When Experts Fail on E&M Reviews: The Perils of Blind Trust

The June 21 issue of RACmonitor introduced a discussion of the peril of placing blind trust in expert reviews focusing on surgical coding issues. In this article, we will focus on evaluation and management (E&M) review.

One E&M expert recently analyzed a number of office visits for a certain provider and concluded that there were a number of flaws requiring a considerable refund. 

The associated coder was troubled by missing history of present illness (HPI) elements. (These include factors like the length of time the patient has had symptoms, location and severity, and factors that exacerbate symptoms.) 

I will posit that it is nearly impossible to have a patient encounter without the physician obtaining the HPI. When a patient talks with a physician, the patient is going to describe the problem and provide details about it, even in the unlikely event that the physician fails to ask. It’s certainly true that the physician may fail to record the HPI elements in the record, but the probability that she or he didn’t get the information from the patient is miniscule.

This brings us back to the core point about documentation of E&M services: for Medicare, such documentation is not a precondition of reimbursement. While some Medicaid programs and occasionally some private payers may have explicit documentation requirements, Medicare only requires that you “furnish information” to support the codes billed. Perhaps the simplest evidence to support this conclusion appears in the name of the E&M documentation guidelines: they are guidelines, not requirements. As a result, when documentation is missing for a Medicare patient’s office visit or hospital rounds, you need to make a reasoned assessment as to whether the service was performed and merely not documented (in which case education is appropriate) or whether this service wasn’t performed as billed (in which case a refund is in order). The phrase “if it isn’t written, it wasn’t done” is a risk management strategy, not a legal axiom. If you are skeptical of this, don’t be shy. Send me an email and I can send you some information to explain the analysis. 

The consultant’s report in this case also noted that many of the visits involved patients with complex medical problems who were making difficult treatment decisions. The consultant thought it was nearly certain that time would have justified the codes billed, but concluded that since time wasn’t documented, it was improper to consider this fact.

The expert was absolutely correct that the failure to document time complicated the situation, and raised the risk that in an audit, the claim would be denied. The consultant properly noted that this was a material flaw in the chart. However, asserting that a refund to the Medicare program was required was incorrect.

There were also some exam components that were not documented. There was a breast cancer patient whose exam didn’t include any reference to the breast exam. That physician definitely needs some education, because from a patient quality standpoint, failing to record the exam is an obvious shortcoming.

However, if we talk to the physician and he or she states that the exam was performed and not documented, I would trust that the situation was an error – but again, not an error compelling a refund. (I should note that the organization could choose to refund the money, but the option to refund is obviously very different than a requirement to refund.) 

I would also personally discourage the organization from stating that the refund was an “overpayment” or that the lack of documentation required it. Such legally incorrect statements can interfere with the defense of later investigations.

Consultants can and should play a significant role in the compliance process. However, it’s important to carefully review their recommendations and determine whether they are consistent with facts, the law, and common sense. 

A good consultant can identify problems and help organizations avoid trouble. But when consultants have a different risk tolerance than you or make recommendations that are inconsistent with the law, they can cost you a great deal of money. 

It’s reasonable to expect any professional from whom you seek advice to explain to you both their understanding of the law and their approach to risk.   

Facebook
Twitter
LinkedIn

David M. Glaser, Esq.

David M. Glaser is a shareholder in Fredrikson & Byron's Health Law Group. David assists clinics, hospitals, and other health care entities negotiate the maze of healthcare regulations, providing advice about risk management, reimbursement, and business planning issues. He has considerable experience in healthcare regulation and litigation, including compliance, criminal and civil fraud investigations, and reimbursement disputes. David's goal is to explain the government's enforcement position, and to analyze whether this position is supported by the law or represents government overreaching. David is a member of the RACmonitor editorial board and is a popular guest on Monitor Mondays.

Related Stories

Leave a Reply

Please log in to your account to comment on this article.

Featured Webcasts

CDI Query Mastery: Best Practices for Denial Prevention and Revenue Integrity

Physician queries are essential for accurate documentation and claims data, but they are increasingly scrutinized by payors, leading to denials and revenue leakage. This webcast, led by industry expert Cheryl Ericson, RN, MS, CCDS, CDIP, provides actionable strategies to craft compliant queries, reduce denials, and enhance revenue integrity. Attendees will gain insights into clinical validation queries, how to avoid common pitfalls, and learn best practices to defend against query denials. Don’t miss this opportunity to refine your query process and protect your organization’s financial health.

