October 16, 2006

 

TOA President's Update
  

By David Teuscher, MD
President, Texas Orthopaedic Association

The good news on our medical liability reforms enacted in 2003 continues to roll in. Lower premiums, less liability future risk, easier recruitment of orthopaedists, and greater access to care for our patients. Our current enthusiasm must be tempered with the knowledge that those reforms are under a constant and coordinated attack that 

may ultimately lead to their undoing without our continuous attention.

The number of carriers in Texas writing professional medical liability policies has increased from 4 to 36 since 2003. This includes 8 admitted carriers, 19 risk retention groups, and 5 surplus line carriers. Texas physicians insured by the JUA have declined from a peak of 2,691 to 1,202 and are expected to continue to decline further as private carriers compete to write your policy. Claims filed in Texas that averaged more than 400 per month before the huge load filed just before the reforms took effect, are now averaging 175 per month in the past year. I doubt that any of us involved in the reform efforts expected so much success this early.

Before our tort reforms passed, the opponents claimed that the crisis was due to greedy insurance companies that needed to be regulated, bad doctors needing discipline, and bad investments in a stock market downturn. After an interim period of silence, these same opponents of tort reform are now playing a steady drumbeat of criticisms that the reforms went way too far, victims can’t find a lawyer because of the caps, and the cap unfairly hurts the poor, young, elderly, and disabled. I say that they were wrong about it back then and they are still wrong today.

The October issue of the American Bar Association Journal featured an article about the Texas reforms titled “New Laws and Med-Mal Damage Caps Devastate Plaintiff and Defense Firms Alike”, should confirm our suspicion that the organized Texas defense bar has openly joined the plaintiff trial bar in seeking to change or challenge the non-economic cap. What is their agenda? They want to index the cap to inflation, raise it to a higher level, and/or create exceptions that will blow a hole in the cap. They will run stealth candidates as Republican and continue to try to purge pro-reform Democrats, with an eye on weakening our reforms in future legislatures. Even more insidious, they will try to elect district and appellate judges that will have great discretion on how to apply the law, or worse yet, will rule parts of the reform unconstitutional. Not on my watch!

What am I asking of you? If you helped pass the reforms in 2003, take a bow. If you are benefiting from the reforms, support our TO-PAC and pro-reform candidates. If you want to make the changes permanent, get to know the men and women who want to be your representative, senator, judge, or justice; and make sure they share your enthusiasm and vision for the future of Texas. If you would like a copy of the article I referenced above, email that request to info@toa.org. The price of liberty is eternal vigilance.
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CMS Focus On Fraud And Abuse Results In $2 Billion In Savings
  

CMS has saved U.S. taxpayers more than $2 billion since 2004, according to an agency press release. The agency credits the savings to “more aggressive local oversight and specially targeted fraud and abuse initiatives.” In 2006, CMS expanded its Los Angeles and Miami 

offices, resulting in increased ability to target fraud, waste, and abuse in Medicare.   Additionally, CMS claims that its Los Angeles office, among other things, revoked the billing numbers of 117 fraudulent Medicare providers, resulting in a savings of $200 million. The agency’s Miami office claims to have saved more than $1 billion and begun 400 new investigations as a result of teaming with state and local law enforcement and licensing agencies. Click here for more information.
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Where Is Your NPI?

Provided By Ann Hillius
Department B

Have you applied for your NPI (National Provider Identification)?  It will be necessary for you to share your NPI with all providers to which you refer services and for all referring physicians to share their NPI with you for billing.  Without the NPI on some services (consultations, ancillary) your claim will not be paid. 

We encourage you to apply for your NPI today. Currently, the turnaround is about 15 days.  As more and more providers apply, it will prolong the process. Important dates and activities of NPI use are October 2, 2006- May 22, 2007.  During this time, CMS systems will accept an existing legacy Medicare billing number and/or NPI on claims.  If there are any issues with the provider’s NPI and no Medicare legacy identifier is submitted, the provider may not be paid for the claim.

Therefore, Medicare strongly recommends that providers, clearinghouses, and billing services continue to submit the Medicare legacy identifier as a secondary identifier.

Medicare will be capable of sending the NPI as primary provider identifier and legacy identifier as a secondary identifier in outbound claim, claim status response, remittance advice (electronic but not paper), and eligibility response electronic transactions.

After May 23, 2007, CMS systems will only accept NPI numbers.  Small health plans have an additional year to be NPI compliant.
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T-Bones: 2006 Fall Meeting in Austin, TX
  

By Michael A. Berkowitz
Administrator

I am pleased to announce the Fall Meeting of the Texas Orthopedic 

Administrators Association (T-BONES) will be held Friday, November 10th, 2006 at the  Doubletree Guest Suites Austin Hotel in downtown Austin.

On Thursday evening T-Bones Members and guest have been invited to a dinner hosted for our members by Euflexxa, which will be held at Cedar Street Courtyard located at 208 West 4th Street, Austin, TX, 78701.

I have received commitments from speakers who will provide valuable information to our group.  They will address a variety of relevant topics.

  • Michael Cushman is an attorney with Stone Loughlin & Swanson, LLP in Austin.  He will address issues arising from changes in the Workers’ Compensation system.
      

  • Bill Darling is a Partner with Strasburger and Price, LLP in Austin.  He will be speaking about Pay for Performance.
      

  • Duane Hill is the administrator of Beaumont Bone and Joint.  He will be discussing the importance of having a disaster plan for an Orthopaedic practice.
      

  • Lance Spivey is the Principal for RCFO in McKinney, Texas.  He will be discussing Benching and Key Performance Indicators.
      

  • Brian White is the Counsel for Policy Development in the Office of Injured Employee Counsel (OIEC) for the State of Texas.  He will be speaking about this new state agency.

I am enclosing a tentative program as well as a registration form which will give additional information about this meeting.  The expense for the Friday, November 10th, meeting is $75, which includes breakfast and lunch.  Please send your registration form as soon as possible since I must notify the hotel of the number of registrants.  Again, the meeting will be held at Doubletree Guest Suites Hotel.  The hotel has agreed to reserve a block of rooms under the name of T-Bones for those interested individuals, but there is a deadline for reserving rooms at the convention rate.  Reservations need to be made through the Doubletree Guest Suites Austin hotel by calling 512-478-7000 or by clicking on their website link.

Please contact me at 281-440-6960 (office) or 713-728-4882 (home) if you have any questions concerning this information.  I hope you will be able to attend this most important meeting.  Thank you for your time and cooperation.
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Tired of WC Peer to Peer Review?  See Information Forms
 

TOA has developed a Workers Compensation Peer to Peer Review hassle factor log. Click here to access either a Word document that can be completed and returned by email or a Word document to be printed, completed and faxed back.  If you have a problem with either Word document, please click here and download the .PDF file to print and complete.  Please collect this information for a 30 day period. All we need is one month to gather common complaints for this Work Comp 

process which is not working at this time.   We are asking physicians and/or clinic staff to participate in collecting information.  TOA will compile and take this information to the Texas Department of Insurance Division of Workers Compensation. 

Please remember - NO social security numbers or patients’ names (HIPAA). Complete the questions regarding insurance companies (i.e. Texas Mutual) and preauthorization companies (i.e. Intracorp) and most importantly, the Peer Reviewer’s information. The form can be filled out two ways. There is the option of printing out each form to be completed and faxed to 512-370-1515 or you can fill out the form in the Word format and when completed send it by email to Donna Parker.

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