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136 Cards in this Set

  • Front
  • Back
Prescription drugs would be paid by:

Medicare Part D
Inpatient hospitalization would be paid by:
Medicare Part A
In states where there is not a mandated fund for workers' compensation, what is an option for employers?
*Purchase workers' compensation insurance from a private carrier

*Provide workers' compensation self-insurance coverage

In which TRICARE program do ADFMs have a deductible and 20% copay?
TRICARE Standard Network
Which government-sponsored program provides coverage for the dependents of active members of the armed forces (ADFM)?
TRICARE
True/False

CHAMPVA is a primary payer unless other health insurance benefits are available.

True
The role of worker's compensation is to:
Cover healthcare costs and lost income from a work related injury
Medicare part C is a _________ option known as Medicare Advantage.
Managed care
What is true of CHIP?
*It is a federal/state program

*It varies from state to state

Which of the following is NOT a function of the Indian Health Service (IHS)?

*Assists Indian tribes in the development of their own health programs


*Facilitates and assists Indian tribes in coordinating health planning


*Provides only inpatient healthcare services


*Promotes using health resources available at federal state and local levels


Provides only inpatient healthcare services
In which of the following TRICARE plans are members entitled to Medicare part A and required to participate in Medicare part B?

*TRICARE standard


* TRICARE for Life


*TRICARE Extra


*TRICARE Prime

TRICARE for Life
What act authorized federal funds for Indian Health Services?
Snyder Act of 1921
A physician's office visit would be paid by:
Medicare Part B
ADSM's who live and work within 50 miles or less that an hour's drive of a military treatment facility are required to have:
TRICARE Prime
A program which provides states with grant money designated to provide low income families with case assistance is:
TANF
A child of a veteran who is permanently and totally disabled due to a service-connected disability can get:
CHAMPVA
All of the following are true of state Medicaid programs EXCEPT:

*Federal funds allocated to each state are based on the average income per person for that state


*The program must cover infants born to Medicaid-eligible pregnant women


*States may offer a managed care option


*Services offered to beneficiaries are the same in each state

Services offered to beneficiaries are the same in each state
Children can get Medicare if they have:
End-stage renal disease
Families whose income is too high to quality for Medicaid, but too low to afford private insurance can get ____________ for their children.
CHIP
Which Part of the Medicare program does not include a cost-sharing provision?

*Part A


*Part B


*Part C


*Part D


*All parts of Medicare include a cost-sharing provision

All parts of Medicare include a cost-sharing provision
Part A
Inpatient hospital services

Part B

supplemental medical insurance

Part C

Medicare Advantage

Part D

Medicare Drug Benefit

How does a Medicare beneficiary benefit by choosing Medicare Part C?
It covers services excluded from Part A and Part B: Long term nursing care, Custodial care, Dental services, Vision services, Routine examinations, except initial preventive medicine examination added by MMA Health and wellness education, Acupuncture
What types of costs do Medigap policies cover?
Medigap covers most cost sharing expenses, (deductibles, coinsurance's, and copay's) and must meet federal standards and are offered by various private insurance companies.
How does the ACA affect the market basket used to update Medicare reimbursement rates?
The ACA is reducing the market basket with scheduled reductions and multi-factor productivity reductions.
Why is Medicaid coverage not identical in New Jersey, California, and Idaho?
Medicaid coverage is not identical in every state because coverage determination for services is state-specific. Eligibility and services may be expanded by individual states based on that state's laws and regulations.
TRICARE program - ADFMs with deductible and 15 percent copay

TRICARE standard netword

TRICARE program -ADFMs with deductible and 20 percent cost-share

TRICARE for ADSMs, Extra Nonnetwork

TRICARE program - Managed care

TRICARE Prime

TRICARE program - Secondary coverage for Medicare beneficiaries

TRICARE for life (TFL)

True/False

When a CHAMPVA beneficiary reaches age 65, Medicare becomes the primary payer, and CHAMPVA becomes the secondary payer.


