We spent $8 billion on ICD-10

March 20, 2014

Add it up: 3 reasons for the delay; 6 assets affected; 6 reasons for the price tag; and one future mind-boggler

 

Here are 16 fast facts about ICD-10

It’s been nearly two years since federal officials announced the ICD-10 transition would be delayed from October 2013 to October 2014.

3 reasons why ICD-10 was delayed

Main reasons justifying the delay include:

  • The industry transition to the version 5010 electronic operating system necessary to accommodate ICD-10 did not proceed as effectively as expected;

  • Providers expressed concerns that other statutory initiatives were stretching their resources; and

  • Surveys and polls of affected parties revealed a lack of readiness for the ICD-10 transition.

Source: Health Affairs Policy Brief

NEXT: 6 assets affected >>>

 

 

 

6 assets affected by the conversion

New code sets aren’t just for claims, however. Other aspects of healthcare delivery and improvement soon to be affected by ICD-10 include:

  • Patient eligibility;

  • Preauthorization;

  • Care documentation;

  • Research activities;

  • Public health efforts; and

  • Quality reporting.

Source: Health Affairs Policy Brief

NEXT: 6 reasons why it costs so much >>>

 

 

 

6 reasons why ICD-10 costs so much

Officials say they won’t delay ICD-10 again because of the issues it would cause at this late stage. Abandoning the new code system now would translate into a loss of billions of dollars that the industry has already invested.

However, opponents cite cost issues, too. Health insurers might spend $11 per member to $38 per member on conversion, according to America’s Health Insurance Plans. According to a Health Affairs Policy Brief, a small physician practice might spend $83,000 to $226,000 for the upgrade. Costs are associated with:

  • Staff education and training;

  • Business process analysis;

  • New claims form software;

  • IT system changes;

  • Increased documentation costs; and

  • Cash flow disruption.

Source: Health Affairs Policy Brief

NEXT: One huge development to watch for (can you guess?) >>>

 

 

1 big development to watch for . . .

ICD-11 is due out in 2017.

 

Source: Health Affairs Policy Brief

See more on this government website.