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Frequently Asked Questions

 
 
Question:

1) What are ABC codes?

Answer:

ABC codes represent over 4,500 healthcare products and services. They fill gaps in older medical code sets such as CPT ® and HCPCS II and the retirement of state-specific HCPCS III codes.


Question:

2) How are ABC codes used within the healthcare system?

Answer:

ABCcodes are a shorthand means of documenting healthcare procedures and treatments. Codes are an essential tool when computers are used to reduce paperwork and costs. Codes are also essential for managing the healthcare supply chain.


Question:

3) What kind of care is represented by ABC codes?

Answer:

The codes reflect care that is not described by conventional or allopathic centric code sets. ABC codes describe nursing, behavioral health, alternative medicine, ethnic and minority care, midwifery and spiritual care.


Question:

4) Will other areas of healthcare be addressed by ABC codes?

Answer:

Yes. ABC codes can reflect any healthcare service or supply that is not prohibited by law and/or not already coded in other code sets.


Question:

5) How else are codes used?

Answer:

Codes are essential to the delivery of healthcare. Practitioners use them to accurately describe care provided. Insurance companies and healthcare policymakers use them to determine if treatments for a given diagnosis are effective or ineffective.


Question:

6) Who uses codes and in what specific ways?

Answer:

Virtually every practitioner and organization in the healthcare system uses codes for medical record keeping, practice management, billing, processing insurance claims and for designing and managing benefits. Researchers use codes to identify what care works best.


Question:

7) What are the risks of incomplete, inaccurate or imprecise codes?

Answer:

Inadequate codes lead to inappropriate payment, fraud, fines (of up to $10,000 per claim), inaccuracy and incomplete data collection.


Question:

8) How do ABC codes fill gaps in healthcare business processes?

Answer:

ABC codes map to medical codes required for use in electronic claims to generate data. For a demonstration of this mapping, please visit www.ZipClaims.com. ABC codes support managed care contracting, claims forecasting, practice management, insurance billing, claims processing and third party reimbursement.


Question:

9) How do ABC codes help automated business processes?

Answer:

ABC codes digitize information to simplify data collection, analysis and reporting. They fit into industry standard forms (1500) and help practitioners itemize and justify their charges.


Question:

10) What is an RVU and why are RVUs important?

Answer:

RVUs (Relative Value Units) establish the financial worth of specific interventions in relation to other interventions. RVUs are assigned to each healthcare code to support health economics studies, health insurance benefit plan design, managed care and provider contracting, utilization and clinical practice management, claims processing, outcomes research and a variety of actuarial analyses.


Question:

11) How do RVUs get assigned?

Answer:

ABC Coding Solutions licenses ABC codes to Relative Value Studies, Inc. (RVSI), to develop RVUs for services represented by ABC codes. RVSI conducts surveys of the integrative healthcare practitioner communities to establish RVUs and then licenses the RVUs back to ABC Coding Solutions. RVU’s are developed by Relative Value Studies, Inc. More information about their processes can be found at www.rvsdata.com


Question:

12)What are relative value conversion factors?

Answer:

RVU conversion factors are monetary multipliers that convert relative value units (RVUs) into payment amounts. CFs are reported as dollar figures. They reflect healthcare practice costs in a particular office, group practice, healthcare institution or region. They take into account cost-drivers such as overhead (e.g., malpractice insurance), rent, salaries and the cost of living. For example, the CF in a West Coast region might be $6.50 while a CF in a rural state like South Dakota might be $5.25.


Question:

13)How are RVUs used?

Answer:

RVUs are typically multiplied by regional conversion factors (CFs) to establish a dollar value for any intervention. For example, an RVU of 5.0 associated with ABC code CBAAA would be multiplied by a conversion factor of $6 to establish a fee of $30 for a mind-body treatment. For another service, the RVU might be 10.0 and, with the same conversion factor of $6, the baseline value would be $60.


Question:

14)Why are scope of practice guidelines attached to ABC codes?

Answer:

In contrast to the laws for conventional medical doctors, the laws for 80% of licensed healthcare practitioners vary by state. Scope of practice guidelines help practitioners avoid fraudulent billing by assuring they are billing within their scope of practice.


Question:

15)How are scope of practice guidelines used with ABC codes?

Answer:

ABC codes help practitioners and organizations identify healthcare products and services they can legitimately be provided to patients. Legal practice guidelines added to ABC codes help the insurance industry and practitioners avoid malpractice and fraudulent billing.


Question:

16)How are scope of practice guidelines developed?

Answer:

ABC Coding Solutions’ rules engine references thousands of laws regulating multiple healthcare professions. The references are then used to help practitioners avoid fraudulent billing by assuring they are billing within their scope of practice.


Question:

17)Are ABC codes compatible with other codes and systems in use today?

Answer:

Yes. ABC codes work side-by-side with medical codes. ABC codes fit into the same business forms, data fields, software applications, information systems and business processes as older medical codes such as CPT® and HCPCS II. They also help fill gaps left by the retirement of state-specific HCPCS III codes.


Question:

18)Who can use ABC codes?

Answer:

Anyone can use ABC codes. Please visit www.ZipClaims.com to learn how ABC codes mapped to medical code sets are used document and enhance the process of filing electronic claims.


Question:

19)Do you have any tools to help a practitioner or clinic conduct electronic HIPAA transactions?

Answer:

Please visit, www.ZipClaims.com to view a demonstration of using ABC codes to facilitate filing of electronic claims.


Question:

20)Can I order ABC codes from the web site?

Answer:

Yes. Please click here to proceed to the shopping cart.


Question:

21)How are ABC codes developed?

Answer:

ABC codes are developed in an open and unbiased manner that reflects the official training, practices, vocabularies and terminologies of healthcare professions. To submit a code request please click here.
 
 
 

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