True
Services offered by the IHS to Indian tribes include all the following except:

*Rehabilitative services


*Death benefits


*Outpatient care


*Development of sanitation facilities

Death benefits
Why was the PACE program created?
PACE is a joint Medicare-Medicaid venture that offers states the option of creating and administering this capitated managed care option for the frail elderly population.
Which type of program is CHIP?
Federal-State
Which program replaced Aid to Families with Dependent Children (AFDC)?
Temporary Assistance for Needy Families Program (TANF)
What recent legislation made a substantive change to Medicare benefits, and how did those benefits change?
*Medicare Modernization Act of 2003 (MMA) created an outpatient prescription drug benefit (Medicare Part D)

*Affordable Care Act (ACA) - lowering payments to healthcare providers

List at least three types of Medicaid recipients required for states to qualify for federal matching funds.
*Infants born to Medicaid eligible pregnant women

*Children younger than 6 whose family income is at or below the poverty level


*Adoption assistance or foster care recipients

How was the PACE venture designed to enhance the quality of life for the frail elderly population?
PACE was designed to enhance the quality of life for the frail elderly population by enabling them to live in their own homes and communities and to preserve and support their family units.
What is the target population of the State Children's Health Insurance Program (CHIP) (Title XXI)?
The target is children not covered by health insurance. It is designed to provide health insurance to children of families whose income level is too high to qualify for Medicaid but too low to afford private healthcare insurance. To qualify for the program, the child must reside with a family whose income is at or below a specified percent of the federal poverty level.
Which TRICARE program is the most economical program for military families, and why is it less expensive than the other options?
*Tricare Prime - it is managed care

*why- because this managed care program has no enrollment, deductible, or co-payment fees

What program covers healthcare costs and lost income from work-related injuries or illness of federal government employees?
Federal Employees' Compensations Act (FECA)
True/False

Individuals eligible for railroad retirement disability or retirement benefits are ineligible for Medicare?

False
True/False

Individuals who are eligible may choose between TRICARE benefits and CHAMPVA.

False
True/False

In states having no mandated workers' compensation fund, employers must purchase insurance from private carriers or provide self-insurance coverage.

True
Who are "dual eligible's"?
Individuals who are eligible for Medicare and Medicaid
What is the term for an MCO that serves Medicare beneficiaries?
Medicare Advantage
In which type of HMO are the physicians employees?
Staff model
If members of a PPO use out-of-network providers, their out-of-pocket expenses are:
Higher
All of the following are elements of prescription management:
*Formulary *Patient education *Alerts for interactions
Evidence-based clinical guidelines originate from the following sources:
*Agency for Healthcare Research and Quality *Centers for Disease Control and Prevention *American College of Cardiology
A patient, who was a Medicaid recipient, asked about the types of financial incentives that the MCO used. What should the MCO's administrator do?
Release summaries of the financial incentives
True/False

Disease management is closely associated with coordination of care tools of MCOs because efforts of multiple providers must be synchronized in disease management.


True
What is meant by the phrase "point-of-service" in "point-of-service healthcare insurance plan"?
Members choose the reimbursement model when they need healthcare services rather than during the open enrollment period
All of the following services are typically reviewed for medical necessity and utilization EXCEPT: *Rehabilitative therapies *Inpatient admissions *Well-baby check *Mental health and chemical dependency care
Well-baby check
Of the following types of HMO's, which type is the most controlled? *Preferred provider organization *Staff model *Group practice model *Network model
Staff model
Contracts that separate out services or populations of patients to decrease risks and costs are:
Carve outs
What term means a network of organizations that directly provides or arranges to provide a coordinated continuum of services to a defined population and takes accountability for the cost, quality, and outcomes of care?
Integrated delivery system
Today's managed care traces its origins to all of the following arrangements EXCEPT:

*1800, Congress awarding pensions for U.S. naval personnel on the basis of death or disability during active service


*1906, Wester Clinic of Tacoma, Washington offering its members medical services for $0.50 per month


*1929, Blue Cross of Dallas, Texas establishing schoolteachers' plan of 21 days of hospitalization for $6 per year


*1930s, Kaiser construction setting up health plan for its workers

1800, Congress awarding pensions for U.S. naval personnel on the basis of death or disability during active service
The patient belonged to a managed care plan. Prior approval for the surgery was received. What number should the insurance analyst record?
Precertification
Targeting the enrollment of healthy patients to minimize healthcare costs is:
Cherry picking
For what reasons do MCOs survey their members for feedback?
*To determine their satisfaction with services *To obtain their perceptions of the plan's strengths and weaknesses and their suggestions for improvements

