{"id":2918,"date":"2010-10-06T13:14:44","date_gmt":"2010-10-06T13:14:44","guid":{"rendered":"https:\/\/www.varshabi.com\/HCIM2\/?p=2918"},"modified":"2021-04-15T15:37:19","modified_gmt":"2021-04-15T15:37:19","slug":"estimated-costs-and-benefits-of-adopting-the-new-icd-10-coding-system","status":"publish","type":"post","link":"https:\/\/www.varshabi.com\/HCIM2\/estimated-costs-and-benefits-of-adopting-the-new-icd-10-coding-system\/","title":{"rendered":"Estimated Costs and Benefits of Adopting the new ICD-10 Coding System"},"content":{"rendered":"<p>According to the RAND Science and Technology Policy Institute&#8217;s comprehensive&nbsp;technical report on <a title=\"RAND Report: The Costs and Benefits of Moving to the ICD-10 Code Sets\" href=\"http:\/\/www.rand.org\/publications\/TR\/TR132\/\" target=\"_blank\" rel=\"noopener noreferrer\">The Costs and Benefits of&nbsp;Moving to the&nbsp;ICD-10 Code Sets<\/a>, providers will incur costs for computer reprogramming, the training of coders, physicians, and code users, and for the initial and long-term loss of productivity among coders and physicians. The cost of sequential conversion (10-CM then 10-PCS) is estimated to run around $425M to $1.15B in one-time costs, plus somewhere between $5 and $40 million a year in lost productivity.<\/p>\n<p>RAND&nbsp;calculated many of its cost savings estimates on the benefits resulting from the additional detail that ICD-10-CM and ICD-10-PCS will offer. The estimated savings from more accurate payments to hospitals for new procedures ranges from $100M to $1.2B. Benefits from fewer rejected claims&nbsp;range between&nbsp;$200M&nbsp;and $2.5B, and an estimated $100M to $1B will be saved due to fewer exaggerated claims. The identification of more cost-effective services and direction of care to specific populations would result in a benefit of $100M to $1.5B. This is in addition to any benefits that would come from better total disease management and better directed preventive care.<\/p>\n<p>Blue Cross and Blue Shield sponsored a study to determine costs to the health care industry in adopting ICD-10-CM and ICD-10-PCS. The study indicated a cost range of $5.5-13.5B for systems implementation, training, loss of productivity, re-work, and contract re-negotiations during a 2-3 year implementation period. Over half of the costs would be borne by health care providers. Long term recurring costs for loss of productivity were estimated at $150-380M.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>According to the RAND Science and Technology Policy Institute&#8217;s comprehensive&nbsp;technical report on The Costs and Benefits of&nbsp;Moving to the&nbsp;ICD-10 Code Sets, providers will incur costs for computer reprogramming, the training of coders, physicians, and code users, and for the initial and long-term loss of productivity among coders and physicians. The cost of sequential conversion (10-CM [&hellip;]<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1,18],"tags":[38,33],"class_list":["post-2918","post","type-post","status-publish","format-standard","hentry","category-healthcare-information-management","category-archive","tag-blog","tag-industry-insights"],"_links":{"self":[{"href":"https:\/\/www.varshabi.com\/HCIM2\/wp-json\/wp\/v2\/posts\/2918","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.varshabi.com\/HCIM2\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.varshabi.com\/HCIM2\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.varshabi.com\/HCIM2\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.varshabi.com\/HCIM2\/wp-json\/wp\/v2\/comments?post=2918"}],"version-history":[{"count":2,"href":"https:\/\/www.varshabi.com\/HCIM2\/wp-json\/wp\/v2\/posts\/2918\/revisions"}],"predecessor-version":[{"id":16819,"href":"https:\/\/www.varshabi.com\/HCIM2\/wp-json\/wp\/v2\/posts\/2918\/revisions\/16819"}],"wp:attachment":[{"href":"https:\/\/www.varshabi.com\/HCIM2\/wp-json\/wp\/v2\/media?parent=2918"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.varshabi.com\/HCIM2\/wp-json\/wp\/v2\/categories?post=2918"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.varshabi.com\/HCIM2\/wp-json\/wp\/v2\/tags?post=2918"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}