ASC Anesthesia Billing: A Comprehensive Guide

1. Visit our website: Click here Follow us: ASC Anesthesia Billing: A Comprehensive Guide Relationship between ASC and Anesthesia Providers Before understanding ASC anesthesia billing, let’s review three different types of relationship between ASC and anesthesia providers. When considering the relationship with anesthesia providers for an Ambulatory Surgical Center (ASC), there are three primary types to evaluate: The first option is hiring an MD or a Certified Registered Nurse Anesthetist (CRNA) as an employee of the ASC. The second option is establishing a non-exclusive contract with an outside anesthesia group or an individual anesthesiologist/anesthetist. The third option is entering into an exclusive contract with an outside anesthesia group. Let’s review ASC anesthesia billing for all these three arrangements. ASC Anesthesia Billing 1. On-staff MD / CRNAs Employed by the ASC Copyright © Medical Billers and Coders. All Rights Reserved Call now 888-357-3226 (Toll Free) info@medicalbillersandcoders.com 1

2. Visit our website: Click here Follow us: When an Ambulatory Surgical Center (ASC) has anesthesiologists or certified registered nurse anesthetists (CRNAs) as full-time employees, the billing process for anesthesiology services typically follows certain guidelines. Here's a detailed overview of how ASCs bill for anesthesiology services: Documentation and Coding Accurate documentation of the anesthesia services provided is crucial. The anesthesiologist or CRNA must document the preoperative evaluation, the anesthesia care plan, and the postoperative notes. The ASC must assign appropriate Current Procedural Terminology (CPT) codes and modifiers to the anesthesia services rendered. CPT codes specifically designed for anesthesia services are used to describe the complexity and duration of the procedure. Identifying the Appropriate Billing Party ASCs have different options for billing anesthesiology services, depending on their specific arrangements: "Bundled" Billing: Some ASCs may choose to include the anesthesiology services in their overall facility fee, billing payers directly for both the surgical procedure and the anesthesia. "Split" Billing: Alternatively, ASCs may opt for "split" billing, where the ASC bills for the facility fee, and the anesthesiologist or CRNA bills separately for their professional services. Billing Scenarios When using "bundled" billing, the ASC includes the cost of anesthesia services in its overall facility fee. The ASC bills the payer for both the surgical procedure and the anesthesia. Copyright © Medical Billers and Coders. All Rights Reserved Call now 888-357-3226 (Toll Free) info@medicalbillersandcoders.com 2

3. Visit our website: Click here Follow us: In the case of "split" billing, the ASC bills the payer for the facility fee, while the anesthesiologist or CRNA bills the payer directly for their professional services. If the anesthesiologist or CRNA is an employee of the ASC, the ASC typically bills for the anesthesia service separately, using the appropriate anesthesia CPT codes. Reimbursement The reimbursement for anesthesiology services in an ASC can vary depending on factors such as payer contracts, geographical location, and the complexity of the procedure. Payers may have specific reimbursement rates or fee schedules for anesthesia services performed in an ASC setting. These rates can differ from those applicable to other healthcare settings. It is important for the ASC to understand the reimbursement rates negotiated with various payers and to ensure accurate coding and billing to maximize reimbursement. Compliance and Documentation Compliance with applicable regulations and guidelines is essential for accurate billing and reimbursement. ASCs must adhere to the rules and guidelines provided by Medicare, Medicaid, and other third-party payers. Proper documentation is crucial to support the billed services. The ASC, anesthesiologist, or CRNA must maintain complete and accurate records, including the anesthesia record, to justify the services provided and billed. It's important to note that specific billing practices may vary based on contractual agreements, payer policies, and regional variations. Therefore, ASCs should consult with their billing experts, compliance officers, or professional billing services to ensure adherence to the applicable regulations and maximize reimbursement for anesthesiology services. Copyright © Medical Billers and Coders. All Rights Reserved Call now 888-357-3226 (Toll Free) info@medicalbillersandcoders.com 3

4. Visit our website: Click here Follow us: 2. A Non-Exclusive Contract With an Outside Anesthesia Group When an Ambulatory Surgical Center (ASC) has a non-exclusive contract with an outside anesthesia group, the billing process for anesthesiology services can vary depending on the specific agreements between the ASC and the anesthesia group. However, I can provide you with a general overview of how the billing may typically work in such cases. Separate Billing: In many situations, the ASC and the anesthesia group will bill patients separately for their respective services. The ASC will bill for the facility fees, which include the use of the operating room, supplies, nursing staff, and other related costs. The anesthesia group will bill for the professional services provided by the anesthesiologists or certified registered nurse anesthetists (CRNAs) involved in the procedure. Coordination and Documentation: The ASC and the anesthesia group must coordinate their efforts to ensure accurate documentation of services rendered. This includes proper identification of anesthesia start and stop times, documentation of any additional procedures or services provided by the anesthesia group, and accurate coding of the anesthesia services. Anesthesia Coding: Anesthesia services are typically coded using the Current Procedural Terminology (CPT) codes. The specific code used depends on the type and complexity of the anesthesia provided. There are different codes for general anesthesia, regional anesthesia, monitored anesthesia care, and so on. The anesthesia group is responsible for assigning the appropriate codes based on the specific circumstances of the procedure. Reimbursement: The ASC and the anesthesia group will have separate contracts with various payers, such as insurance companies or government programs (e.g., Medicare or Medicaid). Each entity will submit their respective claims to the payers for reimbursement. The ASC will submit claims for facility fees, while the anesthesia group Copyright © Medical Billers and Coders. All Rights Reserved Call now 888-357-3226 (Toll Free) info@medicalbillersandcoders.com 4

