P35.0 20

Excludes2 A Type 2 excludes note represents "Not included here". An excludes2 note indicates that the condition excluded is not part of the condition it is excluded from but a patient may have both conditions at the same time When an Excludes2 note appears under a code it is acceptable to use both the code and the excluded code together Two Types of Excludes Notes Excludes 1 Indicates that the code excluded should never be used with the code where the note is located (do not report both codes). For example: Q03 Congenital hydrocephalus (Excludes1: Acquired hydrocephalus (G91.-) Excludes 2 Indicates that the condition excluded is not part of the condition represented by the code but a patient may have both conditions at the same time, in which case both codes may be assigned together (both codes can be reported to capture both conditions). For example: J04.0, Acute laryngitis has an Excludes2 of chronic laryngitis (J37.0). L27.2 Dermatitis due to ingested food (Excludes 2: Dermatitis due to food in contact with skin (L23.6, L24.6, L25.4) This is an improvement on ICD-9 where the exclusion notes are sometimes confusing 21

Code Also A code also note instructs that 2 codes may be required to fully describe a condition but the sequencing of the two codes is discretionary depending on the severity of the conditions and the reason for the encounter Code Extensions Code extensions (7th character) have been added for injuries and external causes to identify the encounter The code extensions are: A Initial encounter D Subsequent encounter S Sequelae Extensions have different meanings depending on chapter 22

Code Extensions A: Initial encounter for closed fracture B: Initial encounter for open fracture D: Subsequent encounter for fracture with routine healing G: Subsequent encounter for fracture with delayed healing K: Subsequent encounter for fracture with nonunion P: Subsequent encounter for fracture with malunion S: Sequelae ICD-10-CM Code Extensions Code S80.251A Superficial foreign body, right knee, initial encounter T43.6x1S Poisoning by psychostimulants with abuse potential, accidental (unintentional), sequela Extension Meaning Initial encounter, subsequent encounter, sequela Initial encounter, subsequent encounter, sequela 46 S62.211G Bennett s fracture, right hand subsequent encounter, routine healing O69.0XX1 Delivery complicated by prolapse cord, fetus 1 of multiple Initial, subsequent, sequela for closed, open, nonunion, malunion, delayed healing, routine healing Fetus number 23

Example S77 Crushing injury of hip and thigh Use additional code(s) for all associated injuries Excludes2:crushing injury of ankle and foot (S97.-) crushing injury of lower leg (S87.-) The appropriate 7th character is to be added to each code from category S77 An initial encounter D subsequent encounter S sequela S77.0 Crushing injury of hip S77.00Crushing injury of hip, unspecified side S77.01Crushing injury of right hip S77.02Crushing injury of left hip S77.1 Crushing injury of thigh S77.10 Crushing injury of thigh, unspecified side S77.11Crushing injury of right thigh S77.12Crushing injury of left thigh S77.2 Crushing injury of hip with thigh S77.20Crushing injury of hip with thigh, unspecified side S77.21Crushing injury of right hip with thigh S77.22Crushing injury of left hip with thigh Clinical Concepts Inclusion of clinical concepts that do not exist in ICD-9-CM CM (e.g., underdosing, blood type, blood alcohol level) For example: T45.526D : Underdosing of antithrombotic drugs, subsequent encounter Z67.40 : Type O blood, Rh positive Y90.6 : Blood alcohol level of 120 199 mg/100 ml 24

Expand A number of codes have been significantly expanded (e.g., injuries, diabetes, substance abuse, postoperative complications) For example: E10.610 : Type 1 diabetes mellitus with diabetic neuropathic arthropathy F10.182 : Alcohol abuse with alcohol-induced sleep disorder T82.02xA : Displacement of heart valve prosthesis, initial encounter Postoperative Complications Codes for postoperative complications have been expanded and a distinction made between intraoperative complications and postprocedurally disorders D78.01 : Intraoperative hemorrhage and hematoma of spleen complicating a procedure on the spleen D78.21: Postprocedural hemorrhage and hematoma of spleen following a procedure on the spleen 25