March 27, 2025
Heart Failure Coding Essentials: Ensuring Compliance and Optimal Reimbursement

Heart Failure Coding Essentials: Ensuring Compliance and Optimal Reimbursement

Master the complexities of heart failure coding with this expert-led webcast by Emily Montemayor, CCS, CMBCS, COC, CPC, CPMA. Discover strategies to ensure compliance with ICD-10-CM guidelines, documentation integrity, and capture comorbidities like CKD and hypertension. Learn how to resolve coding challenges, improve documentation practices, and submit clean claims to minimize denials and safeguard your organization’s financial health. With practical insights and real-world examples, this session equips you to prevent revenue leakage, enhance compliance, and secure optimal reimbursement—all while supporting better patient outcomes.

February 26, 2025
Decoding 2025 OPPS Charge Capture and Coding Complexities: Strategies for Success

Decoding 2025 OPPS Charge Capture and Coding Complexities: Strategies for Success

Prepare your organization for the 2025 OPPS updates with expert insights from Tiffani Bouchard, CCS, CRCR, a Revenue Integrity Professional with over 30 years of experience. This webcast will address critical challenges in charge capture and coding, providing clarity on APC policies, C-APC packaging, exclusions, and payer-specific requirements. Attendees will learn actionable strategies to ensure compliance, optimize reimbursement, and mitigate risks of claim denials. Gain the knowledge needed to implement updates effectively, educate your team, and maintain seamless revenue cycle operations in the face of evolving OPPS complexities.

January 29, 2025

Trending News

Featured Webcasts

Utilization Review Essentials: What Every Professional Needs to Know About Medicare

Utilization Review Essentials: What Every Professional Needs to Know About Medicare

Dr. Ronald Hirsch dives into the basics of Medicare for clinicians to be successful as utilization review professionals. He’ll break down what Medicare does and doesn’t pay for, what services it provides and how hospitals get paid for providing those services – including both inpatient and outpatient. Learn how claims are prepared and how much patients must pay for their care. By attending our webcast, you will gain a new understanding of these issues and be better equipped to talk to patients, to their medical staff, and to their administrative team.

March 20, 2025

Rethinking Observation Metrics: Standardizing Data for Better Outcomes

Hospitals face growing challenges in measuring observation metrics due to inconsistencies in classification, payer policies, and benchmarking practices. Join Tiffany Ferguson, LMSW, CMAC, ACM, and Anuja Mohla, DO, FACP, MBA, ACPA-C, CHCQM-PHYADV as they provide critical insights into refining observation metrics. This webcast will address key issues affecting observation data integrity and offer strategies for improving consistency in reporting. You will learn how to define meaningful metrics, clarify commonly misinterpreted terms, and apply best practices for benchmarking, and gain actionable strategies to enhance observation data reliability, mitigate financial risk, and drive better decision-making.

February 25, 2025
Navigating the 2025 Medicare Physician Fee Schedule: Key Changes and Strategies for Success

Navigating the 2025 Medicare Physician Fee Schedule: Key Changes and Strategies for Success

The 2025 Medicare Physician Fee Schedule brings significant changes to payment rates, coverage, and coding for physician services, impacting practices nationwide. Join Stanley Nachimson, MS., as he provides a comprehensive guide to understanding these updates, offering actionable insights on new Medicare-covered services, revised coding rules, and payment policies effective January 1. Learn how to adapt your practices to maintain compliance, maximize reimbursement, and plan for revenue in 2025. Whether you’re a physician, coder, or financial staff member, this session equips you with the tools to navigate Medicare’s evolving requirements confidently and efficiently.

January 21, 2025
Patient Notifications and Rights: What You Need to Know

Patient Notifications and Rights: What You Need to Know

Dr. Ronald Hirsch provides critical details on the new Medicare Appeal Process for Status Changes for patients whose status changes during their hospital stay. He also delves into other scenarios of hospital patients receiving custodial care or medically unnecessary services where patient notifications may be needed along with the processes necessary to ensure compliance with state and federal guidance.

December 5, 2024

Trending News