| Average Medicare DSO (Days Sales Outstanding) By Product Category |
DME (E0260, K0001, E0143, etc.) | 64.8 |
| Respiratory (E1390, J7619, E7619, etc.) | 45.1 | |
| Rehab (K0011, K0108, E0010, etc.) | 91.4 |
HCPCS Code K0014
(miscellaneous motorized power wheelchair base)
Average Medicare DSO
111 days
One reason the K0014 has such a high DSO is that it is a miscellaneous code rather than a code with a specific description. Many claims with a miscellaneous code will be either developed or denied on their first time out for processing. The HAO record, the open comment section for electronic claim submissions, allows providers to give Medicare specifics about the product that the HCPCS cannot. Information to be placed in the HAO record can include, but is not limited to: manufacturer description, model number, serial number, suggested retail price, what encompasses the wheelchair and why the patient needs this product (rather than a wheelchair base with a HCPCS category and fee schedule assigned). There is one problem with the HAO record: Space is limited, so some of the information may be cut off and not received by Medicare. Without enough information to process the claim, Medicare will develop it, meaning the claim will be sent back to the provider for additional product information and documentation to prove medical necessity.
Data represents a categorized and weighted analysis of approximately 913,000 Medicare paid claim lines adjudicated by the four DMERCs between Dec. 1, 2005, and Dec. 31, 2005, and processed for RemitDATA customers. Figures reflect the average number of days elapsed from date of service to Medicare check issue date. Source: RemitDATA, 866/885-2974, www.remitdata.com
Sarah Hanna is a reimbursement consultant and vice president of ECS Billing & Consulting, Tiffin, Ohio. She can be contacted at 419/448-5332 or sarahhanna@bright.net.