Changes Injuries are grouped by anatomical site rather than by type of injury Category restructuring and code reorganization have occurred in a number of ICD-10-CM chapters, resulting in the classification of certain diseases and disorders that are different from ICD-9-CM Certain diseases have been reclassified to different chapters or sections in order to reflect current medical knowledge New code definitions (e.g., definition of acute myocardial infarction is now 4 weeks rather than 8 weeks) The codes corresponding to ICD-9-CM V codes (Factors Influencing Health Status and Contact with Health Services) and E codes (External Causes of Injury and Poisoning) are incorporated into the main classification rather than separated into supplementary classifications as they were in ICD-9- CM. New Documentation Needs Combination codes for conditions and common symptoms or manifestations Combination codes for poisonings and external causes Added laterality Added extensions for episode of care for injuries Expanded codes (injury, diabetes, alcohol/substance abuse, postoperative complications) 26

ICD-10-CM Is Better Due To Similar ICD-9-CM Not re-inventing the wheel Addition of information relevant to ambulatory and managed care encounters Expanded injury codes Creation of combination diagnosis and symptom codes to reduce the number of codes needed to fully describe a condition 53 ICD-10-CM Is Better Due To Addition of a sixth character for some codes Incorporation of common 4th and 5th digit subclassifications Greater specificity in code assignment for many codes. The new structure will allow further expansion than was possible with ICD-9 27

Coding Guidelines New Coding pregnancy trimesters New Glasgow coma scale New Functional quadriplegia New - Open fracture designations are based on the Gustilo open fracture 55 SAME Same basic guidelines Same basic layout/organization Same basic index Same basic tabular Some codes are more detailed Some codes indicate initial or subsequent encounter Same format Look-up index same (Main Terms) 56 28

Index Pneumonia (acute) (Alpenstich) (benign) (bilateral) (brain) (cerebral) (circumscribed) (congestive) (creeping) (delayed resolution) (double) (epidemic) (fever) (flash) (fulminant) (fungoid) (granulomatous) (hemorrhagic) (incipient) (infantile) (infectious) (infiltration) (insular) (intermittent) (latent) (migratory) (organized) (overwhelming) (primary (atypical)) (progressive) (pseudolobar) (purulent) (resolved) (secondary) (senile) (septic) (suppurative) (terminal) (true) (unresolved) (vesicular) )J18.9 - with - - lung abscess J85.1 - - - due to specified organism - see Pneumonia, in (due to) - adenoviral J12.0 - adynamic J18.2 - alba A50.04 - allergic (eosinophilic) J82 - alveolar - see Pneumonia, lobar - anaerobes J15.8 - anthrax A22.1 - apex, apical - see Pneumonia, lobar - Ascaris B77.81 - aspiration J69.0 - - due to - - - aspiration of microorganisms - - - - bacterial J15.9 - - - - viral J12.9 - - - food (regurgitated) J69.0 - - - gastric secre Documentation Requirements ICD-10-CM 29

New Documentation Needs Inclusion of trimester in obstetrics codes and elimination i of fifth digits it for episode of care Expanded detail relevant to ambulatory and managed care encounters Changes in time frames specified in certain codes External cause codes no longer a supplementary classification Diabetes Controlled and uncontrolled effect code assignment in I9 only. Combination codes for Type Body system Manifestations affecting body system E11.349 DM retinopathy 30

Atherosclerotic Coronary Artery Disease and Angina ICD-10-CM has combination codes for atherosclerotic heart disease with angina pectoris. The subcategories for these codes are I25.11, Atherosclerotic heart disease of native coronary artery with angina pectoris and I25.7, Atherosclerosis of coronary artery bypass graft(s) and coronary artery of transplanted heart with angina pectoris. When using one of these combination codes it is not necessary to use an additional code for angina pectoris. A causal relationship can be assumed in a patient with both atherosclerosis and angina pectoris, unless the documentation indicates the angina is due to something other than the atherosclerosis. If a patient with coronary artery disease is admitted due to an acute myocardial infarction (AMI), the AMI should be sequenced before the coronary artery disease. Subsequent Acute Myocardial Infarction A code from category I22, Subsequent ST elevation (STEMI) and non ST elevation (NSTEMI) myocardial infarction, is to be used when a patient who has suffered an AMI has a new AMI within the 4 week time frame of the initial AMI A code from category I22 must be used in conjunction with a code from category I21 31