*To learn their intentions regarding re-enrolling in the plan

A member had gastric bypass surgery three years previously. As a result of losing more than 200 pounds, loose skin hung from the member's arms, thighs, and belly. The member upon referral from her general surgeon, was scheduled to have a plastic surgeon remove the excess skin. The member called for prior approval as required by the plan. The clinical review resulted in a denial of the surgery as cosmetic. The member requested a peer review and submitted documentation from her physician that the excess skin was causing skin infections and exacerbating her eczema. The peer clinician denied the case. What is the member's next step if she is determined to have the surgery?
Appeal to an expert clinician in the same specialty
All of the following types of organizations represent ways of integrating health organizations EXCEPT:

*Group practice without walls


*Solo physician practice


*Management service organization


*Medical foundation

Solo physician practice
All of the following activities are steps in medical necessity and utilization review EXCEPT:

*Initial clinical review


*Peer clinical review


*Appeal consideration *


Administrative review

Administrative review
For what type of care should the physician practice manager expect to work with a case manager?
Workers' compensation
All of the following activities are service management tools used in controlling costs EXCEPT:

*Applying an episode-of-care payment system *Determining medical necessity and utilization review


*Assigning the primary care provider as gatekeeper to specialized services through referrals and prior authorizations


*Case and prescription management

Applying an episode-of-care payment system
In a group practice, the physicians have maintained their separate practices and offices. The individual practices share administrative systems to form a group practice. Which form of integrated delivery system does this arrangement represent?
Clinic without walls
Access to mental or behavioral health or medical specialists is through referral. What is the term for the individual who makes the referral?
Primary care provider, Gatekeeper, Primary care physician
Which of the following activities do MCOs use as financial incentives to control costs? *Monitoring the settings of care *Rewarding providers who meet targets with bonuses *Varying members' rates of cost-sharing *All of the above
All of the above
List three types of care delivered by MCOs:
HMO's, PPO's, POS's, preventive, wellness oriented, acute and chronic
How does a member of a staff model HMO obtain coverage for a specialist, such as an oncologist?
Primary care physicians strictly control referrals to specialists with in the HMO.
In terms of the health population, what type of program, supported by MCOs, stresses the habits of healthy lifestyles, such as exercise and proper nutrition?
Wellness programs
What types of physicians are generally considered primary care physicians?
family practitioners, general practitioners, internists, pediatricians, and OB/GYNs
List at least three sources of evidence-based clinical practice guidelines.
*The US Preventive Services Task Force (USPSTF)

*The Agency for Healthcare Research and Quality (AHRQ)


*The Centers for Disease Control and Prevention

For what are integrated delivery systems willing to be held accountable?
for the cost, quality, and outcomes of care and, (with others), the health status of the population served
True/False

For integrated delivery systems, process integration is more important than functional integration.

True
Name two ways that practices having integrated structures lower their overhead costs.
*Share centralized administrative systems *bargaining power in the negotiation of managed care contracts
In which type of integrated delivery system do the physicians maintain their separate clinics, but share their administrative systems?
Group (Practice) without Walls
With which type of integrated delivery system would a small group practice contract for administrative and information systems?
Management Service Organization
Describe at least three ways in which MCOs work toward their goals of quality patient care.
*Careful selection of provider

*Emphasis on the health of their populations of members


*Use of care management tools, and maintenance of accreditation or participation in quality improvement programs

From where do evidence-based clinical guidelines originate?
They have been systematically developed from scientific evidence and clinical expertise to answer clinical questions. These guidelines are benchmarks of best practices in the care and treatment of patients and clients.
List at least two reasons that MCOs survey their members for feedback.
-Perceptions of the plan's strengths and weaknesses

-Suggestions for improvements

Name the three steps in medical necessity and utilization review.
*Initial Clinical Review

*Peer Clinical Review


*Appeals Consideration

Describe three types of cost controls used by MCOs.
*Service Management Tools include medical necessity and utilization management, the gatekeeper role of the primary care provider, prior approval, second and third opinions, case management, and prescription management.

*Episode of care reimbursement includes capitation and global payment.


*Financial Incentives include providers meeting fiscal targets and members using providers connected to the plan.

Which type of HMO offers patients the least selection in referrals to specialists?
Staff Model
List at least five types of services or populations that are common examples of carve-outs.
*Chronically ill children

*Dental care


*Diseases or conditions


*Prescription drug (pharmacy benefit)


*Specialty services


*Vision Care

True/False

Disease management is closely associated with coordination of care tools of MCOs because efforts of multiple providers must be synchronized in disease management.

True
True/False

By definition, integrated delivery systems must directly provide health services to their members.

False
True/False

Integrated delivery systems, as a result of strict federal regulation, have evolved into a single common type.