5. Visit our website: Click here Follow us: will submit claims for professional fees. Reimbursement Distribution: Once the claims are processed and reimbursed by the payers, the ASC and the anesthesia group will receive payments separately. The distribution of payments may depend on the contractual agreements between the ASC and the anesthesia group. It could be a predetermined percentage split, a fixed fee arrangement, or any other mutually agreed-upon method. Patient Billing and Collections: Patients will receive separate bills from the ASC and the anesthesia group for their services. The patients may be responsible for paying co-pays, deductibles, or any remaining balance after insurance payments. The ASC and the anesthesia group will handle their own billing and collections processes to collect payments from patients. It's important to note that the specific details of billing arrangements can vary depending on the contractual agreements between the ASC and the anesthesia group. The terms and conditions outlined in their contract will govern how billing, reimbursement, and payment distribution are handled in each specific case. 3. An Exclusive Contract With an Outside Anesthesia Group When an Ambulatory Surgical Center (ASC) has an exclusive contract with an outside anesthesia group, the billing process for anesthesiology services typically involves coordination between the ASC, the anesthesia group, and the insurance companies or payers. Here is a detailed explanation of how the ASC anesthesia billing process works in such a scenario: Pre-authorization: Before performing any surgical procedure requiring anesthesia, the ASC will obtain pre-authorization from the patient's insurance company or payer. This step ensures that the procedure and associated anesthesia services are covered by the patient's insurance plan. Patient Registration: Once the pre-authorization is obtained, the ASC will register the Copyright © Medical Billers and Coders. All Rights Reserved Call now 888-357-3226 (Toll Free) info@medicalbillersandcoders.com 5

6. Visit our website: Click here Follow us: patient and collect the necessary demographic and insurance information. This includes the patient's insurance policy details, group numbers, and any applicable copay or deductible information. Procedure and Anesthesia Documentation: The ASC will document the details of the surgical procedure and the specific anesthesia services provided. This includes information such as the type of procedure, the duration of the surgery, the anesthesia techniques used, and any relevant medical codes (e.g., CPT codes) associated with the services. Anesthesia Group Documentation: The anesthesia group will also document the services they provided during the procedure. This may include the type and dosage of anesthesia administered, any additional procedures performed (e.g., nerve blocks), and any other relevant information related to the anesthesia services. Claim Generation: Based on the procedure and anesthesia documentation, the ASC will generate a claim, which includes the charges for both the surgical procedure and the anesthesia services. The ASC will typically bill the insurance company or payer directly for the surgical procedure charges. Separate Billing for Anesthesia Services: However, the ASC will not bill directly for the anesthesia services. Instead, the exclusive anesthesia group will bill separately for their services. They will use the documentation provided by the ASC, along with their own records, to generate a separate claim for the anesthesia services. Insurance Claim Submission: The ASC and the anesthesia group will submit their respective claims to the insurance company or payer. They will ensure that all necessary documentation, including the surgical procedure details and the anesthesia services, are included in the claims. Adjudication and Payment: The insurance company or payer will review the claims Copyright © Medical Billers and Coders. All Rights Reserved Call now 888-357-3226 (Toll Free) info@medicalbillersandcoders.com 6

7. Visit our website: Click here Follow us: submitted by the ASC and the anesthesia group. They will determine the coverage and reimbursement based on the patient's insurance policy and any applicable contractual agreements. The payment will be made directly to the ASC for the surgical procedure charges and to the anesthesia group for the anesthesia services. Patient Billing: Once the insurance claim is processed, the ASC will generate a patient statement that reflects the patient's financial responsibility. This includes any applicable co-payments, deductibles, or co-insurance amounts. The patient will be responsible for paying their portion of the charges directly to the ASC. It is important to note that the specifics of the billing process may vary depending on the contractual agreements between the ASC, the anesthesia group, and the insurance companies or payers. It is always recommended for patients to review their insurance policies and consult with the ASC and anesthesia group to understand their financial responsibilities and coverage. About Medical Billers and Coders (MBC) Medical Billers and Coders (MBC) is a leading ASC billing company known for its expertise in handling the complex billing processes specific to Ambulatory Surgical Centers. With a deep understanding of ASC billing codes, regulations, and reimbursement systems, MBC ensures accurate and efficient billing services for ASCs. Our team of experienced medical coders and billers is well-versed in the intricacies of ASC procedures, documentation requirements, and insurance claim submissions. MBC's commitment to staying updated with the latest industry changes and compliance standards enables us to maximize revenue for ASCs while maintaining compliance with healthcare regulations. For further information about our ASC billing and coding services, please reach out via email at info@medicalbillersandcoders.com or by calling 888-357-3226. Copyright © Medical Billers and Coders. All Rights Reserved Call now 888-357-3226 (Toll Free) info@medicalbillersandcoders.com 7