ICD-10-PCS Code Use and Structure The ICD-10-PCS codes are for use only on hospital claims for inpatient procedures ICD-10-PCS codes are not to be used on any type of physician claims for physician services provided to hospitalized patients These codes differ from the ICD-9-CM procedure codes in that they have 7 characters that can be either alpha (non-case sensitive) or numeric. The numbers 0-9 are used (letters O and I are not used to avoid confusion with numbers 0 and 1), and they do not contain decimals. 0FB03ZX : Excision of liver, percutaneous approach, diagnostic 0DQ10ZZ: Repair, upper esophagus, open approach V Codes = Z Codes Chapter 21: Factors influencing health status and contact with health services (Z00-Z99) Z99) Note: The chapter specific guidelines provide additional information about the use of Z codes for specified encounters Use of Z codes in any healthcare setting Z codes are for use in any healthcare setting Z codes may be used as either a first listed (principal diagnosis code in the inpatient setting), or secondary code, depending on the circumstances of the encounte Certain Z codes may only be used as first listed or principal diagnosis Z Codes indicate a reason for an encounter Z codes are not procedure codes. A corresponding procedure code must accompany a Z code to describe the procedure performed 32

ICD-10-PCS - Structure ICD-9-CM X1 X2. X4 X3 ICD-10-PCS X3 10 DX E0 HX B0 XF 05 X 78 XZ 03 XZ 4 65 ICD-10-PCS - Structure Index Alphabetical listing by type of procedure, including common procedure names (e.g., hysterectomy; appendectomy) Tabular list Grid with rows and columns to delineate valid combinations of code characters 66 33

ICD-10-PCS - Structure Characters (Med/Surg) 1 2 3 4 5 6 7 Section Root Operation Approach Qualifier Body System Body Part Device 67 Training time for ICD- 10 will depend on where your coding skills are now Greater level specificity needed Documentation needs are different ICD-10 is coming: Will you be ready? Training 34

Medicare Says Based on industry feedback regarding the need for more time than the 40 hours of training we estimated for inpatient coders to learn both ICD 10 CM and ICD 10 PCS, we will increase our estimate of the number of hours of training that inpatient coders will need to learn ICD 10 CM and ICD 10 PCS from 40 hours to 50 hours, well within the commenters suggested range of as little as 5 hours of training, to a maximum of 80 hours. Based on similar feedback from the industry expressing concern about the complexity of ICD 10 CM due to its size and structural changes, and coder unfamiliarity, we also will increase from 8 to 10 hours the time that outpatient coders will need for ICD 10 CM training. Source: Federal Register / Vol. 74, No. 11 / Friday, January 16, 2009 / Rules and Regulations, Page 3344 Plan Do you know where your skill set is now? Do you have an educational plan? The 50 hours is just ICD-10. 35

A&P Terminology Pathology Pharmacology Surgical Procedures OB/GYN Documentation ti Needs Guidelines Study Documentation Guidelines Outpatient guidelines Coding fundamentals Basic steps in looking up codes Primary sources Instructional Notes Study 36

Anatomy ICD-10 has greater need for coders to understand human anatomy Who will need education? Physicians Anyone who uses ICD-9-CM codes will need education in ICD-10 Determine the type and level of education they will need Coders need to increase their medical knowledge and will need an in-depth knowledge of ICD-10 37

Thank You! PEGGY FEELEY, RHIA, CCS, CCS-P Manager, Coding Education & Program Development NJHA Healthcare Business Solutions telephone: 609 936-2200 fax: 609 275 4031 e-mail: pfeeley@njha.com 38