False
Discuss two of the four guiding principles of prospective payment.
Payment rates are to be established in advance and fixed for the fiscal period to which they apply.

Payment rates are not automatically determined by the hospital's past or current actual cost.

In the four-step MS-DRG assignment process, if a coder is able to assign the MS-DRG in step 1, the pre-MDC assignment, all subsequent steps in the process are ___________.
ignored
List two refinement questions that help coders group together patients with like-resource consumption.
Is a major complication or co-morbidity (MCC) present?

Is a complication or co-morbidity (CC) present?

How are Medicare base payment rates increased to reflect inflation?
The base year amount has been updated each year since 1981 by the market basket, an update factor established by Congress to account for inflation.
How is the discharge disposition used in the execution of PACT payment?
The discharge disposition identifies where the patient goes for care after discharge. There are 2 types of transfer cases under the IPPS and payment to each hospital is based on a type 1 or a type 2 transfer. Exceptions to the payment policy, known as the post-acute-care-transfer (PACT) policy, for type 2 transfer cases is for certain MS-DRG's that qualify for the PACT policy, a discharge from an acute IPPS hospital to an excluded IPPS hospital or unit is considered a type 1 transfer rather than a discharge. The PACT transfer policy ensures that an incentive is not created for hospitals to discharge any patients early to reduce costs while sill receiving full MS-DRG payment.
Which piece of legislation charged CMS with creating a PPS for the inpatient psychiatric setting? What requirements were included in the law?
The Balanced Budget Refinement Act (BBRA) of 1999. Required the development of a per diem PPS for inpatient psychiatric services provided in IPFs (inpatient Psychiatric Facilities). Specifically, the BBRA charged CMS with developing a classification system that would reflect the resource consumption and, thus, cost differences among various IPFs.
What type of reimbursement scheme is used in the IPF PPS?
Per diem with adjustments
What is the formula for the ECT adjustment for a facility with a wage index of .9812?
Step 1. federal per diem base rate x labor percent x wage index amount

Step 2. federal per diem base rate x non-labor percent


Step 3. the sum of the results of steps 1 and 2 = the wage index adjusted per diem amount

What are the two categories of adjustments in the IPF PPS?
patient level adjustments and facility level adjustments
List and discuss two of the provisions of the IPF PPS.
Outlier payment for high-cost encounters. Outlier payments are projected by CMS to account for 2 percent of the total payment for the implementation year. The costs of an encounter must exceed the adjusted threshold amount to qualify for an outlier payment.

Medical Necessity Provision - must be established for each patient on admission to the IPF.

List at least two major reasons why Medicare administrators turned to the prospective payment concept for Medicare beneficiaries.
Medicare payments to hospitals grew, on average, by 19% annually (3 times the average overall rate of inflation).

The Medicare hospital deductible expanded, creating a burden for Medicare beneficiaries.

How do MS-DRGs encourage inpatient facilities to practice cost management?
The hospital retains the profit or suffers a loss resulting from the difference between the payment rate and the hospital's cost, creating an incentive for cost control.
Why was a severity of illness refinement performed on the DRG system? Was it supported by the healthcare community?
The severity of illness refinement allows cases with a higher severity of illness to be paid appropriately. Yes, the healthcare community supported it.
List the steps of MS-DRG assignment.
1. Pre-MDC Assignment

2. MDC Determination


3. Medical/Surgical Determination


4. Refinement

Why does the IPF PPS length-of-stay adjustment factor grow smaller during the patient encounter?
The length-of-stay adjustment was implemented because data showed that per-diem costs for psychiatric cases decreases as LOS increases.
Describe at least two patient-level adjustments for IPF PPS claims and explain why they are used.
Comorbid Conditions - cost data identifies a need to provide a payment adjustment for some comorbid conditions.

Older Patients - rates are altered to account for the additional costs incurred for treating older patients.

What is the labor portion of the IPF PPS per diem rate?

What is the non-labor portion of the IPF PPS per diem rate?

The labor portion of the federal per diem base rate is 69.294%.

The non-labor portion is the federal per diem rate is 30.706%.

