If you haven't figured out an ICD-10 transition budget yet, it may be too late. But it's a good idea to get a handle on what it will cost you. Better late then never.
You need to account for costs associated with technology upgrades, training, testing, compensating for decreased productivity and support implementation activities. If you're not sure what that means, Navicure makes a handy budgeting spreadsheet. It includes key cost drivers within a variety of categories. Take a look:
ICD-10 Planning
- Administrative and clinical staff ICD-10 planning time: Staff time
- Administrative and clinical staff ICD-10 business and IT system changes testing: Staff time
- Administrative staff vendor, payer, legal counsel contract negotiation and implementation: Staff time
- Administrative staff consultant engagement and management: Staff time/consultant cost
Education/Training
- In-depth ICD-10 coder education and certification: Staff time/certification cost
- Provider and clinical staff ICD-10 education/training: Staff time/purchased training cost
- Administrative staff ICD-10 education/training: Staff time/purchased training cost
- Administrative and clinical staff dual coding: Staff time
- Administrative and clinical staff ICD-10 business and IT system changes training: Staff time
Business Process Review and Implementation
- Review and update prior authorization, referral process, utilization management : Staff time
- Review and implement payer-specific medical policy, medical necessity requirements review and implementation: Staff time
- Review and update payer contract for diagnosis based reimbursement: Staff time
- Review and update payer contract for quality and/or performance-based reimbursement: Staff time
- Review payer contract for possible additional reimbursement due to additional specificity reporting capabilities : Staff time
- Review and update provider/clinical productivity measurement process and/or systems: Staff time
- Review and update paper superbills and other paper forms: Staff time
- Review and update compliance processes : Staff time
Clinical Processes
- Review provider documentation query process : Staff time
- Review and make necessary changes to clinical documentation to ensure ICD-10 readiness: Staff time
- Assess computer-assisted coding (CAC) need, purchase and implement CAC if necessary: Staff time/CAC cost
Information Technology - New, Updates or Replacement
- Purchase and implement public health reporting systems : Staff time/system(s) cost
- Purchase and implement performance/quality data reporting system(s): Staff time/system(s) cost
- Purchase and implement electronic prior authorization, referral, scheduling system(s): Staff time/system(s) cost
- Purchase and implement data analytics interfaces: Staff time/system(s) cost
- Purchase and implement practice management software updates: Staff time/system(s) cost
- Electronic medical records software updates: Staff time/system(s) cost
- Implement internally developed systems updates: Staff time/system(s) cost
- Perform data conversion: Staff time/system(s) cost
Additional Costs
- Overtime: Cost
- Temporary clinical and/or administrative help: Cost
Take the time to understand how much the ICD-10 transition will cost. That will help you estimate how much cash you need to save to keep running in case your revenues plummet immediately following Oct. 1, 2014.