Featured coffee – Sticky Buns Flavored Coffee
I’ve noticed on social media sites, that coders often advise others to report issues as fraud. Let’s review the “f-word.”
According to the Office of the Inspector General (OIG):
“Fraud is defined as the wrongful or criminal deception intended to result in financial or personal gain. Fraud includes false representation of fact, making false statements, or by concealment of information.
Waste is defined as the thoughtless or careless expenditure, mismanagement, or abuse of resources to the detriment (or potential detriment) of the U.S. government. Waste also includes incurring unnecessary costs resulting from inefficient or ineffective practices, systems, or controls.
Abuse is defined as excessive or improper use of a thing, or to use something in a manner contrary to the natural or legal rules for its use. Abuse can occur in financial or non-financial settings.”
We learned in compliance training that healthcare fraud is the “intentional deception or misrepresentation that results in unauthorized payments.”
Some of the most common types of healthcare fraud are:
- Submitting claims for services not performed
- Billing for more expensive services (upcoding)
- Performing medically unnecessary services with the intent to receive payment
- Reporting false diagnoses to support services
The OIG provides free compliance training through its website. Click here to navigate directly to the relevant page on the OIG website.
I managed a coding contract and was responsible for assigning coders to various hospital-based clinics.
Part of each coder’s responsibility was to provide physician education when issues were identified. One coder scheduled a provider feedback session after only coding the first day of notes. She did not review her findings with me or inform me that she scheduled a meeting with the physicians.
After her meeting, the department chief requested a meeting with me. The coder accused the physicians of committing fraud. Yes, she used the “F word”! She claimed that the providers were up coding the E/M levels. As a Certified Professional Compliance Officer TM, I recognized the seriousness of the accusation. We don’t conclude that without sufficient evidence, and even then, we’re cautious of using the word fraud. I assured the department chief that I would review the records and meet with the providers.
I met with the coder, and she was convinced the providers were committing fraud. I explained the seriousness of her accusation and asked her to provide evidence of fraud. The providers assigned codes on their notes. The coder was responsible for validating the codes, making necessary corrections, and providing coding and documentation education to the providers.
I gave her the definition of fraud and explained that to even raise the concern, she would have to confirm that the providers knowingly and willfully up coded the services. She was not able to show proof because the providers did not possess coding knowledge. It was her responsibility to validate the codes, so they did not act in ‘deliberate ignorance or reckless disregard of the truth or falsity of the information’ as defined by the False Claims Act [31 U.S.C. § § 3729-3733].
Certified Professional Compliance Officer TM is a trademark of AAPC.