Why was the initial stay and readmission provision included in the IPF PPS?
CMS did not want to provide an incentive for facilities to prematurely discharge patients and then subsequently re-admit them because the length of stay adjustment is weighted heavier for the beginning days for an admission.
Describe the medical necessity provision of the IPF PPS.
Medical necessity must be established by the physician at the start of the inpatient psychiatric admission. Medical necessity must be re-evaluated and established for admissions that extend past the 18th day.
When performing the payment determination for IPF PPS admissions, which step comes first: wage-index adjustment, or application of the patient and facility-level adjustments?
wage index adjustment
Medical necessity must be re-evaluated and established in the IPF PPS for admissions that extend past the ______ day.
18th
Mary Smith was admitted to IPF Hospital A on April 1. She is discharged on April 5. Mary Smith is readmitted to IPF Hospital B on April 7 and continues the hospital stay until April 10. What length-of-stay adjustment day should be used to calculate the payment for the first day payment for IPF Hospital B?
Day 5
Mr. Brown was admitted to the hospital with severe chest pains. During his encounter he underwent a coronary artery bypass procedure (CABG) due to coronary artery disease (CAD). What is the first step in determining the MS-DRG assignment for this encounter?
Determine if the coronary artery bypass procedure is one of the Pre-MDC procedures
A Medicare patient was discharged from one acute IPPS and admitted to another acute IPPS hospital on the same day. How will the two acute IPPS hospitals be reimbursed?
The first hospital receives a per-diem payment derived from the potential MS-DRG and the second hospital receives the full MS-DRG.
What concept is a guiding principle for prospective payment?
Payment rates are established in advance of the healthcare delivery and are fixed for the fiscal period to which they apply.
What is the average of the sum of the relative weights of all patients treated during a specified time period?
Case mix index
Which of the following IPPS provisions provides the hospital with a hospital specific reimbursement amount?

*Indirect medical education


*High cost outlier cases


*New medical services and new technology


* A & B


*B & C

A & B
Which of the following is NOT a patient level adjustment used in the IPF PPS?

*Length of stay


*Comorbidity


*MS-DRG


*Full service emergency department

Full service emergency department
Which piece of legislation called for the first hospital inpatient prospective payment system? This piece of legislation also allowed some hospital setting to retain their cost-based payment systems.
Tax Equity and Fiscal Responsibility Act (TEFRA)
Which of the following is not a facility-level adjustment under the IPF PPS?

*Wage index


*Electroconvulsive therapy


*Rural location


*Cost-of-living adjustment

Electroconvulsive therapy
Which IPPS provision is provided to facilities that experience a financial hardship because they provide treatment for patients who are unable to pay for the services?
Disproportionate share hospital
True/False

If a coder is able to assign the MS-DRG in the pre-MDC assignment step, all other steps are ignored.



True
True/False

Data showed that per-diem costs for psychiatric cases increases as length of stay increases.

False
Which Medicare contractor reimburses acute care hospitals on behalf of Medicare?
Medicare administrative contractor (MAC)
Within the IPF PPS which of the following statements is true?

*The cost for psychiatric cases decreases as the length of stay increases


*Electroconvulsive therapy is provided for every patient


*It is less expensive to treat a 75 year old patient than a 55 year old patient


*All of the above are false

The cost for psychiatric cases decreases as the length of stay increases
Under the IPF PPS which states are included in the cost of living adjustment (COLA)?
Hawaii and Alaska
The MS-DRG payment includes reimbursement for all of the following inpatient services except:

*Physician hospital visit


*Surgery


*Laboratory tests


*Medications

Physician hospital visit
Computer programs that assign patients to case mix groups are called:
Groupers
The MS-DRG payment includes reimbursement for all of the following inpatient services EXCEPT:

*Medications


*Progress notes


*Laboratory tests


*Dressings and other supplies

Progress notes
What is the basis of the "labor-related share"?
Facilities' costs related to payrolls, benefits, and professional fees
In the IPPS, what is the term for each hospital's unique standardized amount based on its cost per Medicare discharge?
Base payment rate
When comparing Medicare's IPPS and IPF PPS which of the following statement is false?

*Both PPS use wage index adjustments to account for differences in the cost of labor


*Both PPS have a high cost outlier provision


*Both PPS utilize a case rate reimbursement methodology


*Although different, both PPS provide supplemental reimbursement for physician education programs

Both PPS utilize a case rate reimbursement methodology
What IS the correct order for MS-DRG assignment?
Pre MDC assignment, MDC determination, Medical/Surgical determination, Refinement
Which reimbursement methodology is used in the Inpatient Psychiatric Facility Prospective Payment System?
Per diem rate
What act required the development of a per diem PPS for inpatient psychiatric services provided in IPFs?
Balanced Budget Refinement Act of 1999