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HIPAA Transactions and Code Sets

Currently, there is no common standard for the transfer of information between healthcare providers and payers. As a result, providers had to meet many different payer requirements. For some providers who submit claims to hundreds of payers, programming their computer systems to meet these requirements has been a difficult and expensive process.

HIPAA will change this practice by requiring payers to accept the following nine electronic transaction standard transaction for EDI:

  • Health claims/encounters
  • Claim payment and remittance advice
  • Healthcare claim status
  • Eligibility
  • Referrals
  • Healthcare enrollment
  • Health plan premium payments
  • First report of injury
  • Claims attachments

The Accredited Standards Committee X12 (ASC X12) standards have been adopted for nearly all of these transactions. In particular, the standardized implementation guidelines developed by X12N will be adopted, starting with version 4010. These implementation guidelines can be found at www.wpc-edi.com/hipaa. They can be obtained for free, but registration is required.

Pharmacy claims transactions

The one exception to the adoption of X12 standards is for pharmacy claims, where the National Council for Prescription Drug Programs (NCPDP) standard will be adopted.

Code Sets:

Diagnoses and inpatient hospital services: International Classification of Diseases, ninth edition, Clinical Modification (ICD-9-CM). The standard will likely migrate to ICD-10 once the new system is ready for adoption.

Institutional services: ICD-9-CM Volume 3 and HCFA Common Procedural Coding System (HCPCS)
Physician services: Current Procedural Terminology (CPT)
Dental services: Current Dental Terminology (CDT)
Drugs: National Drug Code (NDC) - this will eliminate the use of J codes in the HCPCS

To review the regulations in their entirety, go to: http://www.gpoaccess.gov/cfr/index.html

search for The Code of Federal Regulations Title 45, Section 160 through 164


 

 

 

 

Empire Medical Review Services, Inc
11357 North Port Washington Road
Phone: 262.240.9700
Mequon, Wisconsin 53092